Bengaluru, April 1: Karnataka Chief Minister Siddaramaiah firmly rejected the demand for a white paper on the state’s financial status, made by the Bharatiya Janata Party (BJP) state president and MLA B.Y. Vijayendra.
In a detailed press release, Siddaramaiah emphasized that the state budget presented last month provides a transparent and honest account of the government’s finances.
He noted that the budget was debated and approved in both houses of the assembly, where opposition members raised questions that were adequately addressed.
Siddaramaiah expressed his willingness to clarify any lingering doubts and participate in an open debate.
Addressing allegations of the state being financially bankrupt, the Chief Minister stated that no department is facing difficulties in salary payments. He asserted that Karnataka’s economic and political situation remains stable.
He accused BJP leaders of making such claims out of helplessness and jealousy due to their inability to politically challenge the government.
Highlighting key economic indicators, Siddaramaiah mentioned that the state’s budget for 2025-26 is ₹4,48,004 crore, reflecting a 9.4% increase from the previous year, while the central government’s growth rate stands at 5.6%.
He further stated that Karnataka’s Gross State Domestic Product (GSDP) growth rate is 8.1%, surpassing the national GDP growth rate of 7.4%, indicating robust economic performance.
On fiscal discipline, he noted that the state’s total liabilities are at 24.94% of GSDP, well within the 25% limit set by the Fiscal Responsibility Act, while the central liabilities have reached 55.6% of GDP, exceeding the prescribed standards.
Similarly, Karnataka’s fiscal deficit remains within the 3% limit, whereas the central deficit is at 4.3%.
The Chief Minister also accused the central government of treating Karnataka unfairly regarding tax distribution, Goods and Services Tax (GST) compensation, and centrally sponsored schemes.
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