Bengaluru, March 25 (IANS) Leader of the Opposition R. Ashoka on Wednesday launched a sharp attack on Chief Minister Siddaramaiah, alleging that the state has been pushed into a cycle of borrowing to repay existing debt and terming the 2026–27 Budget a “credit Budget”.

Speaking in the Assembly during the Budget discussion, Ashoka said that despite studying the Budget in detail, he found it heavily reliant on loans. He claimed that the government had borrowed Rs 1.32 lakh crore, of which Rs 84,000 crore was earmarked for capital expenditure, while the rest was being spent on guarantee schemes.

He questioned the government’s fiscal management, contrasting it with the tenure of former Chief Minister Basavaraj Bommai, who, he said, had presented a surplus Budget.

Ashoka alleged that funds meant for welfare schemes were either diverted or not fully utilised. He claimed that Rs 5,000 crore allocated under the Gruha Lakshmi scheme had not reached 1.26 lakh beneficiaries, while Rs 657 crore meant for the Annabhagya scheme in 2025 remained unreleased.

Citing comparative data, he said Karnataka’s allocation to the health sector stood at 4.9 per cent, significantly lower than the national average of 8.3 per cent and far behind states like Delhi, which allocate 14.5 per cent. Similarly, he said spending on rural development was only 2.9 per cent, indicating that Karnataka was lagging in key sectors.

The BJP leader also pointed to cuts in allocations for various corporations, including the Devaraj Urs Corporation and the Maratha Development Corporation, alleging that funds under SCSP/TSP were being diverted for guarantee schemes.

Highlighting pending liabilities, Ashoka claimed that the government owed Rs 38,000 crore to contractors, Rs 12,500 crore to power distribution companies, and Rs 4,850 crore to the transport department under the Shakti scheme, among other dues. He further alleged that nearly 41 per cent of allocated funds remained unutilised.

On Centre-state finances, Ashoka accused the state government of downplaying contributions from the Union government led by PM Modi. He said Karnataka had received substantial tax devolution, grants, and support for infrastructure projects, including metro rail and the Jal Jeevan Mission.

He also flagged discrepancies in figures related to metro funding, demanding clarification from the Chief Minister on conflicting data presented in official documents and statements by Deputy Chief Minister D.K. Shivakumar.

Concluding his remarks, Ashoka said the Budget lacked a developmental vision and warned that continued borrowing for non-productive expenditure could deepen the state’s financial stress.

–IANS

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