Bengaluru, Feb 1 (IANS) Criticising the Union Budget for 2026–27 presented by Union Finance Minister Nirmala Sitharaman on Sunday, Karnataka Chief Minister Siddaramaiah said it resembling a municipality corporate budget and termed it the most disappointing budget he has seen in his political career.
The Chief Minister said that in the 2025–26 budget, Union Finance Minister Sitharaman had promised an allocation of Rs 5.41 lakh crore for centrally sponsored schemes.
“However, in the current budget, this allocation has been reduced to Rs 4.2 lakh crore,” he added.
“This is the most disappointing budget I have seen in my political career. It is no better than a corporation budget. Karnataka has got nothing. As usual, Karnataka has been betrayed. The entire South India has got nothing from this budget,” Siddaramaiah said.
Referring to the announcement of two high-speed railway projects to Bengaluru—Hyderabad–Bengaluru and Chennai–Bengaluru — the Chief Minister said these projects would be of little benefit to Karnataka as they do not cover long distances within the state.
“If the Centre really wanted to help Karnataka, it should have announced Bengaluru–Mumbai and Bengaluru–Mangaluru high-speed rail projects,” he added.
Siddaramaiah also alleged that Finance Minister Sitharaman used the same cliched phrases while presenting the budget, and said the budget reflected the Centre’s inability to find the right direction for the country’s development.
“Through this budget, it is clear that the Central government is exhausted and unable to run the country. Prime Minister Narendra Modi’s government looks tired. In its 13th budget, it has realised that the objectives of Mahatma Gandhi and the Congress party are right. For the first time, historical sites related to Buddhism have been remembered by the Centre,” he said.
The Chief Minister also added that there was no discussion on the devaluation of the Rupee or measures to correct it.
He said foreign investment is declining, imports are increasing, and exports are falling, but the budget does not address these concerns.
Instead, benefits to exporters have been curtailed, he said, adding that the urea subsidy has been reduced from Rs 1.26 lakh crore to Rs 1.16 lakh crore, while allocations for nutrient-based programmes have also been cut.
He also claimed that despite the Centre’s claims of strengthening the defence sector, allocations for the aircraft division have been reduced from Rs 72,780 crore to Rs 63,734 crore.
On environmental protection, Siddaramaiah said that while Rs 1,300 crore was earmarked last year to address pollution, the allocation has been reduced to Rs 1,091 crore this year.
“Similarly, tax concessions for exporters, which stood at Rs 18,233 crore in the previous budget, have been reduced to Rs 10,000 crore, indicating a lack of foresight,” he alleged.
The Chief Minister said that crop insurance for farmers has not been enhanced, no priority has been given to higher education, and the development of SCs, STs, and Backward Classes has not been adequately addressed.
He noted that the Centre has earmarked Rs 95,692 crore for the VB-G RAM G scheme.
He also said that there is no mention of Karnataka’s irrigation projects in the budget.
“While the AI mission has been repeatedly highlighted, the allocation has been reduced from Rs 2,000 crore in the previous budget to Rs 1,000 crore this year.”
The Union Budget also fails to mention the Bengaluru Metro and suburban rail projects, Siddaramaiah said, adding that Karnataka contributes 8.7 per cent to the country’s GDP and ranks first in individual tax collection.
“The state incurred a loss of Rs 1.25 lakh crore under the 14th Finance Commission. In terms of GST compensation, the state is suffering a loss of Rs 20,000 crore every year. Despite this, Karnataka has not received justice,” the Chief Minister said.
–IANS
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