Did Siddaramaiah Ruin Karnataka’s Economy?

Synopsis
Key Takeaways
- Karnataka's economy is facing serious challenges.
- Claims of corruption and mismanagement have been made against the state government.
- Rising taxes are burdening the citizens.
- Debt levels have reached alarming figures.
- Political blame is being exchanged between state and central governments.
New Delhi, Oct 22 (NationPress) The Union Minister for Food and Civil Supplies, Pralhad Joshi, asserted on Wednesday that the Karnataka government has hindered the state's progress by making “unscientific” and “half-baked” guarantee promises. He criticized the government for blaming industrial investors for their withdrawal from Karnataka.
In response to Chief Minister Siddaramaiah calling Prime Minister Narendra Modi “anti-Karnataka,” Joshi accused the Chief Minister of having devastated the state's economy. He claimed that Siddaramaiah is now resorting to “hate politics” against the Prime Minister, alleging that the Central government is withholding funds from the state.
“The Congress party, having ascended to power through unrealistic guarantees, has completely disregarded Karnataka's development. By implementing half-baked guarantee schemes, they have plunged the state's financial situation into chaos. When revenue took a downturn, they developed the habit of blaming the central government,” he stated.
He pointed out that the state government has raised taxes on over 30 items, placing an additional burden on the citizens, and that contractors who completed development projects are still awaiting payment.
“The government is embroiled in commission rackets and rampant corruption. The once-thriving economy of Karnataka is now edging towards bankruptcy,” he added.
Joshi further alleged that funds coming into the state are being utilized for guarantees, claiming that the state government is “draining” the treasury under the guise of unscientific guarantees.
“Karnataka, which once enjoyed surplus revenue, has now been ensnared in a debt trap of approximately Rs 80,000 crore, with the overall financial burden exceeding Rs 8 lakh crore,” he claimed.
Encouraging the Chief Minister to be more factual in his statements, Joshi mentioned that the UPA government, which ruled for 60 years, had imposed over 27 taxes, making life difficult for people.
“Under the leadership of Prime Minister Narendra Modi, the NDA government has slashed taxes on 99 percent of items to either zero or 5 percent, enhancing the living standards of ordinary citizens,” he emphasized.
He also contended that due to the Chief Minister’s inept administration, the state is now grappling with a financial crisis.
“The 2023–24 CAG report has disclosed that the state’s debt has surged by Rs 63,000 crore, and funds allocated for infrastructure have been diverted to alternative projects,” he said.