Congress govt giving false info on Centre's budget allocation to Karnataka: FM Nirmala Sitharaman

Bengaluru: Union Finance Minister Nirmala Sitharaman has rejected the allegations of the Congress government in Karnataka that the Centre gave a rough deal to the state in the Union Budget 2024-25, terming them as "false".

Addressing a press conference at the BJP headquarters here on Sunday, FM Sitharaman presented figures to prove that Karnataka has been given its due in terms of allocation of funds. She said, "The current government is giving wrong information which is not helping anyone. Even the people of Karnataka are not getting factual information...I want to put the facts before the public. In 10 years of UPA government between 2004 and 2014, Karnataka received Rs 81,791 crore. Between 2014 and 2024, in 10 years under Prime Minister Narendra Modi, Karnataka received Rs 2,95,818 crore.”

“If you look at tax devolution where it was Rs 8,179 crore per year, now this one year under Prime Minister Narendra Modi 3.0 rule, Karnataka gets Rs 45,485 crore. There is just no comparison and therefore, I request media friends to look at the data and ask questions where they need to be asked. Why is this propaganda going on?” The FM underlined.

"Under UPA the ‘Grants in aids’ for Karnataka was Rs 60,779 crore. Under NDA it is Rs 2,36, 955 crore. Under the UPA, Karnataka got Rs 6,779 crore per annum. Now, under Grants in aid this year Rs 15,300 crore are given," she informed.

"The Finance Commission has not given directions to the Central government to provide funds for states to build infrastructure. But, after Covid Prime Minister Modi said we should give money for states to recover fast. Karnataka beginning 2020-2021 till 2023-24 received a total Rs 8,312 crore interest-free loan. This year, Rs 2,006 crore with no conditions attached we are giving. In total Karnataka by the end of this year would have received Rs 10,041 crore for 50 years and interest-free from the Government of India," The Union Minister stated.

Kalaburagi in Karnataka will get Mega Textile Park under the PM Mithra Mega Textile Park project and it will get Rs 200 crore fund exclusively. "The numbers will shock in terms of railway allocations. Allocation between 2009 and 2014 under the UPA was Rs 835 crore for Karnataka. In the 2024-25 Budget the allocation is Rs 7,559 crore for Karnataka for the railways alone," FM Sitharaman said.

"Thirty-one projects of laying railway lanes are ongoing and 3,840 km of railway lanes are being laid. The value of ongoing projects is Rs 47,016 crore only for railway projects in Karnataka. Since 2014, a total of 638 railway flyovers have been built, seven Vande Bharat trains are operationalised," she said.

"IIT Dharwad was set up with the Central funds in March 2023. The first industrial corridor for South India was inaugurated by Prime Minister Modi in Tumakuru because that is a part of the Chennai-Bengaluru corridor. Seven cities in Karnataka have been selected under the smart city project. More than Rs 6,428 crore was released to the state for the smart city mission. 904 projects worth Rs 15,000 crore work orders are already issued," The FM said.

“What is given to Karnataka? Work is given, orders are issued, and it is moving on the ground. Because of the favourable environment we tried to create in the Centre and state also, in January 2024, Boeing India Engineering and Technology Centre built its biggest centre outside the US in Bengaluru. They did not go to China, they came here. That is an investment of Rs 1,600 crore,” the Union Minister said.

She further added, “4,600 km of roads have been constructed already. The NDA government has invested more than Rs one lakh crore for highway-related projects in Karnataka only. Many green field corridors are being built under Bharat Mala Pari Yojana Phase 1.”