Amidst allegations of financial prejudice against Karnataka, a state governed by Congress, and the purported withholding of funds, Union Finance Minister Nirmala Sitharaman rebutted on Sunday, affirming that every penny owed to the state had been duly acknowledged and disbursed in a timely manner.
Addressing an informal gathering convened by the Thinkers Forum in Bengaluru, Sitharaman refuted claims suggesting that a special grant of Rs 5,495 crore had not been allocated to Karnataka, asserting the absence of such a recommendation in the final report of the Finance Commission.
Emphasizing the strides made in aiding the populace, particularly the underprivileged, Sitharaman highlighted the expansive coverage of the PM Garib Kalyan Anna Yojana, benefiting 80 crore individuals nationwide, including 30.5 lakh urban dwellers in Bengaluru, with monthly provisions of free rations. She underscored the establishment of 14.68 lakh Jan-Dhan accounts in urban Bengaluru, contributing to the broader initiative of financial inclusion, which has seen over 52 crore such accounts opened nationwide.
Further elucidating on financial support schemes, Sitharaman disclosed that urban Bengaluru had received an allocation of Rs 30,490 crores under the Mudra scheme, catering to skilled artisans seeking micro-credit up to Rs 10 lakh. The scheme, she noted, had empowered 38.25 lakh beneficiaries in the urban precincts of Bengaluru alone. Additionally, funds were dispersed under ‘Stand-up India’ to the tune of Rs 467 crores in Bengaluru Urban, aiding SCs, STs, and women entrepreneurs, with 4,429 registered beneficiaries identified within the city’s vicinity.
Underlining the government’s commitment to uplifting marginalized segments, Sitharaman cited the inclusion of 1.25 lakh street vendors in urban Bengaluru as beneficiaries of the PM Swanidhi Yojana, with a notable representation of women, OBCs, SCs, and STs. Furthermore, she noted the enrollment of over 30 lakh beneficiaries in urban Bengaluru under the PM Jeevan Jyoti Beema Yojana, aimed at providing life insurance coverage.
Dismissing assertions by the ruling Congress, Sitharaman clarified that Karnataka had received its due share of GST proceeds amounting to Rs 1.06 crore, with no outstanding GST compensation owed as of March 2024. She underscored the transformative impact of GST, refuting allegations of inflated growth figures and urging state authorities to acknowledge the fiscal benefits accruing from the tax regime.
In a parallel development, Karnataka Chief Minister Siddaramaiah lodged a petition in the Supreme Court seeking expedited disbursement of grants under the National Disaster Response Fund (NDRF), citing the state’s urgent need amid drought-like conditions.
Expressing dissatisfaction over perceived biases in budgetary allocations, Congress MP DK Suresh cautioned against neglecting the fiscal exigencies of southern states, hinting at the potential clamor for secession if disparities persist. The BJP swiftly rebuffed the assertion, while the Congress distanced itself from the remarks.