Opposition leader Ashoka criticises Karnataka Budget over rising debt
Bengaluru: Karnataka Leader of the Opposition R. Ashoka on Tuesday launched an attack on the State Budget 2026-27, alleging that it had pushed the people of Karnataka into a “debt vortex” and done injustice to backward classes, Scheduled Castes, and other sections of society.
Participating in the discussion on the budget in the Assembly, Ashoka said the state government was borrowing heavily to repay old loans while failing to show progress in implementing earlier schemes.
“The fiscal deficit and the amount of debt have exceeded limits. The Chief Minister has taken new loans only to repay old ones,” he alleged.
Ashoka said that the budget had failed to inspire confidence even among ruling party members. “The previous budgets had fewer pages and items, but received applause. This time the budget runs into more than 170 pages with over 500 items, yet it has not received appreciation,” he said.
He also took a dig at the relationship between Chief Minister Siddaramaiah and Deputy Chief Minister D.K. Shivakumar, stating that the Chief Minister had described their relationship as being like “milk and honey”.
“Whether it is milk and honey or poison will be known later. You cannot clap with one hand,” Ashoka said.
Criticising the government’s fiscal management, Ashoka said the state’s debt had increased significantly after the Congress came to power. He claimed that in the last three years alone, the government had taken loans amounting to nearly Rs 2.89 lakh crore.
“At this rate, the total debt could cross Rs 6 lakh crore if this trend continues,” he said.
Ashoka also alleged that the state government had failed to create new assets despite increasing borrowings. Loans are being taken, but no major irrigation or infrastructure projects have been completed. There has been no meaningful asset creation in the last three years,” he said.
He further claimed that expenditure had exceeded revenue under the current government, putting pressure on the state’s finances.
“During the BJP government, expenditure was lower than revenue. But after the Congress came to power, deficits started appearing in the first year itself,” he alleged.
Raising concerns about the functioning of various departments, Ashoka said that a significant portion of the funds allocated in the previous budget had remained unspent.
“Out of the funds allocated in the last budget, only around 59 per cent has been spent. The remaining funds have not been utilised,” he said.
The Opposition leader also alleged that the government had diverted funds earmarked for Scheduled Castes and Scheduled Tribes under the SCSP and TSP schemes to finance its flagship guarantee programmes.
“Money meant for Dalits is being used for other schemes. This cannot be called social justice,” he said.
Ashoka also criticised the state government over issues related to healthcare, education and urban development. He alleged that government hospitals were facing shortages of medicines and that several government schools were on the verge of closure due to falling enrolment.
“Even basic services are facing shortages. Hospitals lack medicines, and many departments are unable to utilise the funds allocated to them,” he said.
He also claimed that tax burdens on citizens had increased through higher fuel prices, liquor prices, vehicle taxes and other charges.
Despite accusing the state government of financial mismanagement, Ashoka acknowledged that the state had received significant financial support from the Union government.
He said Karnataka had received grants of Rs 63,049 crore from the Centre and had benefited from infrastructure initiatives such as national highway expansion and railway development projects.
Even after receiving such assistance, Ashoka alleged, the state government continued to blame the Centre instead of focusing on efficient governance and fiscal discipline.
