‘Nothing for Karnataka’: CM Siddaramaiah slams Union Budget 2026

The Karnataka CM flagged the reduction in grants for Centrally Sponsored Schemes (CSS) compared to the announcement made in the previous Budget. While the Centre had announced Rs 5.41 lakh crore, revised estimates show that only Rs 4.2 lakh crore was spent for these schemes, he said.

Accusing the Centre of consciously reducing revised estimates for CSS, he said that the Union Government is shifting the financial burden of these schemes onto state governments that are already under severe fiscal stress due to unilateral decisions and coercive economic policies.

Siddaramaiah argued that the Union government has contained the fiscal deficit by “under-spending and deferring commitments, not by sound fiscal management.” Fiscal discipline cannot be built by postponing promises. True credibility comes from delivering on what is announced, according to the CM.

Despite repeated appeals and clear necessity, the Mekedatu project has still not been approved, he said, adding that the Supreme Court had disposed of a petition challenging the project.

“The funds promised for the Upper Bhadra project in the 2023-24 budget have not been released, and the Upper Krishna Project continues to be neglected. Not a single major irrigation project of Karnataka has been accorded National Project status, denying the state critical financial and institutional support,” Siddaramaiah said.