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Karnataka’s Economic Leap: CM Siddaramaiah Attributes Soaring Per Capita Income to Guarantee Schemes

October 6, 2025
in National, Politics
Reading Time: 4 min

Karnataka’s Chief Minister, Siddaramaiah, proudly announced that the state has achieved the top position nationwide in per capita income, a success he attributes directly to his administration’s innovative guarantee schemes.

Speaking at a public gathering in Koppal on Monday, where he inaugurated development projects and laid foundation stones for new initiatives totaling ₹2,000 crore, Mr. Siddaramaiah emphasized how these welfare programs have significantly boosted local production, generated employment, and consequently, enhanced state revenue.

“In just two years, our government has injected over ₹1 lakh crore directly into the hands of the people through our five guarantee schemes. This strategic investment has dramatically increased their purchasing power, invigorated economic activity, and ultimately led to a remarkable rise in per capita income. Recent analyses confirm that these schemes are the fundamental drivers behind Karnataka’s leading economic status. This is a clear testament to our government’s economic prowess,” he declared.

The Chief Minister also took the opportunity to address past criticisms from Prime Minister Narendra Modi regarding the feasibility of these schemes. “When we initially unveiled the guarantee schemes, Mr. Modi predicted they were impossible to implement and would plunge the state into bankruptcy. Fast forward two years and four months, and we have successfully spent over ₹1 lakh crore on these initiatives. Has Karnataka gone bankrupt? Absolutely not. Instead, the state is more financially stable than ever before,” he asserted confidently.

Siddaramaiah further dismissed allegations from State BJP leaders who claimed that development had stalled due to the extensive spending on welfare programs. “BJP leaders frequently argue that our focus on the guarantee schemes has halted other development works. I invite them to join me in any district to witness firsthand the extensive development our government is actively undertaking,” he challenged.

“Just in Koppal today, I have inaugurated completed projects and launched new ones worth more than ₹2,000 crore. Furthermore, our government has allocated ₹13,000 crore in special grants for the development of Kalyana Karnataka and is spending an additional ₹70,000 crore to ₹80,000 crore to compensate farmers affected by the Upper Krishna Project. Would such investments be possible if the state treasury were truly empty?” he questioned, refuting all claims of financial mismanagement.

He didn’t shy away from critiquing the previous BJP government, stating, “During their four-year tenure, the BJP failed to provide a single home to the poor and delivered no significant development. Now, they seem to be simply envious of our administration’s achievements.”

GST Rationalisation Debate

The Chief Minister also strongly criticized Prime Minister Modi for attempting to take undue credit for the recent rationalization of the Goods and Services Tax (GST), provocatively asking who was responsible for imposing the “irrational GST” in the first place.

“It was Mr. Modi and the BJP who, in 2017, introduced an illogical GST structure that burdened citizens for eight long years. Now, they are commending themselves for fixing a system they themselves created. Even with this supposed rationalization, Karnataka is projected to lose approximately ₹15,000 crore annually, as the Union Government continues to retain the majority of GST revenue, leaving only a small portion for the states,” he explained.

A Heartfelt Connection to Koppal

Mr. Siddaramaiah shared his deep personal and political bond with the people of Koppal, expressing profound gratitude. “Every time I visit Koppal, I experience the same joy as returning to Mysuru. I will forever be indebted to the warmth and affection shown by the people here,” he said.

“I ran for the Lok Sabha elections from Koppal in 1991, and you all campaigned tirelessly for me. I narrowly lost that election. Had Rajiv Gandhi’s assassination not occurred, I believe I might have won and become the Member of Parliament for Koppal, perhaps even changing my path from becoming Chief Minister of Karnataka. I have begun to repay my debt to Koppal, but a significant part of it still remains,” he recounted emotionally.

Key Projects Inaugurated

Earlier in the day, the Chief Minister officially opened a 450-bed hospital connected to the Koppal Institute of Medical Sciences and commenced work on a new super-specialty hospital. He also inaugurated an Indira Canteen and personally sampled the food, interacting with the beneficiaries.

Dignitaries present at the event included Ministers Shivaraj Tangadagi, Sharan Prakash Patil, and Zameer Ahmad Khan; Koppal Lok Sabha member Rajashekhar Hitnal; Chief Minister’s Economic Adviser Basavaraj Rayaraddi; Koppal MLA Raghavendra Hitnal; KKRDB Chairman Ajay Singh; alongside numerous other senior officials and public representatives.

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