Karnataka Budget 2025-26: CM Siddaramaiah Unveils ₹4.08 Lakh Crore Budget with Focus on Healthcare, Cybersecurity, and Welfare Schemes
Revenue Boost, Gruha Aarogya Expansion, and Naxal Rehabilitation Among Key Highlights
BNH NETWORK
Bengaluru - Karnataka Chief Minister Siddaramaiah on Friday presented the state budget for the fiscal year 2025-26, unveiling a comprehensive ₹4,08,647 crore budget aimed at bolstering healthcare infrastructure, enhancing cybersecurity, and providing welfare support across various sectors. The budget, Siddaramaiah’s record 16th presentation, sets a revenue receipt target of ₹2,92,477 crore, including own tax revenue of ₹2,08,100 crore.
The budget also proposes key amendments to the Professional Tax Act to streamline tax administration, alongside a ₹10 crore rehabilitation package for surrendered naxals and a ₹100 crore allocation to extend the Gruha Aarogya Scheme statewide.
Revenue Mobilisation and Tax Reforms
The Chief Minister set an ambitious revenue collection target of ₹1.2 lakh crore for the Commercial Tax Department, with projections of ₹28,000 crore from stamps and registration, ₹15,000 crore from motor vehicle tax, and ₹9,000 crore through royalty collections. The budget proposes an amendment to the Professional Tax Act, increasing the monthly professional tax ceiling from ₹200 to ₹300 for February, aligning with the annual maximum limit of ₹2,500.
Healthcare and Maternal Welfare
The Karnataka government reinforced its commitment to healthcare with significant allocations, including ₹320 crore to reduce maternal mortality and ₹873 crore under the Kalyana Karnataka Comprehensive Health Scheme.
- A state-of-the-art 200-bed hospital will be set up in Bengaluru North Taluk at a cost of ₹150 crore.
- 400-bed hospital in Virajapete, Kodagu and 200-bed hospital in Molakalmuru, Chitradurga.
- Cancer diagnosis unit at Bidar Government Medical College Hospital.
- Institutions modelled on NIMHANS in Mysuru and Kalaburagi at ₹100 crore each.
The Gruha Aarogya Scheme, initially piloted in Kolar, will now cover the entire state with an outlay of ₹100 crore to screen and treat non-communicable diseases.
Cybersecurity and Law & Order
- Siddaramaiah declared Karnataka ‘naxal-free’ following the surrender of six underground naxals. The disbandment of the Anti-Naxal Force (ANF) will be accompanied by a ₹10 crore rehabilitation package for surrendered naxals.
- The government will allocate ₹5 crore to strengthen the Cyber Crime Division, while the Bengaluru Safe City project—worth ₹667 crore—will introduce 7,500 surveillance cameras, 10 drones, and 560 body-worn cameras.
- Additionally, the Police Mobility Scheme will see ₹50 crore set aside for 1,000 new vehicles for the Home Department. Two Indian Reserve Battalions will be established at Kudugurki and KGF, with a ₹80 crore allocation.
Boost to Kannada Film Industry
- To promote regional cinema, the government has capped movie ticket prices at ₹200 across all theatres and multiplexes. A dedicated OTT platform for Kannada films will be launched, along with a ₹3 crore digital film repository.
- The long-pending International Film City in Mysuru will move forward with a ₹500 crore investment on 150 acres of land.
Mid-Day Meal and Nutritional Support
- The government will continue its ₹1,500 crore investment in the mid-day meal scheme, distributing eggs and bananas to 53 lakh schoolchildren six days a week. Ragi health powder mixed with hot milk will be supplied five days a week, with ₹100 crore earmarked for the initiative.
- ₹46 crore will be used to modernise kitchens and purchase new utensils for 16,347 schools under the mid-day meal programme.
CM’s Vision for Equality
- In his speech, Siddaramaiah paid homage to social reformers Buddha, Basaveshwara, Mahatma Gandhi, and Dr. B.R. Ambedkar, stating the budget was a step towards building an equal society.
- “Believing in the aspirations of Buddha, Basava, Gandhi, and Ambedkar, we have made an effort to take a further step towards realising the dream of an equal society through this budget,” he posted on X.
