• Rs. 319 crore for Mysore Airport runway expansion
• Rs. 3 crore set aside to build new Fire Station in city
• Rs. 120 crore for KSRTC bus stand at Bannimantap
• Rs. 2 crore allocated for Rangayana Mysuru
• Liquor to cost more with Rs. 40,000 crore target
• Statewide cap on movie ticket prices at Rs. 200
• Motor vehicle tax hiked for new vehicles

Bengaluru: Chief Minister Siddaramaiah presented his record-breaking 16th State Budget-2025 in the Legislative Assembly here this morning, with an interesting twist — advancing the speech time to avoid Rahu Kaala.

The Budget presentation was initially scheduled for 11 am but was rescheduled to 10.15 am based on astrologers’ advice.

In his speech, Siddaramaiah announced key projects for Mysuru, focusing on infrastructure, startups, sports, healthcare and cultural initiatives.

Notable allocations include Rs. 319 crore for Mysore Airport runway expansion, Rs. 3 crore for new Fire Station and Rs. 120 crore for state-of-the-art KSRTC bus stand at Bannimantap.

Additionally, Rs. 2 crore has been allocated for Mysuru Rangayana’s activities, while a high-tech PCB Park will be developed on 150 acres to establish an ecosystem for electronics manufacturing.

Highest-ever Budget

This was the highest-ever Budget for the State, with more than Rs. 4 lakh crore as outlay up from Rs. 3.71 lakh crore outlay last year. The Chief Minister laid out the revenue expenditure to be at Rs. 3 lakh crore and capital expenditure at Rs. 71,000 crore.

The revenue deficit is expected to be Rs. 19,262 crore (0.63 percent of GSDP), while the fiscal deficit is projected at Rs. 90,428 crore (2.95 percent of GSDP). Total liabilities by the end of 2025-26 are estimated at Rs. 7,64,655 crore (24.91 percent of GSDP).

Notably, while there has been a demand from within the Congress to cut down spending on the five guarantees, the CM has reiterated that there is no proposal to reduce the funds for the schemes, which were earmarked Rs. 52,000 crore in the previous Budget.

The CM said that liquor prices are likely to be reviewed and increased to match rates in neighbouring states. Excise tax collection last year stood at Rs. 36,500 crore; target set at Rs. 40,000 crore for the coming year.

Movie tickets at Rs. 200

One of the most significant announcements is the Statewide cap on movie ticket prices at Rs. 200, aimed at making cinema more accessible to the public.

This move addresses a long-standing issue in Karnataka’s film industry, where multiplexes have charged as much as Rs. 500 to Rs. 1,000 for premium screenings, especially for high-budget Kannada and international films.

Further supporting the Kannada film industry, the Government has also unveiled plans to launch a state-backed OTT platform to promote regional content.

Green mobility

In a major push towards sustainable urban mobility, the Budget allocates 9,000 new electric buses to the Bangalore Metropolitan Transport Corporation (BMTC) under various central and externally aided projects.

A total of 14,750 electric buses will be inducted across Karnataka, including Mysuru in 2025-26 under schemes such as PM e-DRIVE, PM-eBus Sewa, and other externally funded projects.

Additionally, the Government plans to introduce 1,000 new diesel buses across different state transport corporations under the Gross Cost Contract (GCC) model to improve connectivity in regions where electric mobility is yet to gain traction.

Cooperative fiscal federalism

Highlighting Karnataka’s reputation for prudent fiscal management and disciplined debt handling, Siddaramaiah noted that the State is the first in the country to integrate off-budget borrowings into total liabilities.

However, he criticised the Union government for failing to fully compensate GST revenue losses, withholding cesses and surcharges, and reducing tax devolution as per the Fifteenth Finance Commission’s recommendations, exacerbating Karnataka’s fiscal challenges.

He stated that these financial constraints have impacted the State’s ability to sustain long-term growth while ensuring social justice. To address this, Karnataka has strongly advocated before the Sixteenth Finance Commission for a greater share in tax devolution, urging the commission to strike a fair balance between equity and growth to uphold a robust and cooperative fiscal federalism.

Sector-wise Budgetary Allocations

• Education Department: Rs. 45,286 crore
• Women and Child Welfare Department: Rs. 34,955 crore
• Energy Department: Rs. 26,896 crore
• Rural Development & Panchayat Department: Rs. 26,735 crore
• Irrigation Department: Rs. 22,181 crore
• Urban Development & Housing Department: Rs. 21,405 crore
• Transport Department: Rs. 20,625 crore
• Health and Family Welfare: Rs. 17,473 crore
• Revenue Department: Rs. 17,201 crore
• Five guarantees: Rs. 52,000 crore