Siddaramaiah cites migrant population, to seek Rs 50k crore from Centre for Bengaluru's development

Time of India

23-06-2025

Bengaluru/New Delhi: Chief minister
Siddaramaiah
will seek a special central grant of Rs 50,000 crore from the central govt for Bengaluru's development, citing the city's crumbling infrastructure and mounting strain caused by a large migrant population.
Accompanied by top finance department officials, Siddaramaiah will meet Union finance minister Nirmala Sitharaman in New Delhi Tuesday and submit the state's demands.
Siddaramaiah's team argues that despite being a global city and the hub of India's IT and biotechnology industries, Bengaluru has not received adequate central support.
Basavaraj Rayareddi, economic adviser to the CM and senior Congress functionary, said nearly 40% of Bengaluru's population comprises "outsiders" — those who have migrated to the city for employment.
He said that while this migrant workforce contributes taxes, these revenues are either retained by the Centre or redirected to their home states, leaving Karnataka to bear the cost of public services and infrastructure.
Rayareddi said a comprehensive infrastructure push is critical to keeping Bengaluru globally competitive and the demand for Rs 50,000 crore was aimed at addressing pressing urban challenges such as traffic congestion, housing, water supply, and public transport.
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Meanwhile, Siddaramaiah is also likely to raise broader fiscal concerns during the meeting. He is expected to demand restoration of Karnataka's share in central taxes to 4.1%, as recommended by the 14th Finance Commission. Under the 15th Finance Commission, the state's share was reduced to 3.6%, a move Siddaramaiah's team claims has disadvantaged the state.
He is also likely to request compensation for unmet assurances under previous commissions and will urge the Centre ensure Karnataka is treated fairly by the 16th Finance Commission, which will be in force from April 1, 2026, to March 31, 2031.
While there is no official confirmation, sources suggest that Siddaramaiah has also requested an appointment with Prime Minister Narendra Modi. With no major public engagements scheduled from Wednesday onwards, the Siddaramaiah is likely to use the time to meet other Union ministers to press for state priorities.
Siddaramaiah will also call on President Droupadi Murmu at Rashtrapati Bhavan following governor Thaawar Chand Gehlot's decision to refer a series of state bills for presidential assent.
One key bill proposes a 4% reservation for Muslims in civil contracts valued up to Rs 1 crore, a move that has generated massive political debate.
The other bills awaiting approval include a proposed amendment to the Right to Education Act mandating instruction in Kannada or mother tongue from Classes 1 to 5; a bill seeking to tax owners of mineral-rich lands such as those containing bauxite; an amendment enabling e-registration of property transactions; a proposal to introduce reservations in notary appointments for SCs, STs, OBCs, women, and differently-abled individuals; and a controversial amendment to the law governing Hindu religious institutions that seeks to channel revenues from wealthy temples to those with lower incomes.