Karnataka Budget 2026–27: CM Siddaramaiah likely to focus on welfare schemes, infra development in Bengaluru and backward regions

Chief Minister Siddaramaiah will present Karnataka’s budget for 2026–27 in the Legislative Assembly on Friday (March 6, 2026) at 10.15 a.m., and it is likely to provide thrust on welfare schemes and infrastructure development in Bengaluru as well as backward regions.

Like last year’s budget, the 2026–27 budget is also expected to project a revenue deficit, as the State is unlikely to achieve the revenue targets set for 2025–26 owing to various factors. The size of the budget is expected to touch ₹4.20 lakh crore.

The 14-day session of the legislature will conclude on March 27.

Amid geo-political tensions

This will be Mr. Siddaramaiah’s 17th budget, and it is expected to highlight geopolitical tensions and criticise the BJP-led NDA government’s policies, particularly the alleged discrimination in the devolution of funds, the scrapping or dilution of the MGNREGA, and the loss of revenue to the State following the rationalisation of GST by the Centre.

The Budget is also expected to refer to the M. Govinda Rao Committee report on regional imbalances in the State and promise funds for the development of backward taluks. The report has identified 172 taluks as backward, with the highest concentration in the Kalaburagi division (42%), followed by the Belagavi division (34%).

Recruitment policy

The Chief Minister is also likely to announce policy measures for recruitment in the government sector following protests by unemployed youth in Dharwad.

As the ruling Congress appears to be virtually divided over the issue of a possible change of Chief Minister, the Budget session is expected to provide a platform for both camps — that of Mr. Siddaramaiah and his deputy D.K. Shivakumar — to work out their respective political strategies.

What can Karnataka expect from State Budget 2026-27?

Chief Minister Siddaramaiah is set to present his 17th Budget on March 6 — a record in the state’s history.
| Video Credit:
The Hindu

Opportunity for opposition

The Opposition is likely to use the session to corner the Congress government over the Budget proposals and the protest held by youth seeking government jobs.

As the Budget is expected to impose new or higher taxes on fuel and liquor to mobilise additional revenue, the Opposition is likely to target the government, arguing that it has been burdening people with taxes to fund the five guarantee schemes.

Issues such as the alleged diversion of funds under the Scheduled Caste Sub-Plan (SCSP) and Tribal Sub-Plan, infrastructure bottlenecks in Bengaluru, and pending contractors’ bill, alleged corruption in the government departments are expected to trigger heated debates between the treasury and Opposition benches during the session.

A number of Bills, including an amendment to the Karnataka Prevention of Slaughter and Preservation of Cattle Act, 2020, to allow vehicles used for illegal transport of cattle to be released on an indemnity bond, are also likely to be introduced during the session.