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September 28, 2026 · 6:24 PM
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Karnataka Minister Says Guarantee Schemes Have Put Pressure on State Finances

Karnataka Municipal Administration Minister HC Balakrishna has said the state government is facing financial pressure because of its five guarantee schemes, while stressing that the programmes would continue.Balakrishna...

Karnataka Minister Says Guarantee Schemes Have Put Pressure on State Finances

Karnataka Municipal Administration Minister HC Balakrishna has said the state government is facing financial pressure because of its five guarantee schemes, while stressing that the programmes would continue.

Balakrishna made the remarks while addressing a group of persons with disabilities who were protesting in Ramanagara on Saturday night. The protesters were seeking action on their demands from the state government.

The minister said the government would have had more financial flexibility to address other demands if it did not have to fund the guarantee programmes.

He explained that the government has to balance spending on the schemes with salaries, development projects and assistance for farmers, particularly during drought conditions.

Balakrishna said the government had to manage all these commitments within the limits of its available budget.

“We have to run the government. Everything must be managed within the system and within the budget,” he said.

Minister says guarantees will continue

Balakrishna clarified that his comments should not be interpreted as the government planning to withdraw the guarantee schemes.

He said neither the state government nor Chief Minister DK Shivakumar intended to stop the programmes, which were introduced as welfare measures.

The minister urged the protesters to take into account the government's various financial commitments while assessing its ability to meet their demands.

“We are caught in the middle of all these problems and struggling,” he said.

What are Karnataka's five guarantees?

The Congress government in Karnataka introduced five major welfare programmes, commonly referred to as the guarantee schemes.

These include free electricity for eligible households under the Gruha Jyothi scheme, monthly financial assistance for eligible women through Gruha Lakshmi, free bus travel for women and transgender persons under Shakti, food support for eligible households through Anna Bhagya, and unemployment assistance for eligible young people under Yuva Nidhi.

The programmes have become a major part of the state's welfare policy and involve significant annual expenditure.

Balakrishna's remarks highlight the financial balancing act facing the government as it continues to fund these schemes while also meeting other expenditure commitments.

Protesters' demands

The minister was speaking to persons with disabilities who had gathered in Ramanagara to raise their concerns. While acknowledging the difficulties faced by the protesters, he said the government had to consider its overall financial position before taking decisions.

His comments come amid continuing discussions over the cost of Karnataka's welfare commitments and the state's ability to accommodate additional demands.

The government has maintained that the guarantee schemes will continue, while ministers have also stressed the need to manage expenditure within the available budget.

The issue of balancing welfare spending with development and other public commitments is likely to remain an important part of Karnataka's financial discussions.

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