Chief Minister Siddaramaiah presented the Karnataka Budget 2026-27 in the Legislative Assembly with a total outlay of ₹4,48,004 crore, marking a 13.3% increase over the revised estimates of the previous financial year.
The budget focuses on welfare schemes, Bengaluru infrastructure development, education, and emerging technologies such as artificial intelligence and quantum computing.
Karnataka Budget 2026-27: Key Financial Highlights
According to the budget estimates:
- Total Budget Outlay: ₹4,48,004 crore
- Fiscal Deficit: ₹97,449 crore (2.95% of GSDP)
- Total Liabilities: ₹8.24 lakh crore
- Borrowing Estimate: ₹1.32 lakh crore
- Revenue Deficit: ₹22,957 crore
Despite concerns about GST revenue decline, Karnataka expects stability due to an increased share in the tax devolution pool recommended by the 16th Finance Commission.
Social Media Ban Proposed for Children Under 16
One of the major announcements in the Karnataka Budget 2026-27 is a proposal to ban social media usage among children below the age of 16.
The state government said the measure aims to reduce the harmful effects of excessive smartphone and social media usage among young students.
Major Infrastructure Projects for Bengaluru
The Karnataka government announced several major projects to improve traffic and urban infrastructure in Bengaluru.
Key projects include:
- Construction of an Intermediate Ring Road connecting Nelamangala, Tavarekere and Bidadi
- Expansion of Namma Metro by 41 km
- Development of 100 skywalks and 500 km of footpaths
- A 9-km pedestrian walkway along the Outer Ring Road Metro corridor
- Completion of the Bengaluru Business Corridor (BBC) project
These initiatives aim to reduce traffic congestion and improve urban mobility in India’s technology hub.
Welfare Schemes Continue to Get Major Allocation
The budget continues to prioritise the state government’s flagship welfare schemes.
Major allocations include:
- ₹5,300 crore for the Shakti scheme, providing free bus travel for women
- ₹28,608 crore for the Gruhalakshmi scheme
- ₹63,135 crore for child-centric programmes
- ₹94,663 crore for women-centric programmes
These schemes remain a central pillar of the state government’s social welfare policy.
Education Sector Announcements
The Karnataka government also announced several initiatives to strengthen the education sector.
Important measures include:
- Recruitment of 15,000 teachers
- Establishment of 800 Karnataka Public Schools
- Free textbooks for PU students
- Digital libraries in Bengaluru and Dharwad for competitive exam preparation
AI, Robotics and Quantum Technology Push
Karnataka aims to strengthen its position as India’s technology hub through new investments in emerging sectors.
Key announcements include:
- Creation of a Robotics and AI Innovation Zone in Bengaluru
- AI Centres of Excellence in Raichur and Bengaluru
- Implementation of the Quantum Technology Roadmap
The state government aims to develop a $20-billion quantum technology economy by 2035.
Agriculture and Environmental Initiatives
The budget also focuses on sustainable agriculture and environmental protection.
Important initiatives include:
- Launch of the Vasudhamruta programme to promote eco-friendly farming
- Development of Pandavapura as an organic farming taluk
- Afforestation in 75,000 hectares
- Establishment of 100 Miyawaki urban forests
Conclusion
The Karnataka Budget 2026-27 attempts to balance welfare spending, infrastructure development, and investments in emerging technologies while maintaining fiscal discipline.
With major projects planned for Bengaluru and continued support for social welfare programmes, the budget outlines the state’s roadmap for economic growth and social development in the coming years.