Karnataka BJP President and MLA B.Y. Vijayendra criticized the state government’s financial management, referring to the Union Finance Ministry’s Monthly Economic Review for April 2026. He expressed concern over the high percentage of revenue spent on interest payments due to what he called “unscientific financial management.” Vijayendra highlighted a revenue deficit of 0.7% and described the situation as alarming.
In response to the report, Vijayendra alleged that the Karnataka government’s guarantee schemes and populist programs have left insufficient funds for development and priority sectors in the state. He warned that the state’s financial stability is at risk due to political considerations and competitive populism surrounding these schemes. Quoting the Union Finance Ministry’s review, he emphasized the financial stress faced by states with revenue deficits, including Karnataka.
Vijayendra urged Chief Minister Siddaramaiah to prioritize restoring the state’s financial stability over political gains. He criticized the government for potentially pushing future generations into a debt trap in pursuit of power. The Union Finance Ministry’s report highlighted concerns about Karnataka and eight other states facing economic crises due to revenue deficits and debt burdens. The states were cautioned about the risks associated with guarantee schemes.
