BENGALURU – Marking a historic milestone in his political career, Karnataka Chief Minister Siddaramaiah presented his 17th state budget on Friday for the 2026-27 fiscal year. The budget, totaling ₹4,48,004 crore, balances aggressive welfare spending with a new “11G” economic framework, while taking a sharp stance against the Union Government’s fiscal policies.
In a move that caught national attention, the Chief Minister announced that social media will be banned for children under the age of 16 in Karnataka. The policy aims to mitigate the adverse psychological and physical effects of increasing mobile usage among minors.
The ’11G Model’ and Welfare Strategy
Siddaramaiah introduced a Karnataka-specific economic framework dubbed the ’11G Model’. He emphasized that economic growth without human development is “unstable and unethical,” citing economist Amartya Sen.
Key pillars of the 11G Model include:
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Guarantee Economy: Continuing the state’s flagship welfare schemes based on universal basic income.
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Grassroots & Green Economy: Focused on rural development, agriculture, and renewable energy.
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Gig & Urban Economy: Addressing labor welfare for gig workers and sustainable city growth.
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Good Governance: Filling 56,432 vacant government posts this year, with a five-year age relaxation for applicants.
Fiscal Federalism and “Central Injustice”
The Chief Minister used the budget floor to criticize the Union Government, alleging that Karnataka—one of the nation’s highest tax contributors—is being treated unfairly.
“The cow that yields abundant milk requires proper care. If it becomes weak, the entire cowherd suffers,” Siddaramaiah remarked, drawing from Bheeshma’s philosophy to describe the state’s relationship with the Centre.
Primary Grievances Cited:
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GST Shortfalls: Rationalization of GST rates led to a ₹10,000 crore loss this fiscal year, with an estimated ₹15,000 crore hit expected next year.
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Finance Commission: Injustice in the 15th Finance Commission’s revenue-sharing formula and non-implementation of recommended special grants.
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MGNREGA: Allegations that the Centre has systematically weakened the rural employment guarantee scheme.
Budget at a Glance (2026-27)
| Metric | Details |
| Total Expenditure | ₹4,48,004 Crore |
| New Appointments | 56,432 Government Posts |
| Major Policy | Social Media Ban for Under-16s |
| Economic Vision | The “11G” Development Model |
Despite structural challenges and reduced central shares, Siddaramaiah maintained that Karnataka’s own revenue collection remains resilient, reinforcing the state’s position as a national leader in development.
