Archive · 25 Sep 2026
Karnataka Offers Cost Share for Centre’s Farmer Loan Waiver
Karnataka is facing a serious drought that is hurting farmers.
Chief Minister D.K. Shivakumar asked the national government to cancel farmers’ loans.
He said Karnataka would pay its portion of the cost if the national government agreed.
He invited opposition leader R. Ashoka to travel with him to meet Prime Minister Narendra Modi.
Shivakumar said all political parties should work together on the drought.
He described steps involving fodder, jobs, milk prices and water storage.
He also defended government welfare programs for households, rice recipients and women.
The Chief Minister said Karnataka is under financial pressure and believes it is not receiving a fair enough share of GST revenue.
Karnataka Chief Minister D.K. Shivakumar urged the Centre to waive farmers’ loans because of the severe drought.
Shivakumar said Karnataka would bear its share of the cost under any funding formula, including 50:50, 60:40 or 70:30.
He invited Opposition Leader R. Ashoka to join an all-party delegation seeking relief from Prime Minister Narendra Modi.
The Chief Minister said Karnataka had received Rs 3,000 crore in compensation after pursuing relief through constitutional and legal means.
Shivakumar also highlighted drought measures, welfare schemes, water-management plans and the State’s concerns over GST revenue sharing.
- Who
- Karnataka Chief Minister D.K. Shivakumar, Opposition Leader R. Ashoka, the Karnataka government and the Centre.
- What
- Shivakumar urged the Centre to waive farmers’ loans and offered Karnataka’s share of the cost.
- When
- Thursday, during a special discussion on drought in the Karnataka Legislature.
- Where
- Karnataka; Shivakumar proposed an all-party delegation to meet Prime Minister Narendra Modi.
- Why
- Because Karnataka is facing a severe drought and farmers need financial relief.
- State
- Karnataka
- Drought response
- The government is assessing milk prices, fodder shortages and rural employment.
- Proposed loan-waiver funding
- Shivakumar said Karnataka could consider 50:50, 60:40 or 70:30 cost-sharing formulas.
- Earlier compensation
- Karnataka previously secured Rs 3,000 crore in compensation after approaching the Supreme Court.
- Welfare coverage
- The government says free electricity reaches 1.60 crore households, rice reaches 4.40 crore people and Gruha Lakshmi benefits 1.21 crore women.
- Tungabhadra storage
- Silt accumulation has reduced reservoir storage capacity by around 30 TMC, according to Shivakumar.
- Irrigation finances
- The irrigation department has an allocation of Rs 20,000 crore, while works worth nearly Rs 1.25 lakh crore are under way.