Archive · 20 Aug 2025

Karnataka's Guarantee Schemes Strain State Finances, Says CAG

Karnataka's Guarantee Schemes Strain State Finances, Says CAG

Karnataka's government started programs giving money to people, which cost a lot.

A report says this caused the state to spend less on building roads and other important things.

This means projects are taking longer to finish and the state had to borrow a lot more money.

The government says these programs help people, but the report suggests they might be hurting the state's finances.

The government spent a large amount on these schemes and also ended up borrowing a lot more to cover the costs.

Sources