Karnataka Rolls Out Scheme Promised Before Polls, Comes With Rs 30,000 Crore Burden

The Congress government in Karnataka seems keen to show that it will fulfil its election promises, despite the huge burden it will put on the exchequer.

The latest is its fourth pre-poll guarantee, the Griha Lakshmi Yojana, for which women are queuing up.

On Day 1 of registrations for Griha Lakshmi Yojana, an estimated one crore women came with expectations to get Rs 2,000 every month.

Prem Kumari, who came with her husband, an autorickshaw driver, to enlist for the scheme, said, "We came here to register for the Griha Lakshmi Scheme. I have four children. When the government gives money, it will be very helpful - right from paying the school fee to more."

Though women from families below and above poverty line are eligible, a new clause says it can be availed only by those families that do not file goods and services tax (GST) and income tax returns.

Antyodaya cardholders are also eligible. The Antyodaya scheme gives subsidised food to the poor.

Karnataka Chief Minister Siddaramaiah says the scheme is expected to cost the state Rs 30,000 crore.

The BJP has questioned the viability of the funding source. "It is not possible to raise such a large amount of money. These schemes will be implemented only after the Lok Sabha election," BJP leader Suresh Kumar said.

However, the state government insists the scheme will be hugely beneficial for women. "Over one crore women in Karnataka will benefit from this scheme," Women and Child Development Minister Lakshmi Hebbalkar said.

Implementing the Congress's pre-poll promises will cost the Karnataka government a whopping Rs 60,000 crore. The government has already started a free bus services for women, payment in lieu of 5 kg rice, and 200 units of free power to households. Monthly allowance to unemployed youth is their fifth pre-poll promise, which is yet to be implemented.

Analysts say Congress would hope that in the run-up to the national election in 2024, fulfilling poll promises like putting an extra Rs 2,000 every month in the hands of women will earn them political goodwill and electoral dividend, but it is not fiscally sustainable, even though clauses have been added to limit the number of beneficiaries.