Karnataka development model studied by economists, universities worldwide: Governor

Mangalore Today News Network

Bengaluru, March 3, 2025: Governor Thaawarchand Gehlot on Monday said the state government is developing a unique model of Karnataka in development, one that is being studied by economists and universities worldwide.

Speaking at the joint session of the state legislature at Vidhana Soudha here, he emphasised that the Karnataka model of development focuses on building a people-centered approach to economic, social, and cultural governance.

"....the Government is shaping a unique model of Karnataka in development. The Karnataka model of development means creating a people-centric economic, social and cultural governance. Green energy, women empowerment, etc. are also included in this," he said.

Pointing out that the Karnataka model is being extensively studied by global experts, the Governor said, "Oxford University has described this model as ’Shining a Light in the Darkness’ and ’A BluePrint for the World’ in its Human Rights Hub blog. The head of the United Nations has personally visited the State to learn about this model and openly praised our programmes." Defending the government’s guarantee schemes, Gehlot addressed concerns that the state would fall behind in development and that its financial health would suffer due to the ambitious welfare programmes.

"The government has proven these predictions to be false," he asserted.

Listing out the state’s achievements in various sectors, the Governor said Karnataka’s income is increasing, with private capital flowing into the state in record numbers.

The severity of inequality is decreasing due to the efficient implementation of welfare programmes, he said. "The State is second in foreign direct investment. The growth rate of GST is good." He also pointed out that the number of suicides among farmer families in the state has reduced significantly due to the welfare programmes of the government.

The Governor noted that our elders, through Babasaheb Ambedkar, have given this country a very humane Constitution to ensure that society does not go towards Social Darwinism. The Constitution mandates the reduction of inequality and a fair distribution of income among the people.

"In this regard, guarantee schemes have been implemented. Resources of more than Rs 52,000 crores are being provided for this annually. Rs 70,000 crores have been transferred directly to the bank accounts of the people for 5 guarantee schemes from the time my Government has come to power," he said.

Gehlot highlighted that more than Rs.90,000 crore is being spent annually on welfare programmes, benefiting more than 1.25 crore families through direct cash transfer schemes, subsidies and incentives provided by various departments.

In his speech, the Governor emphasised that comprehensive and effective efforts are being made to transform Karnataka into a USD 1 trillion economy, focusing on healthcare, education, sanitation and sustainable agriculture for the people.

The state has been fiscally well-managed by the government, with economic growth being promoted in FY 2024-25. The state’s revenue collection in the first three quarters of the financial year 2024-25 has reached Rs 1,81,908 crores, he noted.

Compared to the previous year, the state’s revenue receipts have grown by 13 per cent till the end of December. "Karnataka is the 2nd largest State in the country in terms of total GST tax collected by the States, and the State’s GST collection has grown by 12 per cent year-on-year till the end of December this year, he added.