Karnataka   

‘Subsidies will paralyse State economy’

Discussion: (From left) Farmers’ leader Badagalpura Nagendra, economist C.K. Renukarya, MCCI President Krishna, tribal leader Ramu and advocate Sumana at the meeting in Mysore on Saturday

MYSORE: The recently presented ‘populist’ budget by Chief Minister B.S. Yeddyurappa came under strong criticism from noted economist and retired professor of University of Mysore C.K. Renukarya in the city on Saturday.

Summing up the discussions on the State Budget 2008-09, during an interaction with representatives of various stakeholders, at a programme organised by Mysore District Journalists’ Association (MDJA), Prof. Renukarya said the “subsidy-oriented” budget spells doom for the development of the State. “By indiscriminately doling out subsidies for various categories, Mr. Yeddyurappa has lost an opportunity to lay the foundation for a stable economy for the State for the next five years,” Prof. Renukarya said.

Criticising the Government’s decision to provide free power to irrigation pumpsets, he said “giving anything free is bad economics. Such subsidies will paralyse the economy. However, there is a rider. If you are giving it free to destitute and the needy, who cannot make a living by themselves, it is alright,” Prof. Renukarya said.

The professor said that former Deputy Chief Minister Siddaramaiah had managed the finances of the State in a better manner than Mr. Yeddyurappa. Karnataka Rajya Raitha Sangha (KRRS) General Secretary Badagalpura Nagendra described the Bharatiya Janata Party Government’s decision to give free power to irrigation pumpsets as an “eyewash”. “The farmers have not paid even a single paisa towards electricity for their irrigation pumpsets during the last four years. Even former Chief Minister S.M. Krishna had waived off electricity dues of farmers. The Budget proposal to give free power to farmers is not new,” he said.

Printer friendly page  
Send this article to Friends by E-Mail

Stories in this Section

Karnataka to have MoU with Chhattisgarh on power generation, supply
Sunday Classifieds: Pages 7 & 8
Budget has ignored crisis in agriculture sector: CPI(M)
Local bodies to get planning software
Ashraya houses: 50 acres of land being acquired
State to extend support to Krishi Vigyan Kendra
‘Start agriculture college in Chamarajanagar’
Drought looms over Davangere
A day for citizens
Mandya sugar farmers go organic, reap a fortune
‘State has failed to utilise Central funds’
Budget: hotel industry feels let down
Automobile training centre to come up in Mysore
‘Subsidies will paralyse State economy’

Copyright © 2008, The Hindu. Republication or redissemination of the contents of this screen are expressly prohibited without the written consent of The Hindu