Five guarantees will continue in Karnataka, reiterates Chief Minister Siddarmaiah in Independence Day speech

There has been intense speculation on the future of the schemes as a few Ministers are said to be mounting pressure on the Congress government in Karnataka to “rethink” the contours of the schemes, as many rich and middle-class families have been benefiting from the schemes, apparently at the cost of development works.

Putting to rest speculations about Karnataka government planning to stop the five guarantee schemes or tweaking them with more exclusionary clauses, Chief Minister Siddaramaiah categorically said that they will be continued for the full term of his government.

“We will give a befitting reply through economic growth of Karnataka to those who made the prophecy that the State will go bankrupt by these schemes,” he said, during his Independence Day address at the Field Marshal Manekshaw Parade Ground in Bengaluru on August 15, in response to allegations that guarantee schemes had come at the cost of developmental works and financial prudence.

There has been intense speculation on the future of the schemes as a few Ministers are said to be mounting pressure on the Congress government in Karnataka to “rethink” the contours of the schemes, as many rich and middle-class families have been benefiting from the schemes, apparently at the cost of development works.

“These schemes have brought relief to the lives of people who have suffered due to the rising financial inequality. On the one hand, our government is giving impetus to the re-distribution of wealth through these schemes and on the other hand we have taken up programmes for sustainable economic development of the State with equal commitment. We are working towards making Karnataka Sarva Janangada Shantiya Thota by continuing the tradition of social harmony and fraternity along with achieving economic growth and financial equality,” he asserted.

Through the five guarantee schemes - Gruha Lakshmi, Shakti, Gruha Jyothi, Anna Bhagya and Yuva Nidhi - each beneficiary family receives direct and indirect benefits amounting to an average of ₹ 4,000 to ₹ 5,000 per month. This is the concept of Universal Basic Income, which provides direct financial assistance to poor families. “Karnataka is the only state implementing such a programme in a big way, which is being implemented in developed countries to help the poor and we are proud of it,” he said. 

Pointing out that the State is all set to make innovations and help these beneficiaries further, the Chief Minister said: “We are providing ₹ 2,000 to every woman head of the beneficiary families. We are thinking of helping them organise as Stree Shakti women self-help groups and encourage them to take up income-generating activities by facilitating assistance from financial institutions. Similarly, Skill Development training is being imparted to the beneficiaries of Yuva Nidhi.”

The Chief Minister said that women have already availed 270 crore free trips under Shakti Scheme and saved around ₹ 6,541 crore. Under the Gruhalakshmi scheme, ₹ 25,259 crore has been transferred directly to the accounts of 1.20 crore women. “We had announced to provide 5 kg extra rice free of cost under the Anna Bhagya scheme. Due to the non-cooperation of the Government of India, we are transferring an equivalent amount of money to the beneficiaries instead of additional rice. So far ₹ 7,763 crore has been transferred to 4.08 crore beneficiaries of 1.16 crore ration cards. As many as 1.60 crore families have availed the benefits of Gruha Jyoti scheme which provide free electricity for up to 200 units. The Government has spent ₹ 8,844 crore for implementing this scheme.”