‘Karnataka will become revenue deficit state if Centre does not extend GST compensation period’

News Network
February 12, 2021

New Delhi, Feb 12: Karnataka - which is expected to have a debt of over Rs 4 lakh crore at the end of this fiscal year -  will become a revenue deficit state if the Centre does not extend the GST compensation period, Congress MP G C Chandrashekar said on Friday in the Rajya Sabha.      

6Participating in a debate on Budget 2021, Chandrashekar pointed out that the GST compensation provided to Karnataka since 2018-19 was very low despite the state being the third highest tax generator in the country.

At the time of implementation of the Goods and Services Tax (GST) on July 1, 2017, the Centre had promised to compensate states for loss of revenue for five years at an agreed formula.      

Chandrashekar said Karnataka is in a bad financial situation as its debt is rising every year and is expected to cross Rs 4 lakh crore this fiscal year from Rs 3.27 lakh crore in 2019-20.

The state's transportation department is struggling to pay salaries of its staff and could pay half salary in December 2020 and is yet to decide for January, he said, adding that in the current situation it can only afford fuel for buses.  

Even the Bengaluru Metropolitan Transport Corporation (BMTC) is considering borrowing Rs 250 crore, while the transportation department has already mortgaged BMTC head office and is mulling mortgaging more assets, he added.      

"If this situation continues and the GST compensation period is not extended, then Karnataka will move from revenue surplus state to revenue deficit state. Then money will have to be borrowed to pay salaries and administrative costs leaving development activities," Chandrashekar noted.    

Expressing concern over low GST compensation given to Karnataka, the Congress leader said the state had contributed Rs 79,000 crore GST revenue in 2018-19 but in return got only Rs 10,754 crore as compensation. Similarly in 2019-20, the state contributed Rs 84,000 crore GST revenue and received Rs 16,628 crore compensation.    

For 2020-21, the revised estimate shows GST compensation to Karnataka at Rs 7,900 crore, less than Rs 28,000 crore budgeted as GST divulsion, he said.    

Further, he said the government has not given the special grant of Rs 5,495 crore for 2020-21 despite being recommended by the 15th Finance Commission to offset the losses.    

While noting that the Centre has failed to fulfill the promises it made, the Congress leader said suburban rail project to ease Bengaluru traffic was announced in 2018 but work has not yet commenced. The promise of conducting banking exams in regional languages has also not been kept. 

Comments

Add new comment

  • Coastaldigest.com reserves the right to delete or block any comments.
  • Coastaldigset.com is not responsible for its readers’ comments.
  • Comments that are abusive, incendiary or irrelevant are strictly prohibited.
  • Please use a genuine email ID and provide your name to avoid reject.
News Network
January 6,2025

Bengaluru: An eight-month old baby has been detected with the human metapneumovirus (HMPV) in a Bengaluru hospital on Monday, with reports going viral online. This is likely the first reported case of HMPV in the country after the recent spike in China.

The baby is reportedly undergoing treatment in a private hospital in northern Bengaluru.

The Karnataka state health department has maintained that there is no cause for concern.

"We don't know what strain of virus is spreading in China. Without knowing that, we cannot say that this reported case is concerning. We have been reviewing all influenza-like illnesses (ILIs) from December to check for any strain that is concerning. There is no such concerning spike across the state or country," said a well-placed source in the state health department.

The HMPV is a known virus (first discovered in 2001) that causes respiratory symptoms similar to that of a common cold, largely affecting children below the age of five. It is not a new virus.

Cases have been reported in the past, especially in the winter season, note experts and health department officials, making it not an immediate concern, unless an unusual spike is observed.

In December 2024, 714 suspected cases of HMPV were tested in 16 Virus Research and Diagnostic Laboratories (VRDLs) across the country, of which only nine were confirmed positive.

Comments

Add new comment

  • Coastaldigest.com reserves the right to delete or block any comments.
  • Coastaldigset.com is not responsible for its readers’ comments.
  • Comments that are abusive, incendiary or irrelevant are strictly prohibited.
  • Please use a genuine email ID and provide your name to avoid reject.
News Network
January 13,2025

gazanorth.jpg

The director general of the Ministry of Health in Gaza has described as “hell” the situation in the north of the strip which has been under an Israeli ground offensive and siege for “100 days”.

“The situation is literally like hell,” Munir al-Barsh said on Sunday, referring to daily Israeli attacks and the regime’s ban on food delivery to medical staff trapped in the north’s hospitals.

He added that “hospitals in northern Gaza have turned into mass graves.”

Al-Barsh noted that the offensive and the destruction of hospitals and infrastructure and any sign of life in the north are aimed to empty the region of its residents.

“The Israeli occupation has been deliberately destroying the health system since the very first moment,” he said, adding that “the destruction of hospitals was the greatest evidence of the [Israeli] genocide.”

According to his statements, 5,000 people have been killed or gone missing, while 9,500 others have been injured since the start of Israel’s offensive on the north of Gaza in early October 2024. The regime’s forces have also abducted about 2,300 people, including 65 medical staff, during the ongoing offensive.

Al-Barsh slammed the “disgraceful” silence of the international community on Israel’s atrocities, which he said, has “deepened the suffering of innocent civilians.”

Israel launched a genocidal war on Gaza on October 7, 2023 after the Palestinian resistance movement Hamas waged the surprise Operation Al-Aqsa Flood against the occupying entity in response to the Israeli regime's decades-long campaign of bloodletting and devastation against Palestinians.

The regime’s bloody onslaught on Gaza has so far killed at least 46,565 Palestinians, mostly women and children, and injured more than 109,660 others. Thousands more are also missing and presumed dead under rubble.

However, the UK’s Lancet medical journal estimates the actual number of deaths in the war is much higher than the official toll.

According to the study, figures reported by the Palestinian health ministry likely undercounted the death toll by 41 percent in the first nine months of the war as the Gaza Strip’s healthcare infrastructure unraveled.

Comments

Add new comment

  • Coastaldigest.com reserves the right to delete or block any comments.
  • Coastaldigset.com is not responsible for its readers’ comments.
  • Comments that are abusive, incendiary or irrelevant are strictly prohibited.
  • Please use a genuine email ID and provide your name to avoid reject.
News Network
January 13,2025

Mangaluru: Non-Resident Indians (NRIs) in Singapore remain determined to establish direct air connectivity between Mangaluru and Singapore despite setbacks. This follows Air India Express' (AIE) recent decision to postpone its planned direct flight service on this route, disappointing many expats.

In response, NRIs have proposed an alternative solution: extending IndiGo's existing Singapore-Bengaluru flight to Mangaluru. Currently, the Singapore-Bengaluru flight lands at Kempegowda International Airport at 7:40 AM, but passengers cannot board the 9:00 AM Bengaluru-Mangaluru connection due to insufficient transit time. Extending the Singapore-Bengaluru flight to Mangaluru would address this issue and benefit travelers.

Rajesh H. Acharya, director of HQ Connections in Singapore and coordinator of the Singapore Tuluver community, expressed disappointment over AIE's handling of the situation. "We’ve been advocating for this route since 2017, and it was close to becoming a reality. However, the sudden postponement and lack of stakeholder support have delayed our efforts," he said.

A petition has been submitted to IndiGo Airlines requesting the introduction of a direct Mangaluru-Singapore flight. Alternatively, it suggests extending IndiGo’s existing Singapore-Bengaluru flight to include Mangaluru. Expats have also approached Scoot Airlines in Singapore for direct connectivity. However, the lack of 'Point of Call' status for Mangaluru Airport remains a significant hurdle for international flights.

Despite the challenges, NRIs continue their efforts to make direct air connectivity between Mangaluru and Singapore a reality.

Comments

Add new comment

  • Coastaldigest.com reserves the right to delete or block any comments.
  • Coastaldigset.com is not responsible for its readers’ comments.
  • Comments that are abusive, incendiary or irrelevant are strictly prohibited.
  • Please use a genuine email ID and provide your name to avoid reject.