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Karnataka allocates ₹488 crore to newly created Bengaluru corporations; West bags largest share: Report
The Karnataka government allocated ₹488.56 crore for new civic bodies under Greater Bengaluru Authority, ensuring smooth operations until March 2026.
The Karnataka government has approved a financial package of ₹488.56 crore to bolster the functioning of the newly carved out civic bodies under the Greater Bengaluru Authority (GBA). This funding is aimed at keeping operations running smoothly across the five new corporations until March 2026.
Of the total grant, Bengaluru West Corporation has received the largest allocation at ₹131 crore, while the East Corporation, despite having the highest projected revenue, received the smallest portion. On the other hand, the West, with the lowest expected revenue, has been granted the most, according to a report by The Hindu.
This is the third round of funding released for the five corporations since their formation. The allocation prioritizes critical functions such as the payment of pourakarmikas (sanitation workers), salaries of permanent staff, and routine administrative and civic services, said the report.
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According to an official order, the distribution of funds is structured to ensure that core services including waste management and maintenance of civic infrastructure continue without disruption amid the ongoing restructuring following the split from the Bruhat Bengaluru Mahanagara Palike (BBMP).
Beyond the ₹488.56 crore designated for the corporations, the state has earmarked an additional ₹176 crore for infrastructure development under the GBA. Of this, ₹42.34 crore is to be maintained in an escrow account in compliance with a directive from the National Green Tribunal (NGT), the report stated.
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Another ₹87.42 crore, accumulated through various statutory deductions such as cess payments and contributions to Employee State Insurance (ESI) and Provident Fund (PF), will be transferred to the respective departments and authorities, it added.
A larger sum of ₹887.09 crore, comprising Finance Commission grants, Swachh Bharat and Amrut Yojana funds, deposits, and Brand Bengaluru allocations, has also been accounted for. However, this amount will remain on hold until the transfer of associated responsibilities and files from BBMP to the new corporations is completed.
Anticipating upcoming civic body elections, the government has also set aside ₹100 crore to be managed by the election commission for the smooth conduct of the polls.
HT.com has not independently verified the authenticity of this information.
