Thaindian News

Bangalore, Feb 26 (IANS) Karnataka Chief Minister B.S. Yeddyurappa Friday termed the union budget for 2010-11 as “disappointing”. The budget has ignored the state’s request to waive farm loans in flood-affected areas in north Karnataka and for financial assistance for Bangalore infrastructure, he said.
“Our request to waive farm loans in the flood affected areas, to extend financial assistance of Rs.8,500 crore for infrastructure development in Bangalore, and Rs.8,000 crore towards redressal of regional imbalance (in north Karnataka) have not been considered,” Yeddyurappa told reporters here.

The chief minister said that “as far as Karnataka is concerned, the budget does not offer any special or extra assistance”.

“Not very satisfying budget. It will burden the poor and middle class people, who are already burdened by the spiralling prices of essential commodities in the backdrop of fuel prices being hiked,” he said.

Yeddyurappa criticised the cut in fertilizer subsidy, and said it “will lead to rise in fertilizer prices which will have negative impact on the growth of agriculture”.

“The growth of agriculture has been negative below two percent, though the plan was to achieve four percent growth during the 11th Five Year Plan,” Yeddyurappa added.

He said that while a hike in fuel prices will further add to inflation, the 5.5 percent fiscal deficit target reflects the failure of the central government in maintaining fiscal discipline.

Yeddyurappa, however, welcomed more allocation to social sectors like health, education, women and child welfare, rural development and agriculture.