As per the report of Mid Year Review of state finances, Karnataka stood third in the country for foreign investments attracted in the first half of the 2024-25 fiscal year and secured the second position in Goods and Services Tax (GST) collection.
As per the report, gross state domestic product (GSDP) registered a growth of 10.2 per cent in nominal terms in the previous fiscal year. The report said that growth trajectory of the state economy is likely to continue at a steady pace with a positive outlook in the agriculture sector, which has significantly picked up due to a good Southwest monsoon.
Revenue receipts for the state in the first half of the 2024-25 fiscal year were described as “exceptional”, growing by 13.8 per cent compared to the same period last fiscal year. The state holds the second position in total GST contributions to the country by a growth of 11 per cent has been achieved in total GST revenue generated from the state in the first half of 2024-25 compared to 2023-24.
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Compared to the corresponding period in the last fiscal year, the GST revenue collected in the first half of the current fiscal year reached Rs 37,298 crore. The state’s own tax revenue also saw a significant increase.
The revenue generated from the stamps and registration department saw a notable increase owing to revisions in guidance value and stamp duty. For the first half of the 2024-25 fiscal year, the department collected Rs 11,920 crore in revenue, around 28 per cent more than the Rs 9,344 crore collected during the same period in the last financial year.
In the report, the total liabilities “in absolute numbers” are expected to increase from Rs 5,81,228 crore in the Revised Estimate of 2023-24 to Rs 6,65,095 crore in the BE of 2024-25. The total liabilities accounted for 23.24 percent of the GSDP and remained within the norms stipulated under the Karnataka Fiscal Responsibility Act.
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