Approved by the Chief Minister, the circular mandates that reports on all study tours abroad between August 2024 and July 2025 be submitted within a week.
Approved by the Chief Minister, the circular mandates that reports on all study tours abroad between August 2024 and July 2025 be submitted within a week.The Siddaramaiah government on Wednesday issued a directive banning all official foreign travel for state government officials with immediate effect until 2025-end or till further notice, as per a circular issued by the Department of Personnel and Administrative Reforms.
The circular said that officials who wish to get approval for future foreign travel are required to first submit a detailed report on previous trips. The report must comprise learnings and outcomes from previously undertaken foreign trips.
"Only after submission and review of these reports will proposals for new trips be considered," the circular, as accessed by Moneycontrol, read. Approved by the Chief Minister, the circular mandates that reports on all study tours abroad between August 2024 and July 2025 be submitted within a week.
It has been sent to all senior secretaries, the DGP, the Principal Chief Conservator of Forests, and officials in the CM’s office. The directive comes more than a month after a report by the Comptroller and Auditor General (CAG) noted that the five guarantee schemes absorbed 15% of Karnataka's revenue expenditure.
The CAG highlighted that capital expenditure, particularly on infrastructure, fell by about ₹5,229 crore compared to 2022-23, linked to increased spending on the new schemes.
The CAG warned, "Implementation of the five guarantee schemes without rationalising existing subsidies/financial assistance or the benefits would place pressure on the state’s resources and have an influence on fiscal deficits and debt levels."
Karnataka's Congress government launched five major guarantee schemes—Gruha Jyothi, Gruha Lakshmi, Anna Bhagya, Yuva Nidhi, and Shakti—after taking office in May 2023. The schemes together cost the state ₹16,964 crore for Gruha Lakshmi, ₹8,900 crore for Gruha Jyothi, ₹7,384 crore for Anna Bhagya, ₹3,200 crore for Shakti, and ₹88 crore for Yuva Nidhi, significantly increasing government expenditure.
The Principal Accountant General (Audit-1) reported that implementing these schemes resulted in a 12.54% rise in total government expenditure compared to the previous year, contributing to a revenue deficit of ₹9,271 crore for 2023-24. The state's fiscal deficit increased from ₹46,623 crore in 2022-23 to ₹65,522 crore in 2023-24. This gap was funded through net market borrowings, which reached nearly ₹63,000 crore, much higher than last year's ₹26,000 crore.
Karnataka's government depended heavily on increased borrowing from the market. The CAG observed that this higher debt load could have long-term implications for the state's financial stability.