Key facts
- Finance Minister Nirmala Sitharaman criticized Karnataka's Congress government for its stance on Jan Aushadhi Kendras.
- Sitharaman called the closure of these centers an act of "pettiness" that harmed the poor and middle class.
- She stated that Jan Aushadhi medicines have helped citizens save an estimated Rs 5,700 crore in Karnataka over the past decade.
- Sitharaman rejected the Karnataka government's claims of being short-changed in tax devolution.
- She stated Karnataka received approximately Rs 4 lakh crore in tax devolution from 2014-2026, a significant increase from the previous decade.
- The Finance Minister also highlighted Rs 2.71 lakh crore in grants-in-aid and Rs 18,000 crore in interest-free loans for infrastructure to Karnataka.
Union Finance Minister Nirmala Sitharaman on Sunday criticized the Karnataka government, led by the Congress party, for its earlier decision to shut down Jan Aushadhi Kendras within government hospitals. Addressing party workers in Bengaluru, Sitharaman labeled the move as an example of the Congress party's "pettiness," arguing that it harmed the poor and middle class who benefit from the scheme that offers medicines at significantly reduced prices.
Sitharaman highlighted that the Jan Aushadhi scheme has made medicines up to 60% cheaper nationwide, leading to estimated family savings of nearly Rs 40,000 crore. She specifically mentioned that citizens in Karnataka alone had saved an estimated Rs 5,700 crore over the past decade, citing a Lok Sabha reply by Minister of State for Chemicals and Fertilisers Anupriya Patel. The Karnataka High Court had previously quashed a state government notification directing the closure of these centers.
Furthermore, Sitharaman directly countered the Karnataka government's narrative that the state was not receiving its due share in tax devolution from the Centre. She presented figures indicating that Karnataka received approximately Rs 4 lakh crore in tax devolution between 2014 and 2026, a substantial increase compared to the Rs 82,000 crore received during the 2004-2014 period. Additionally, the state received Rs 2.71 lakh crore in grants-in-aid and around Rs 18,000 crore in interest-free loans for infrastructure development during the same timeframe. Sitharaman asserted that the Modi government remains committed to cooperative federalism.