Mohandas Pai Calls for Special Budget Funds for Bengaluru Ahead of Union Budget 2026

SUMMARY
Mohandas Pai, the former Chief Financial Officer of Infosys and a well-known venture capitalist, has appealed to the central government to allocate “special funds” for Bengaluru in the upcoming Union Budget for 2026. In a recent video interview with the news agency PTI, Pai emphasised that India’s technology capital urgently needs dedicated financial support to address its persistent infrastructure and governance challenges.
With Union Finance Minister Nirmala Sitharaman scheduled to unveil the Union Budget on February 1, Pai expressed optimism that the Centre would recognise Bengaluru’s economic significance through specific financial allocations.
Critique of Karnataka Government’s Spending Focus
Pai did not hold back in his criticism of the Congress-led Karnataka government, accusing it of overlooking Bengaluru’s needs while focusing on welfare schemes. He claimed that the state had spent between ₹60,000 crore and ₹70,000 crore on what he referred to as “so-called guarantees,” arguing that nearly half of this expenditure was unnecessary.
He pointed out that such spending has diminished the funds available for enhancing infrastructure and public services in Bengaluru, a city that plays a crucial role in India’s technology sector.
Opposition to the Proposal for Paper Ballots
Pai also voiced strong opposition to the state government’s reported intention to reintroduce paper ballots for the 2026 Bengaluru City Corporation elections, describing the move as outdated and inappropriate for a global technology hub.
“Bengaluru is the leading tech city in the world, with a vast number of professionals in the technology sector. To take the city backward with paper ballots is simply absurd,” Pai remarked, cautioning that such decisions could tarnish Bengaluru’s international reputation.
Concerns About Governance and Global Standing
Pai expressed that proposals like reverting to paper ballots indicate a concerning mindset among those in power. He urged the Karnataka government to concentrate on enhancing governance, infrastructure, and urban planning instead of adopting regressive measures that could undermine the city’s global stature.
Praise for Siddaramaiah’s Political Journey
Despite his criticisms, Pai acknowledged Chief Minister Siddaramaiah as an “extraordinary” political leader and a source of inspiration. He commended Siddaramaiah’s journey from modest beginnings without political connections, attributing his achievements to hard work, intelligence, and determination.
Previous Warnings on Bengaluru’s Infrastructure
Pai’s remarks come amid increasing concerns from industry leaders regarding Bengaluru’s infrastructure. Last September, he joined Biocon founder Kiran Mazumdar Shaw in highlighting issues related to poor road conditions and civic amenities near Google India’s office.
Mazumdar-Shaw’s comments, which included insights from a visiting foreign executive, sparked a broader discussion about the city’s infrastructure challenges.
Government Response and Repair Initiatives
Deputy Chief Minister DK Shivakumar, responsible for Bengaluru’s development, acknowledged the existing challenges but called for a collaborative approach rather than constant criticism. He announced that ₹1,100 crore has been allocated for road repairs, with over 10,000 potholes identified and more than 5,000 prioritised for repair.
Under the Greater Bengaluru Authority, Shivakumar mentioned that local bodies, such as the East Corporation, would retain significant revenues to directly enhance infrastructure in key IT corridors.
Industry Leaders Recognise Recent Improvements
A month later, both Pai and Mazumdar-Shaw commended Shivakumar’s leadership, crediting him for taking decisive action to tackle issues related to garbage, debris, and potholes throughout the city. Officials from the Greater Bengaluru Authority reported that nearly 18,000 potholes have been filled as part of the ongoing repair initiative.
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