Karnataka Cabinet Approves 'Udyoga Nidhi' Scheme to Spurt 100,000 Jobs in 11 Backward Districts
In a major policy decision aimed at mitigating regional development imbalances, the Karnataka State Cabinet has approved the implementation of the 'Udyoga Nidhi' scheme. Announced by Information Technology, Biotechnology, and Rural Development Minister Priyank Kharge, the strategic initiative aims to generate 100,000 new formal jobs in 11 designated backward districts across the state.
The policy framework targets underdeveloped regions including Kalaburagi, Bidar, Raichur, Yadgir, Bagalkot, Koppal, Vijayanagara, Haveri, Gadag, Belagavi, and Vijayapura. Under the scheme, eligible Micro, Small, and Medium Enterprises (MSMEs) and industrial units that create fresh job opportunities will receive a government wage subsidy of ₹2,500 per additional employee per month for up to 24 months.
To ensure financial accountability, the state government has sanctioned an annual allocation of ₹305 crore for the programme. The monthly subsidy will be disbursed directly to enterprise accounts only after official verification of employment records and proof of wage payments. By incentivizing industrial expansion beyond metropolitan centers like Bengaluru, the administration seeks to foster balanced economic progress and prevent out-migration of skilled local youth.
