Karnataka Budget 2026 | Mysuru to be developed as state's second IT city after Bengaluru: Siddaramaiah

Karnataka Chief Minister Siddaramaiah on Friday, March 6, announced that Mysuru will be developed as the state’s second major IT hub, as part of efforts to reduce pressure on Bengaluru and expand economic activity beyond the capital.

Presenting the 2026-27 state Budget in the Assembly, Siddaramaiah said the government would strengthen the information technology ecosystem in Mysuru, where the sector has already seen steady growth.

“With the support extended to the IT sector, more than 30,000 employees are currently working in nearly 100 companies in Mysuru,” the Chief Minister said. “To ease congestion in Bengaluru and to strengthen economic activities beyond the capital, Mysuru will be developed as the second IT city of the state.”

The move is part of the government’s broader push to decentralise technology investments and promote the growth of new technology clusters in other cities across Karnataka.

Siddaramaiah also highlighted the state’s focus on Global Capability Centres (GCCs), noting that Karnataka was the first state in India to introduce a dedicated policy for the sector.

Under the state’s GCC policy, more than 550 such centres are currently operating in Karnataka, he said. The government has set a target of establishing 500 new GCCs by 2029.

According to the Chief Minister, the expansion of GCCs is expected to generate employment for around 3.5 lakh people and create an economic output of nearly USD 50 billion over the next few years.

To further promote the sector, the government will also set up a new IT park in Mangaluru through Karnataka State Electronics Development Corporation Limited, with a focus on attracting Global Capability Centres.