
A report presented in Karnataka's legislature highlights persistent regional imbalances despite the state's strong 8.1% growth rate in 2025-26. Economic activity concentrates in Bengaluru, coastal Dakshina Kannada, Udupi, and Western Ghats coffee regions. Most districts lag behind. Karnataka ranks second nationally in GST collection and leads in technology and startups, yet growth remains unequally distributed across districts, widening economic divergence.