Karnataka to Develop World-Class Convention Complex on Mysore Lamp Works Land in Bengaluru's Malleshwaram

Karnataka Budget 2026-27: Key Highlights

Infrastructure Development

The Karnataka government has announced plans to develop a world-class convention complex on a 21-acre land owned by Mysore Lamp Works Limited in Bengaluru's Malleshwaram area. The project, valued at an undisclosed amount, will be implemented under a public-private partnership (PPP) model and is expected to host high-profile global conferences, summits, and exhibitions.

Industrial Policy Incentives

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The state government has introduced additional incentives under the New Industrial Policy 2025-30 to promote industrial growth beyond Bengaluru. Industries setting up units in the most backward regions will receive an additional 5% incentive, while those in backward regions will get an extra 3%. To attract investments, the state has developed a unified integrated portal with support from Microsoft, offering over 100 services across 30 departments.

Ease of Doing Business

The government has implemented the Karnataka Decriminalization (Amendment of Provisions) Act, 2025 to facilitate ease of doing business, removing 278 provisions from the scope of criminal offences across 13 different Acts. A vehicle scrapping facility will be established in Chikkaballapur district on 100 acres of land by the Karnataka Industrial Areas Development Board (KIADB).

Investments and Industrial Corridors

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The state will allocate 100 acres in Mandya district to set up an advanced construction and infrastructure testing facility in association with the Automotive Research Association of India (ARAI). The facility will involve an investment of Rs 500 crore. An aerospace common facility centre will be established at the KIADB Aerospace Park with a total project cost of Rs 30 crore.

Regional Development and Employment

A 1,000-acre industrial park will be developed in Belagavi district of North Karnataka to promote regional development and generate employment. An aerospace park will be developed adjacent to Mysuru airport by KIADB to support the growth of the aerospace sector in the region.

MSME Sector

To boost the MSME sector and generate employment, the state will establish 10 new clusters under the MSE-CDP scheme at a cost of Rs 15 crore in 2026-27. Eight industrial estates have already been established by the Karnataka Small Scale Industries Development Corporation (KSSIDC) in various districts. Two new industrial estates will be developed at Muddebihal in Vijayapura district and Kampli in Ballari district.