Bengaluru Bandh: 2 days shutdown to cost Karnataka Rs 4,000 crore

Updated : Sep 27, 2023 19:40
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Editorji News Desk

Bengaluru Bandh: A dawn-to-dusk Bandh was observed on Tuesday in Bengaluru against releasing Cauvery water to Tamil Nadu. Now, pro-Kannada organisations have called for another Bandh on September 29.

Bengaluru Bandh disrupts economic activities

According to the Times of India, industry bodies such as Karnataka Employers Association(KEA) and Karnataka Chambers of Commerce and Industry (FKCCI) predict that the 2-day bandh is expected to cost the state of Karnataka approximately Rs 4,000 crore.

"One day closure by only the trading community amounts to a Rs 100 crore loss in GST collection to the state exchequer. Consider this multiple times across all spheres of economic activities,” said Ramesh Chandra Lahoti, FKCCI president-elect told Times of India.

Meanwhile, Industry bodies have also argued that the Bandhs will cripple the economy that had just recovered from the pandemic. They further said that the Bandhs hinder its growth towards becoming a $1-trillion economy.

"Bandhs hurt the livelihood of people. They can never be an option for any issue, be it sentimental or political,” BC Prabhakar, president of KEA told Times Of India.

According to the Federation of Karnataka Chambers of Commerce & Industry (FKCCI), a business requires at least one week to recover from the losses incurred from just one single day of closure.

Hotelier's association, which employs nearly 10 lakh people directly or indirectly, estimates a loss of Rs 100 crore in excise duty, reported Times Now. 

“While reports suggest heavier losses, revenue generation in our industry is on a daily basis. Other industries can restart operations the next day and recoup losses, but that's not possible for hoteliers,” PC Rao, president of Bengaluru Hotelier's association, told Times Now.

Also Read: ₹2,000 notes: What happens after the September 30 deadline?

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