Karnataka’s New Quota Law: 4% Reservation for Muslims in Public Procurement
- India South Asia
Shreya Naskar
- March 22, 2025
- 0
- 143
- 4 minutes read

Earlier this month, Karnataka Chief Minister Siddaramaiah announced a 4% reservation for Muslims under Category-2B in government contracts below Rs 2 crore and for procurement of goods and services below Rs 1 crore through various government departments. This move was introduced in his record 16th Budget presented on March 7, 2025. Previously, the Congress-led Karnataka government had introduced and later removed a 4% reservation for Muslims in education and jobs. However, this new provision focuses solely on public procurement contracts, aiming to support economically weaker Muslim communities in the state. The bill sparked immediate political controversy, with the Opposition BJP strongly opposing the move. Karnataka BJP state chief B Y Vijayendra termed the decision as “Sarkari Jihad” and vowed to protest against it inside and outside the Assembly.
Key Provisions of the Bill
- The 4% reservation applies to Muslims under Category-2B in government contracts below Rs 2 crore.
- The quota is also extended to procurement of goods and services below Rs 1 crore through various government departments.
- This is in addition to existing quotas for SCs, STs, and OBCs under the Karnataka Transparency in Public Procurement (KTPP) Act.
- SCs and STs currently enjoy a 24% reservation for government projects under Rs 2 crore and procurement of goods and services below Rs 1 crore.
- Category-1 communities enjoy a 4% quota, while Category-2B (which includes Muslims) now receives 15% reservation.
The Karnataka government justifies the bill as a necessary step to uplift economically weaker Muslim communities by: Creating employment opportunities. Increasing financial inclusion for backward groups. Addressing grievances from small contractors from the minority community who allege being overlooked in government tenders. Deputy Chief Minister D K Shivakumar defended the move, accusing the BJP of engaging in divisive politics. He emphasized that all minorities, including Muslims, Christians, Sikhs, and Buddhists, are Indian citizens and deserve equal opportunities. Shivakumar challenged the BJP, stating, “Those talking about unity should make a Christian or Muslim an MLC or Rajya Sabha MP or Union Minister. Only then do they have the right to talk about equal opportunity.” The BJP strongly opposed the bill, accusing the Congress government of appeasement politics. BJP leader Vijayendra alleged that this is part of a larger trend, referring to: “Anti-national jihad,” pointing to allegations of pro-Pakistan slogans in the Assembly. “Economic jihad,” referring to what the BJP claims are disproportionate allocations to Muslim welfare programs. Vijayendra also compared the Congress government to the courts of Aurangzeb and Tipu Sultan, claiming that anything “anti-Hindu” is being legitimized under this administration.
During Siddaramaiah’s first tenure (2013-2018), he introduced a reservation for SC/ST communities in government tenders up to Rs 50 lakh. After returning to power in 2023, he extended the limit to Rs 2 crore and included OBCs in the reservation policy. With this latest move, the Congress government is attempting to solidify its support among Karnataka’s Muslim community, which comprises about 14% of the state’s population. Studies from the Karnataka State Backward Classes Commission indicate that Muslims have low representation in government jobs and education, justifying the need for economic inclusion. The BJP has vowed to challenge the bill in the Supreme Court. The political debate surrounding the issue is expected to intensify both within Karnataka and at the national level. Judicial intervention will likely determine the final outcome of the policy. This latest move by the Karnataka government has deepened political divisions, setting the stage for legal battles and further political debates over affirmative action policies in India.