Karnataka’s 'City Of The Future' Promotion At Davos Stalls As Power‑Sharing Crisis Drags On

New Delhi: At the World Economic Forum in Davos, Karnataka Deputy Chief Minister DK Shivakumar has been promoting Bengaluru as the “city of the future”. He met global investors and even World Bank President Ajay Banga to showcase Karnataka’s skilled workforce, burgeoning infrastructure and multinational presence. Addressing media personnel, he stated, “My leader will not let me down,” and added, “I am always positive, I live on hope; hard work will always pay, I fully believe in it,” projecting confidence on an international stage .

However, the same confidence is being eroded by a leadership impasse that has dragged on for more than 2.5 years since the Congress government took office in 2023. Reported power‑sharing understandings between Shivakumar and CM Siddaramaiah have never been turned into a clear timeline, leaving the state’s strategic decisions in limbo. Shivakumar’s brother, DK Suresh, described him as a “disciplined soldier” who is patiently awaiting the high command’s call, while noting Rahul Gandhi’s assurance at Mysuru airport that an appropriate decision would be taken at the right time.

Meanwhile, the prolonged uncertainty is now costing Karnataka dearly, since major infrastructure projects, industrial policy reforms and urban‑mobility plans are being deferred. Investors at Davos are sensing instability, and the BJP is already framing the Congress as “power‑greedy". 

The political analysts asserted that as Siddaramaiah marks 1000 days in office, public trust wanes and party morale frays, making a decisive resolution from the high command not just desirable but essential for the state’s future.

The party leaders stated that Shivakumar’s Davos itinerary has been a masterclass in state branding. He highlighted Bengaluru’s role as a hub for Fortune 500 companies, emphasised the city’s talent pool of over two million IT professionals, and outlined plans for data‑centre expansion, renewable‑energy projects and a 25‑year mobility blueprint. He also announced that Karnataka would not sign any MoUs on the spot, preferring instead to invite investors to witness the state’s infrastructure first‑hand, a strategy meant to convey confidence and transparency.

As per the analysts, despite his international poise, Shivakumar’s domestic narrative is one of waiting. He repeatedly cites majority MLA support and frames his patience as party discipline, yet the lack of a concrete timeline for a chief‑ministerial transition has left key decisions on hold. The high command’s silence, intended as neutrality, now reads as indecision, stalling projects such as the Peripheral Ring Road, the proposed ‘IT City’ and ‘AI City’ in Bidadi, and a comprehensive urban‑mobility plan.

The experts suggested that when a state’s leadership is ambiguous, investors notice. At Davos, where states compete for capital, perceptions of internal instability can shift decisions to more politically steady regions. Consequently, several multinational firms have delayed final investment decisions, and venture‑capital inflows into Bengaluru’s start‑up ecosystem have slowed. Meanwhile, day‑to‑day administration continues, but strategic reforms, especially in industrial policy and green‑hydrogen initiatives, remain on paper, risking Karnataka’s competitive edge.

The BJP has also seized on the impasse, branding it evidence of the Congress' “power greed”. Within the Congress, rival camps loyal to Siddaramaiah and Shivakumar are openly lobbying in Delhi, eroding cadre morale and threatening the party’s southern stronghold ahead of the 2028 Assembly elections. The Karnataka residents, who have benefited from welfare schemes, now see a government distracted by its own power struggle, undermining confidence in its ability to deliver long‑term development.