As per the Estimates of Poverty released by the Planning Commission, the estimated number of urban people living below poverty line in the year 2004-2005 was 807.96 lakhs of which areas is at the no of persons below poverty line in Karnataka state was estimated at 63.83 lakhs.

 With a view to ameliorate the living conditions of the urban poor, Ministry of Housing & Urban Poverty Alleviation is implementing an urban poverty alleviation programme named Swarna Jayanti Shahari Rozgar Yojana (SJSRY) on all India basis, with effect from 1.12.1997. The scheme strives to provide gainful employment to the urban unemployed and under-employed poor through encouraging the setting up of self employment ventures by the urban poor living below the poverty line, skills training and also through providing wage employment by utilizing their labour for construction of socially and economically useful public assets. The Statement showing Sate-wise budget allocation made under the Swarna Jayanti Shahari Rozgar Yojana (SJSRY) during the past three years for the state of Karnataka during the year 2011-12 was 4874.28 lakhs.