Telangana begins groundwork for 2026-27 State Budget

The Telangana government has initiated preparations for the 2026-27 State Budget, directing departments to submit proposals by January 3 and revised estimates for 2025-26. Departments have been cautioned against inflated demands and barred from proposing new schemes without prior approval.

Hyderabad: The Telangana government has formally kicked off preparations for the 2026-27 State Budget, with the Finance Department calling for budget proposals from all departments and setting January 3 as the deadline for submissions. Departments have also been asked to furnish revised estimates for the ongoing 2025-26 financial year.

In orders issued on Saturday, the Finance Department instructed officials to treat budget preparation as a top priority and frame estimates strictly in line with available resources. Departments have been cautioned against inflating figures or submitting speculative demands and instructed to seek funds only for actual requirements.

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The IFMIS portal will be opened from December 23 for online submission of proposals. After scrutiny at the Secretariat level, consolidated estimates are to be forwarded to the Finance Department by January 6. Officials have been warned that the portal will close after the deadline and they will be responsible for any action due to the delay.

The government has prohibited the submission of proposals for new schemes without prior approval and directed departments to prioritise funding for ongoing programmes and ensure full utilisation of centrally sponsored schemes. It has also tightened norms on salary payments to contract and outsourced staff, warning of disciplinary action if payments are routed through unauthorised heads.

After departmental estimates are received, Deputy Chief Minister and Finance Minister Bhatti Vikramarka will hold budget reviews with Ministers and officials in January before final discussions with the Chief Minister. The State Budget is expected to be presented in the last week of February or first week of March next year.