Telangana pinning high expectations from Union Budget 2025-26

Accordingly, the State government has outlined its priorities, seeking financial assistance worth Rs 1.63 lakh crore for infrastructure projects, including Regional Ring Road, Phase-2 of Hyderabad Metro Rail, Musi Riverfront Rejuvenation project and others

Hyderabad: Notwithstanding the years of poor treatment of Telangana in budget allocations, the Congress government is pinning high expectations on the Union Budget for 2025-26 scheduled to be introduced in the Parliament in February next.

Accordingly, the State government has outlined its priorities, seeking financial assistance worth Rs 1.63 lakh crore for infrastructure projects, including Regional Ring Road, Phase-2 of Hyderabad Metro Rail, Musi Riverfront Rejuvenation project and others.

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The Congress government in the State is also hoping for the resolution of pending financial issues including funds from the Centre as well as Andhra Pradesh pertaining to Andhra Pradesh Reorganisation Act since 2014.

Chief Minister A Revanth Reddy, Deputy Chief Minister and Finance Minister Mallu Bhatti Vikramarka, and other Ministers concerned have already submitted proposals to the union Ministers in this regard, over the last a couple of months.

Among the proposals, the Regional Ring Road project, estimated at ₹34,367 crore, is viewed as essential for boosting industrial growth, logistical hubs, and the pharmaceutical sector. The State government has already initiated land acquisition but awaits required clearances.

Additionally, the second phase of the Hyderabad metro rail expansion, covering 76.4 km at an estimated cost of Rs 24,269 crore, has been proposed for joint funding between the State and the Centre.

Another significant initiative is the Musi Riverfront Development project, which includes Gandhi Sarovar, sewerage upgrades, and heritage bridge construction. Besides seeking 220 acres of defence lands abutting Musi River, the State government sougt funds amounting to Rs 14,100 crore for the project.

Telangana has also sought for the release of pending grants totaling Rs 1,800 crore for several fiscal years, along with its share of funds owed under the AP Reorganisation Act.

The State is seeking the Centre’s intervention to address Rs 2,547.07 crore in loans attributed to it following bifurcation and an additional Rs 495.20 crore to be transferred from Andhra Pradesh towards funds allocated in 2014-15 towards Central Sponsored Schemes (CSS) to Telangana, based on population distribution.

Further, the State continues to emphasise the importance of fulfilling commitments under the Reorganisation Act, such as the establishment of an integrated coach factory at Kazipet and a steel plant at Bayyaram, among others. Proposals also have been submitted for improved railway connectivity and establishment of new airports.