Telangana plans Rs 21,000-crore market borrowings in Q2

The Telangana government plans to raise Rs 21,000 crore through open market borrowings in the July-September quarter of 2026-27, according to the RBI's borrowing calendar. The proposed amount exceeds the Rs 18,900 crore borrowed during the first quarter

Hyderabad: The Telangana government has proposed to raise Rs 21,000 crore through open market borrowings during the second quarter (July-September) of 2026-27 financial year.

The State raised Rs 18,900 crore during the first quarter (April-June) this year through auction of State securities as per schedule within the Fiscal Responsibility and Budget Management limits.

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According to the indicative calendar released by the Reserve Bank of India (RBI) on Friday, Telangana will borrow Rs 11,500 crore in July, Rs 4,500 crore in August and Rs 5,000 crore in September. The State is set to raise the largest tranche of Rs 7,000 crore on July 1 through an RBI auction, followed by Rs 3,500 crore on July 14 and another Rs 1,000 crore on July 28.

With borrowings averaging over Rs 6,000 crore a month in the first quarter, the latest borrowing calendar indicated that the State will continue relying heavily on market loans to finance its expenditure.

The proposed second-quarter borrowing exceeds the amount raised in the April-June period.