Big spend, bigger promises in Telangana Budget
Rs 3.24 lakh cr outlay targets growth & welfare | Metro expansion, Musi project, social schemes get major boost
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Hyderabad: The Telangana government on Friday presented a Rs 3.24 lakh crore budget for 2026–27, an increase of nearly Rs 20,000 crore over the previous year, with a focus on infrastructure, welfare schemes, and fulfilment of poll promises.
Presenting the budget in the Assembly, Deputy Chief Minister Mallu Bhatti Vikramarka allocated Rs 50,713 crore for the Congress government’s six poll guarantees, including Rs 18,000 crore for the Rythu Bharosa scheme for farmers.
Key infrastructure priorities include the Musi Riverfront development and Hyderabad Metro Rail Phase 2 and 3. Revenue expenditure is pegged at Rs 2,34,406 crore and capital expenditure at Rs 47,267 crore.
Sector-wise, agriculture received Rs 23,179 crore, energy Rs 21,285 crore, municipal administration Rs 17,907 crore, and health Rs 13,679 crore. Panchayat Raj and Rural Development got Rs 33,688 crore, while irrigation was allocated Rs 22,615 crore.
Among welfare initiatives, Rs 14,861 crore has been earmarked for the Cheyutha pension scheme, including two lakh new beneficiaries. A new Rs 4,000 crore life insurance scheme will cover 1.15 crore families with Rs 5 lakh insurance. A midday meal scheme for Intermediate students will be introduced with Rs 100 crore. The budget also proposes upgrading select government schools into Telangana Public Schools with modern infrastructure, allocating Rs 500 crore. For employees, a cashless health scheme and accident insurance coverage were announced, benefiting 7.57 lakh employees and pensioners. A combined Rs 1,056 crore has been set aside for health and insurance initiatives.
To boost employment, the CM Overseas Employment Programme will be launched with Rs 1,056 crore for skill training and placement abroad.
The fiscal deficit is projected at Rs 58,458 crore, with a revenue surplus of Rs 6,857 crore. Public debt stands at Rs 5.62 lakh crore (29% of GSDP). Opposition BRS and BJP criticised the budget as inadequate.

