Telangana Finance Minister Mallu Bhatti Vikramarka, who is also the Deputy Chief Minister, has proposed a Budget of ₹3,04,965 crore, about 5 per cent more than last year’s, with a revenue expenditure of ₹2,26,982 crore and a capital expenditure of ₹36,504 crore.
Presenting the Budget in the State Assembly on Thursday, he pegged Telangana’s Gross State Domestic Product (GSDP) for 2024-25 at current prices at ₹16,12,579 crore, registering a growth rate of 10.1 per cent over the previous year.
“Compare with this national GDP of ₹3,31,03,215 crore, which grew at a rate of 9.9 per cent,” he said.
Stating that the State aims to become a $1 trillion economy from its current level of $200 billion within the next decade, he said the State government has announced the ‘Telangana Rising 2050’ Vision. He added that the State was developing a Master Plan to transform Hyderabad into a global city, focusing on technological advancement, transportation expansion, infrastructure development, and environmental conservation.
- Also read: Telangana Budget 2025 LIVE: ₹3.05 lakh cr Budget prioritises farmers, rural development and economic expansion
Future City
The Future City, which covers an area of 765-sq km and 56 villages between the Srisailam and Nagarjuna Sagar Highways, will be a Net Zero City, ensuring a sustainable and pollution-free urban living.
“To ensure its seamless execution, we established the Future City Development Authority (FCDA). This next-generation city will be equipped with multimodal connectivity, an electric public transport network, and green buildings,” he said.
“The new city will have dedicated zones to house a 200-acre AI City, a Pharma Hub, a Sports City, and a Clean Energy Innovation Zone, making it a global hub for technology, industry, and sustainable development,” he said.
Power sector
“Though Telangana’s peak electricity demand reached 16,918 MW, we were able to provide uninterrupted power supply to the people. We introduced Clean & Green Energy Policy for 2025 to accelerate the shift toward renewable and eco-friendly power generation.”
Under this policy, the State targets to generate an additional 20,000 MW of renewable energy by 2030 and expand it to 40,000 MW by 2035.
Singareni Collieries Company Limited (SCCL) and the Telangana Renewable Energy Development Corporation (TREDCO) are jointly working on pioneering geothermal energy-based power generation.
The Finance Minister allocated ₹11,500 crore as subsidies to power generation companies to ensure uninterrupted free electricity for farmers, and another ₹3,000 crore for the free power scheme to 50 lakh households (for consumption up to 200 units) and government schools.”
Key allocations
Based on the document, here are the key budget allocations for 2025-26 in descending order:
Scheduled Castes Welfare: ₹40,232 crore
Panchayati Raj and Rural Development Department: ₹31,605 crore
Agriculture Department: ₹24,439 crore
Irrigation & Command Area Development Department: ₹23,373 crore
Education Department: ₹23,108 crore
Energy Department: ₹ 21,221 crore
Scheduled Tribes Welfare: ₹17,169 crore
Municipal Administration and Urban Development Department: ₹17,677 crore
Health, Medical & Family Welfare Department: ₹12,393 crore
Backward Classes Welfare Department: ₹11,405 crore
Roads & Buildings Department: ₹5,907 crore
Civil Supplies Department: ₹5,734 crore
Industries Department ₹3,527 crore
Minority Welfare Department: ₹3,591 crore
Women and Child Welfare Department: ₹2,862 crore
Animal Husbandry Department: ₹1,674 crore
Information Technology Department: ₹774 crore
Handlooms: ₹371 crore
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