Telangana Budget 2025-26 Highlights: Rs 3.04 Lakh Crore Outlay, Mega Master Plan 2050 for Industrial Growth

Telangana Deputy Chief Minister Mallu Bhatti Vikramarka, who also holds the Finance portfolio, presented the state’s annual budget for 2025-26 in the Assembly today. The budget has a total outlay of Rs 3,04,965 crore, with Rs 2,26,982 crore allocated for revenue expenditure and Rs 36,504 crore for capital expenditure.

Key Announcements:

One of the major highlights of the budget is the introduction of the Mega Master Plan 2050 for industrial development. As part of this initiative, greenfield industrial clusters will be established in Ranga Reddy and Mahbubnagar districts. To alleviate urban congestion, the government has allocated Rs 7,032 crore for the construction of 31 flyovers and 17 underpasses under the HICITI (Hyderabad Integrated Connectivity and Infrastructure Transformation Initiative) project.

Sector-Wise Allocations:

The budget makes significant allocations across various sectors:

• Education: Rs 23,108 crore
• Agriculture: Rs 24,439 crore
• Panchayati Raj and Rural Development: Rs 31,605 crore
• Health, Medical & Family Welfare: Rs 12,393 crore
• Energy: Rs 21,221 crore
• Welfare of Scheduled Castes (SCs): Rs 40,232 crore
• Welfare of Scheduled Tribes (STs): Rs 17,169 crore

Economic Outlook:

On the economic front, Telangana’s Gross State Domestic Product (GSDP) at current prices has registered a growth of 10.1%, reaching Rs 16,12,579 crore in 2024-25. The budget reflects the state government’s commitment to industrial expansion, urban and rural infrastructure development, and comprehensive social welfare programs, aiming for holistic economic progress.

Officials have faced a challenging balancing act—ensuring adequate funding for immediate commitments while securing resources for major welfare initiatives. The budget aims to propel Telangana towards sustained economic growth and inclusive development.