Telangana Budget 2025-26: ₹31,605 Crore allocated for Panchayat Raj and Rural Development dept

Telangana government allocates ₹31,605 crore for panchayat raj and rural development

HYDERABAD

The Telangana government has allocated ₹31,605 crore for the Panchayat Raj and Rural Development (PR&RD) department in the State budget for the fiscal year 2025-26, reaffirming its commitment to rural progress and women’s empowerment. The allocation of ₹31,605 crore for the PR &RD department ranks second in terms of budgetary allocations, surpassed only by the Scheduled Caste Welfare department, which received the highest allocation of ₹40,232 crore. The PR&RD got ₹ 29,816 crore in the budget 2024-25.

Presenting the budget in Assembly on Wednesday (March 19, 2025), Deputy Chief Minister and Finance Minister Mallu Bhatti Vikramarka said that the government aims to restore and strengthen the rural system, which had ‘deteriorated under the previous regime’. “We have developed a comprehensive roadmap for its revitalisation,” he added. The Finance Minister said that they are committed to providing ₹1 lakh crore in interest-free loans to one crore women through the Indira Mahila Shakti Mission scheme.

Key updates from Telangana budget 2025-26 presented on March 19, 2025

Presenting more details regarding women’s empowerment, the Finance Minister said, “We set a target of providing ₹20,000 crore in interest-free loans under this scheme. Not only did we meet this goal, but we also exceeded it by providing ₹21,632 crore in interest-free loans to Self-Help Groups (SHGs).” This initiative has led to the establishment of 2.25 lakh microenterprises, generating large-scale employment opportunities for women.

Additionally, 214 Indira Mahila Shakti Canteens have been launched, and ₹110 crore has been allocated to set up 22 Indira Mahila Shakti Buildings as business hubs for SHGs. To enhance women’s financial security, SHGs have been entrusted with stitching school uniforms, with charges increased to ₹75 per uniform, generating approximately ₹28 crore in earnings by stitching 37.5 million uniforms.

The government has also allocated ₹634 crore for 23,701 infrastructure projects under the “Amma Adarsha Patashala Programme’‘ to SHGs. Women-led businesses are expanding with government support for rice mills and mini warehouses, enabling SHGs to manage paddy processing and supply to the Food Corporation of India (FCI).