Telangana Budget 2025-26 to be presented in Assembly on Wednesday

Telangana's annual budget for 2025-26 to be presented on March 19, 2025, to exceed ₹3 lakh crore

The stage is all set for the presentation of Telangana’s annual financial statement, budget, for the financial year 2025-26 in the Legislative Assembly on Wednesday (March 19, 2025).

Deputy Chief Minister Mallu Bhatti Vikramarka, who holds the Finance portfolio, will present the budget in the House around noon tomorrow even as the Finance department officials initiated efforts to fine tune the annual finance statement for the next fiscal. Officials admitted that they were on a tightrope walk in finalising the budget proposals given the need for finances to meet immediate commitments while at the same time, focussing on mobilising of the resources for the effective implementation of spree of welfare schemes.

Though the size of the total outlay will be known only after the presentation of the budget in the House, speculations are rife that the budget this time around will go beyond the ₹3 lakh crore mark to around ₹3.2 lakh crore for the first time since the formation of Telangana.

“While the numbers may seem daunting at times, let us remember that behind every allocation lies the aspirations of our people,” Governor Jishnu Dev Varma said in his address to the joint sitting of the legislature on March 12 indicating the scope for significant rise in the total outlay. The development comes at a time when the performance of the revenue earning departments during the current fiscal was not up to the expectations.

According to the provisional data released by the Comptroller and Auditor General of India, the total receipts at the end of January were ₹1.82 lakh crore, 66.57% of the ₹2.74 lakh crore projected in the budget estimates with just two months remaining for the conclusion of the financial year (2024-25). And, a major chunk of the receipts was in the form of borrowings and other liabilities which stood at ₹58,586 crore, ₹9,000 crore higher than ₹49,255 crore projected for the fiscal.

The State continues to depend on financial accommodation facilities provided by the Reserve Bank of India like special drawing facility, ways and means advances and overdraft. The State for instance depended on special drawing facility for all the 31 days of December availing ₹4,560 crore and it leveraged the ways and means advances for 24 of the 31 days for ₹1,776.29 crore.

While the scope for raising taxes to mobilise additional resources appears remote, the government can however expect more revenues this fiscal. This is on account of the proposed auction of 400 acre land at Kancha Gachibowli and auction of retail liquor outlets due later this year that is likely to fetch sizeable revenues.