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Telangana Budget 2026-27: Panchayat Raj and Rural Development Receives Rs 33,688 Crore.

The Rs 3.24 lakh crore budget increases capital expenditure by over 20%, allocating Rs 33,688 crore for rural development and Rs 17,907 crore for urban projects.

  • On March 20, 2026, the Telangana government presented a Rs 3.24 lakh crore budget for 2026-27, tabled by Mallu Bhatti Vikramarka, Deputy Chief Minister and Finance Minister, prioritising Musi Riverfront and Hyderabad Metrorail Phase 2 and 3.
  • Framed as welfare-oriented, the budget aims to fulfil poll promises and accelerate development, while officials said the Congress state government restructured loans of about Rs 27,988 crore and addressed financial issues from the previous government.
  • The budget projects revenue and capital spending of Rs 2.34 lakh crore and Rs 47,267 crore, financed by open market borrowings of Rs 73,383 crore and Rs 5,500 crore from the central government, officials said.
  • Major department allocations include Rs 33,688 crore for Panchayat Raj and Rural Development and Rs 26,674 crore for Education, while interest payments of Rs 21,304 crore and a fiscal deficit of Rs 59,458 crore pose fiscal pressure.
  • Against a strong growth backdrop, Telangana reports GSDP of Rs 17.82 lakh crore at 10.7% growth, per capita income of Rs 4.18 lakh, and public debt of Rs 37,154 crore.
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The Munsif Daily broke the news in on Thursday, March 19, 2026.
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