Telangana Budget 2025–26 Faces Sharp Fiscal Criticism

Hyderabad: A detailed analysis of the Telangana Budget 2025–26 has raised concerns over fiscal management, with Dasoju Sravan Kumar highlighting structural weaknesses during a TASK-organized round table.

He stated that meaningful budget scrutiny must consider multiple official documents, including CAG reports, rather than relying solely on headline figures. Therefore, actual expenditure becomes critical in assessing governance performance.

Telangana Budget 2025–26 highlights underutilization and financial stress across sectors

The analysis pointed out that the state moved from a ₹779 crore surplus to a ₹9,420 crore deficit under the current administration led by Revanth Reddy.

Moreover, borrowing patterns indicated heavy dependence on loans, with the government reportedly seeking funds from the RBI almost throughout the year. While total borrowings reached ₹3,47,000 crore, repayment figures under FRBM norms remained significantly lower.

Spending inefficiencies were evident across sectors. Housing, welfare, agriculture, and minority development all recorded utilization levels far below allocations, with some sectors spending less than half of the allocated funds.

The analysis also noted that central grants fell short of expectations despite references to coordination with Narendra Modi.

In addition, issues related to farmer welfare, employment promises, and social sector commitments were highlighted. Education and health spending remained below recommended levels, raising concerns about long-term development priorities.