From surplus to struggle: Financial woes of Telangana mount ahead of session

Ahead of its budget session, Telangana is grappling with a severe revenue shortfall. Initially projected to have a ₹297 crore surplus, the state instead recorded a ₹26,050 crore deficit by January. This financial strain is expected to worsen with the rollout of three major welfare schemes:

Rythu Bharosa: ₹12,000 per acre annually for farmers

Indiramma Atmiya Bharosa: ₹12,000 per year for landless agricultural labourers


Indiramma Indlu: ₹5 lakh financial aid for the homeless to build houses

The government has already exceeded its planned borrowings. Against a budgeted loan of ₹49,255 crore, it has borrowed ₹58,596 crore by January-₹10,386 crore of which was taken in a single month. The state is also yet to fulfill its poll promise of ₹2,500 monthly aid for eligible women.

With revenue falling short and debts rising, the government is under pressure to balance its commitments while presenting a realistic budget in March.