On July 25, 2024, Mallu Bhatti Vikramarka, Deputy Chief Minister (Dy CM) and Finance Minister of Telangana, presented the Telangana State Budget of Rs 2,91,159 crore for the Financial Year 2024-25 (FY25).
- This marks the first full budget presented by the Congress government, elected in December 2023, in the Telangana Legislative Assembly in Hyderabad, Telangana.
- The total revenue is estimated at Rs 2,90,814 crore, including open market loans of over Rs 57,000 crore.
- Telangana recorded a growth rate of 7.4% during FY24 against the national growth rate of 7.6%.
- This budget surpasses the FY24 budget of Rs 2.9 lakh crore, and is approximately Rs 15,000 crore more than the ‘Vote on Account’ budget of Rs 2.76 lakh crore presented in February 2024 for FY25.
Fiscal Parameters:
i.The revenue expenditure is proposed at Rs.2,20,945 crores and the capital expenditure proposed is Rs.33,487 crores.
ii.The state has projected a fiscal deficit of Rs 49,255.41 crore, alongside a revenue surplus of Rs 297.42 crore. The primary deficit is estimated at Rs 31,525 crore.
iii.Telangana’s Gross State Domestic Product (GSDP) in FY24 was at Rs 14,63,963 crore, 11.9% higher than FY23.
iv.Public debt estimates are at Rs 62,112 crore for FY25, with the debt repayment amounting to Rs 17,101 crore.
v.The per capita income of Telangana in FY24 is Rs 3,47,229, which is Rs 1,64,063 higher than the national per capita income of Rs 1,83,236.
vi.The services sector contributed 65.7%, the industrial sector 18.5%, and agriculture and allied sectors 15.8% to Telangana’s Gross State Value Added (GSVA).
Revenue through Taxation:
i.The estimated revenue includes Rs 1,38,181.26 crore from own revenue, Rs 35,208.44 crore from non-tax revenue, and Rs 26,216.38 crore from tax revenue.
ii.Grants in aid and contributions from the Central Government are projected at Rs 21,636 crore.
iii.State Excise revenue is pegged at Rs 25,617 crore, against Rs 20,298 crore achieved in the revised estimates (RE) of FY24, which crossed the projection of Rs 18,470 crore.
iv.Revenue realization through the Stamps and Registration Department is projected at Rs 18,244 crore, higher than Rs 14,297 crore of RE of FY24.
v.Revenue through commodity taxes increased by Rs 11,000 crore from Rs 57,394 crore of FY24 to Rs 68,273 crore.
vi.Revenue through taxes on sales and trade increased to Rs 33,449 crore from Rs 29,989 crore
Agriculture and Allied Sector:
The budget proposed a major share of Rs.72,659 crores to agriculture, Rs.737 crores for horticulture, Rs.1,980 crores for animal husbandry.
Social Welfare:
i.The budget proposed Rs.33,124 crores for Scheduled Castes Special Develop Fund (SCSDF) and Rs.17,056 crores for Scheduled Tribes Special Development Fund (STSDF).
ii.The budget has also proposed Rs.9,200 crores for Backward Class (BC) Welfare.
iii.Rs.3,003 crores has been proposed for Minority welfare.
Key Allocations:
i.Rs 723 crore is proposed for the Liquefied Petroleum Gas (LPG) cylinder at Rs 500 scheme.
ii.Rs 2,418 crore assigned for free electricity up to 200 units (Gruha Jyothi Scheme)
iii.Panchayat Raj and Rural Development Department received a budgetary allocation of Rs 29,816 crore.
iv.Irrigation Department was allocated Rs 22,301 crore.
v.Education was allocated Rs 21,292 crore.
vi.Energy Department received Rs 16,410 crore, and Medical and Health Department Rs 11,468 crore.
xi.The Home Department is allocated Rs 9,654 crore.
Infrastrcture Development:
i.For urban development, Rs 10,000 crore is allocated to the Greater Hyderabad Municipal Corporation (GHMC) and Hyderabad Metropolitan Development Authority (HMDA)
ii.Rs 1,525 crore allocated for the development of the regional ring road.
xii.Roads & Buildings receive Rs 5,790 crore, Industries Rs 2,762 crore, Forests & Environment Rs 1,064 crore, and Law & Order Rs 9,564 crore.
Additional Info:
i.The revival of the Nizam Sugar Factory was announced along with the launch of the ‘Indira Life Insurance’ scheme for women, providing accidental cover for women’s self-help groups.
ii.A new weather app will be introduced to provide hourly weather updates to procurement centers and farmers.
iii.Drug committees have been established in educational institutions.
iv.An eco-tourism policy is proposed, with a committee set to visit Odisha and Karnataka to learn best practices.
v.The Maha Lakshmi Scheme will provide women with free transportation on Road Transport Corporation (RTC) buses.
vi.The state government continues to provide free electricity up to 200 units, farmer assistance under Rythu Bharosa, and rice subsidies.
Recent Related News:
i.Hyderabad (Telangana)-based, Precision Engineering and Manufacturing Company, Azad Engineering Limited has bagged contract from the Gas Turbine Research Establishment (GTRE), an Research and Development (R&D) organisation of Defence Research and Development Organisation (DRDO) and Ministry of Defence (MoD), Government of India (GoI), to provide end-to-end manufacturing, assembly and integration of completely-assembled advanced turbo gas generator engine for Defence programmes of India.
ii.2 Centres of National Skill Training Institute (NSTI) in Hyderabad, Telangana and Noida, Uttar Pradesh (UP) were selected for the Pilot Projects, focusing on empowering rural women in agriculture.
About Telangana:
Governor– C. P. Radhakrishnan
Chief Minister (CM)– Revanth Reddy
UNESCO Heritage Site– Kakatiya Rudreshwara (Ramappa) Temple (Cultural Heritage)
