Telangana Budget 2026-27: Focus on six guarantees, cautious allocations
Telangana Budget 2026-27: Focus on six guarantees, cautious allocations
Telangana shifts from polls to policy as officials draft a cautious 2026-27 budget, realigning funds to the six guarantees while tracking Centre-backed revenue prospects.
The focus in Telangana is shifting from municipal polls to the budget for 2026-27. Officials plan a series of department-wise meetings starting February 16 to assess requirements and build a realistic outlay, with the total likely in the range of Rs 3.15 lakh crore to Rs 3.22 lakh crore. The budget session is expected to begin in the first week of March after discussions between the Deputy Chief Minister and Chief Minister to finalise dates for the session. The State Government has decided to tread cautiously on finalisation of allocations, aiming to rationalise spending in non-core sectors while prioritising the six guarantees promised to people in the run-up to the 2023 Assembly elections.
The budget timetable comes amid an emphasis on realistic budgeting, with officials instructed to ensure that both allocations and the total outlay align with expected tax revenues and Centre transfers. The government is keen to avoid shortfalls in revenue while delivering on the six guarantees that anchor its electoral promises.
On the revenue front, realisation till December stood at ₹1.9 lakh crore, about 67.01% of the ₹2.84 lakh crore projected in the budget estimates, with borrowings of ₹65,930 crore constituting a major share of receipts. Tax revenues were ₹1.13 lakh crore through the third quarter, against ₹1.75 lakh crore estimated. Officials are confident that tax receipts will improve in the last quarter, potentially lifting overall receipts beyond 80% of the projections. The Chief Minister has directed officials to ensure allocations and the total outlay are realistic, while finalising dates after further meetings to prepare for a prudent, outcome-focused budget for 2026-27.