Overview
- At the pre-Budget meeting, Deputy CM and finance minister Mallu Bhatti Vikramarka proposed merging surcharges with base taxes or channeling the estimated ₹1.55 lakh crore in 2025-26 surcharge receipts into a non-lapsable infrastructure fund for state grants.
- He urged raising states’ fiscal deficit cap to at least 4% of GSDP, converting 50-year interest-free loans into grants, doubling central assistance, and easing FRBM limits for education and health.
- Telangana sought swift approval and Centre funding for the Regional Ring Road and Hyderabad Metro Phase-2, plus an IIM in Hyderabad, more KVs and JNVs, and airports at Peddapalli, Warangal, Adilabad and Kothagudem.
- The wishlist also detailed big-ticket allocations, including ₹45,000 crore for radial roads, ₹14,100 crore for the Musi riverfront, a ₹17,000 crore greenfield highway to Amaravati, ₹2,677 crore for the Vikarabad–Krishna rail link and ₹17,212 crore for Hyderabad’s sewerage plan.
- States at the consultation sought greater capex support and compensation for GST-related revenue losses, while the Centre signaled consideration of the 16th Finance Commission’s recommendations.