Union Minister for Coal and Mines G Kishan Reddy | Photo credit: SIDDHANT THAKUR
The central government will decide on the release of funds for II. phase of the Hyderabad Metro Rail project only after the Telangana government completes discussions with L&T on the merger proposal for Phase I through a committee constituted for the purpose and takes a final decision, Union Coal and Mines Minister G. Kishan Reddy said on Sunday.
He told reporters in New Delhi that the state government must first clarify its stand on Hyderabad Metro Rail Phase I, complete all formalities related to its takeover and submit a proper detailed project report (DPR) before financial support can be processed.
Mr. Kishan Reddy said that the Union Ministry of Housing and Urban Development has earmarked ₹28,740 crore for MRTS and Metro projects to ensure that sufficient funds are available for the Centre’s share of II. phase of Hyderabad Metro.
Benefits for TG
Enumerated benefits for Telangana in the Union Budget, the Secunderabad MP said the state’s share of central taxes has increased by 13.5% to ₹33,180 crore in 2026-27 compared to ₹29,280 crore in the previous year.
He described the three proposed high-speed rail corridors originating from Hyderabad – towards Pune, Bengaluru and Chennai – as a “matter of pride” for Telangana. Fertilizer subsidy has also increased by nearly ₹7,000 crore, he noted.
The TEX-ECO programme, he said, will help the Kakatiya Mega Textile Park in Warangal, while a girls’ hostel will be set up in each district for students studying STEM (Science, Technology, Engineering and Medicine) courses.
Mr. Kishan Reddy welcomed the municipal bond proposal under which the Center will provide an incentive of ₹100 crore for municipal bonds above ₹1,000 crore. Nearly 32 cities in Telangana will continue to receive the existing incentive of ₹200 crore under AMRUT.
About 38 million micro, small and medium enterprises (MSMEs) in Telangana are expected to benefit from the ₹10,000 crore growth fund announced in the budget. He called it a budget built for future generations, rather than an election-driven exercise.
Telangana BJP chief N. Ramchander Rao | Photo credit: SIDDHANT THAKUR
Earlier, Telangana BJP president N. Ramchander Rao said the announcement of high-speed rail corridors for Hyderabad is a proud moment as it further strengthens the state’s role as a national engine of growth.
Speaking at the BJP state office after reviewing the budget presentation, he described it as a “transformative budget” that laid the foundation for a golden phase that will take the nation from economic strength to national capability and from upliftment of the poorest to overall progress.
He said the budget provides a strong base for job creation, improved agricultural productivity, increased purchasing power and expansion of quality education and health services. Mr. Rao expressed gratitude to Prime Minister Narendra Modi and Union Finance Minister Nirmala Sitharaman for presenting a people-centric budget that reaches out to all sections of society.
Published – 01 Feb 2026 19:22 IST