Jupally urges KTR and Harish to open debate on Telangana’s debts
A day after indulging in a war of words over debts incurred by the previous Bharat Rashtra Samithi (BRS) government and alleged corruption in the current government, Telangana Excise Minister Jupally Krishna Rao reiterated his readiness to hold a public debate with BRS Working President KT Rama Rao or former Chief Minister K. Chandrashekar Rao (Vehicle) on state borrowing, SP funding Special financial obligations, loans and corporate finance p interest burden.
At a press conference held in Hyderabad on Friday (July 3, 2026), Mr Krishna Rao remained determined to resign if the amount of BRS’s debts he claimed were found to be incorrect.
“I am ready to resign and BRS leadership should reveal what they would do if this amount is correct. Let’s discuss and debate at Press Club Hyderabad at 5 pm if you are ready,” he said.
He showed videos of Mr. Rama Rao and senior leader T. Harish Rao claiming various figures about loans taken during the BRS regime.
Mr Krishna Rao also released an open letter to Mr Rama Rao, accusing the previous government of leaving the state under an unprecedented debt burden, and called on the opposition leader for a public debate backed by official financial records.
In the letter, Mr. Krishna Rao said that the total outstanding liabilities of Telangana, including pending accounts, had risen from ₹90,161 crore at the time of statehood in June 2014 to ₹8,21,651 crore by December 1, 2023, when the BRS left office.
According to the minister, FRBM’s state loans rose from ₹72,658 crore to ₹3,89,673 crore, while loans raised through SPVs, government-backed corporations and other entities rose from ₹17,502 crore to ₹2,82,084 crore.
He also alleged that the previous government had left unpaid dues of ₹40,154 crore on employee salaries, supplier bills and welfare schemes, besides another ₹1,09,740 crore owed to power distribution companies, Singareni, SC/ST sub-plan liabilities and other liabilities.
The minister listed the loans raised through various government companies, including ₹88,651 crore for the Kaleshwaram project and other irrigation corporations, ₹20,200 crore through Telangana Drinking Water Supply Corporation, ₹85,493 crore from power companies, ₹46 crore from Civil Suppre, Corporation1 ₹6,470 crore from Housing Corporation, ₹4,221 crore from Road Development Corporation, ₹4,906 crore from GHMC and 2,352 crore from the Hyderabad Metropolitan Water Supply and Sewerage Board.
The minister further alleged that when financial institutions were unwilling to provide fresh loans, the previous government leased the Outer Ring Road for ₹7,232 crore and used the proceeds to fund the Rythu Bandhu scheme.
Defending the Congress government, Mr Krishna Rao said that between December 2023 and June 2026, the state had borrowed ₹1,77,058 crore, repaying ₹2,08,681 crore in principal and interest on loans arranged by the previous government.
The minister asked the BRS management a series of questions asking why such large loans were required, what permanent revenue generating assets were created with the loans and why dues to employees, contractors, discoms, Singareni and SC/ST welfare schemes were not paid.
He also questioned why loans for the Kaleshwaram and Mission Bhagiratha projects raised through government-backed corporations were left out of FRBM’s debt calculations.
Published – 03 Jul 2026 12:31 IST