3 min readHyderabadMar 20, 2026 06:04 PM IST
The Telangana government has tabled a Budget of Rs 3.24 lakh crore for the financial year 2026-27, bolstering the state’s welfare efforts with initiatives including a new breakfast scheme for schoolchildren. The Budget also focused on the Energy Department, with an allocation of Rs 21,285 crore.
The Budget projects a total revenue expenditure of Rs 2.34 lakh crore and capital expenditure of Rs 47,267 crore. Revenue receipts during 2026-27 are pegged at Rs 2.41 lakh crore.
Tax revenue for the next fiscal is estimated at Rs 1.48 lakh crore and non-tax revenue is estimated at Rs 35,730 crore, announced state’s Finance Minister and Deputy Chief Minister Mallu Bhatti Vikramarka as he presented the Budget on Friday.
While the government will continue to fund its welfare schemes for women, pensioners and farmers, the Finance Minister announced a new breakfast scheme for school-going students. The scheme will benefit students from pre-primary to intermediate classes in government institutions of learning.
Under the scheme, each student will be given milk on three days a week and ragi malt for the remaining three days. Apart from promoting health outcomes, the scheme is also expected to improve enrolment rate and attendance in schools, the minister said.
“No child will start their lessons on an empty stomach in Telangana,” Vikramarka said. The finance minister also announced a new midday meal scheme for students doing their intermediate education in government junior colleges. The government has also decided to modernise kitchens in hostels and residential educational institutions with a budget outlay of Rs 100 crore.
The Telangana government also announced an insurance scheme covering 1.15 crore families in the state with an insurance cover of Rs 5 lakh each. The scheme, called Indiramma Family Life Insurance scheme, will bring relief to people who untimely lose breadwinners of the family, the minister said.
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Apart from the welfare schemes, the Finance Minister went on to announce an energy push in the state with an allocation of Rs 21,285 crore to the Energy Department. “The state’s installed capacity is 23,187 megawatts. A significant share of this comes from renewable energy sources,” Vikramarka said. Per capita power consumption of Telangana stands at 2508 units, which is much higher than the national average, the minister said.
On March 13, 2026, Telangana met the peak demand of 18,228 MW and supplied 341.08 million units of electricity, recording the highest-ever consumption in the state’s history, Vikramarka said. “Telangana is setting up 1500 MWh Battery Energy Storage Systems at Maheshwaram and Choutuppal,” the minister said.
The state is faring well in terms of GSDP and per capita income, the minister said. In 2025-26, Telangana’s Gross State Domestic Product (GSDP), at current prices, is Rs 17,82,198 crore.
Per capita income of Telangana also increased in 2025-26. At current prices, the state’s per capita income stood at Rs 4,18,931, with a growth rate of 10.2% as against the national per capita income of Rs 2,19,575 and growth rate of 6.9%, the minister said.
