HYDERABAD: The Union Budget 2026–27 has come as a major disappointment for Telangana, with no funding announced for key infrastructure projects sought by the state. Despite high expectations, there was no mention of the Hyderabad Metro Rail Phase-II, Musi Riverfront Development Project (MRDP) or the Regional Ring Road (RRR).
Deputy Chief Minister Mallu Bhatti Vikramarka said the state had hoped for Central support for Metro Rail, MRDP and RRR but “nothing was allocated”.
Metro Phase-II is seen as crucial for Hyderabad’s expansion. Phase-II (A), approved by the state, covers five corridors spanning 76.4 km at an estimated cost of Rs 24,269 crore, with a proposed Central share of Rs 4,230 crore. Phase-II (B) envisages three additional corridors of 86.1 km, costing Rs 19,579 crore, under a joint venture model between the state and the Centre. Proposals were submitted to the Ministry of Housing and Urban Affairs in 2025, but found no mention in the Budget.
Similarly, the state had reportedly sought around Rs 10,000 crore for the Musi river rejuvenation project, aimed at restoring the 55-km polluted river through environmental and urban redevelopment measures, but received no allocation.
The state also sought nearly Rs 35,000 crore for the Regional Ring Road, intended to link the Outer Ring Road with emerging growth corridors.
“We met the prime minister and Union ministers, and even led delegations with MPs. We expected support for Telangana’s key projects, but got nothing,” Vikramarka said, adding that Chief Minister A Revanth Reddy had personally pursued the matter.