telangana isn’t just struggling — it’s flashing bright red warning lights across every fiscal indicator. According to the latest CAG data (Oct 2025), the state has already burned through 94% of its entire 2025–26 borrowing limit in just seven months, while revenues crawl at 41% of target.
Opposition calls it a financial apocalypse.
The government says it’s a legacy crisis inherited from the previous regime.
CAG numbers, however, reveal one simple fact: the state is officially in a fiscal chokehold.
1. 94% Borrowing Used by october — A Fiscal red Alert
Borrowing limit for FY 2025–26: ₹54,009 crore
Already borrowed by October: ₹50,541 crore
That’s not “stretching the budget.”
That’s ramming through it at full speed.
No state should be at 94% of its borrowing cap by the halfway mark — not without triggering national concern.
2. Revenues Stuck at 41% — The Engine Isn’t Starting
Borrow if you must — but only if money is coming in.
Here, it’s not.
Revenue receipts stand at 41% of expectations.
No major industrial breakout.
No massive policy-driven growth.
No sudden tax surge.
Without income, borrowing becomes a treadmill — fast, exhausting, and ultimately useless.
3. Interest Payments Already at ₹16,500 Cr — The Debt Monster Is Eating First
From april to october alone, telangana paid ₹16.5k crore in interest.
That’s money not going to:
infrastructure
welfare
irrigation
health
development
Debt is dictating policy, not leadership.
4. Selling government Land? Fire-Sale of Assets? The Rumors Aren’t Random
When a state:
borrows fast,
earns slowly,
hits the borrowing ceiling early…
…the next steps are predictable:
asset monetization, land auctions, and fire-sale clearances.
These aren’t reforms.
These are survival tactics.
5. revanth Reddy’s Slogans Sound Grand — But Finances Remain Fragile
“Future City.”
“Musi Revival.”
“Telangana Rising.”
Good vision. Good PR.
But none of these fixes:
deficits
debt accumulation
interest drain
low revenue inflow
A vision without financial fuel is just a speech.
6. Debt Didn’t Begin With congress — But It Didn’t Slow Down Either
BRS era (2014–2023):
Debt grew from ~₹75,000 Cr → ₹3–4 lakh Cr
Some analyses (off-budget liabilities included) estimate up to ₹7 lakh Cr
Yes, revenue growth was higher during early BRS years — but debt ballooned by 500%.
congress era (2023–2025):
Borrowing hits ₹50,541 Cr by Oct 2025
Revenue at 41%
Fiscal strain continues
Both sides contributed — the pain is cumulative.
7. Crisis or Political Drama? Depends Who You Ask
Government says:
“We’re paying for past mismanagement.”Opposition says:
“Revanth is bankrupting Telangana.”CAG says:
“Borrowings = High. Revenues = Low.”
No defaults.
Deficit within 3% GSDP norm.
But the trend is dangerous, and the margin is thin.
8. A $1 Trillion Economy Vision Needs More Than Borrowing
revanth reddy talks big — aiming for telangana to hit a $1T economy by 2034.
Good ambition.
But unless:
industrial investment accelerates,
Revenue generation stabilizes,
debt service ratio shrinks,
capital creation increases…
…the dream stays a dream.
🔥 BOTTOM-LINE PUNCH
Telangana isn’t bankrupt — but it is running out of runway.
And unless revenue picks up, reforms accelerate, and borrowing is brought under control, the state won’t just face a fiscal problem — it’ll face a fiscal collision.
revanth reddy has a bold vision.
But right now, telangana needs solutions, not slogans; discipline, not debt; execution, not optics.
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