Telangana

Centre approves Telangana’s Rs 4000 crore urban plan

The Telangana government will seek Rs 2,800 crore from the World Bank for the initiative.

Hyderabad: The Union government’s Department of Economic Affairs on Friday, August 7, approved Telangana’s urban transformation programme worth Rs 4,000 crore. The Telangana government will seek Rs 2,800 crore from the World Bank.

Telangana’s Municipal Administration Department has selected a few urban areas in tier-2 and tier-3 cities to be modernised as part of the initiative. Under the programme, water supply, sewerage, stormwater drainage, urban mobility and blue-green projects will be improved, along with climate resilience measures and public spaces. The programme will also focus on revamping municipal administration and finances in these cities.

The estimated cost of the initiative is USD 430 million, or about Rs 4,000 crore. Proposed World Bank financing accounts for USD 301 million, or about Rs 2,800 crore.

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The next phase of the programme stresses strengthening urban local bodies financially, developing projects that can attract market funding, expanding digital governance and helping cities access schemes such as the Urban Challenge Fund and City Economic Region initiative.

The programme also proposes City Economic Regions, better regional connectivity, area redevelopment and private investment to support economic activity and employment.

This post was last modified on August 8, 2026 11:42 am

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