Hyderabad: Centre permits Telangana to raise Rs 71,000 crore loans this fiscal: Union Minister, Minister of State for Finance Pankaj Chaudhary informed the Rajya Sabha on Tuesday, December 9.
Responding to a question from Congress MP Anil Kumar Yadav, Chaudhary said the permission was granted under Article 293(3) of the Constitution, which governs borrowing by state governments in accordance with the fiscal limits set by the Finance Commission.
Telangana govt’s letter to Centre
He mentioned that the Telangana government had written to the Centre on September 9 seeking exemption for funds raised for the “Young India Integrated Residential Schools” project from the purview of the Fiscal Responsibility and Budget Management (FRBM) Act.
However, the Centre clarified that a uniform policy applies to all states, and borrowing exemptions beyond the prescribed limits are not under consideration.
The minister reiterated that Telangana’s borrowing ceiling for 2025–26 has been fixed at Rs 71,000 crore as per existing fiscal norms, and no proposal for additional exemptions is currently being examined by the Union government.
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