The Telangana government has allocated over $2.12 billion for urban infrastructure and development projects under the 2025-26 budget, focusing on improving urban infrastructure and mitigating traffic congestion. The H-CITI plan includes 31 flyovers, 17 underpasses, and 10 road expansion projects, while.
Musi Riverfront Development Project revitalizes reservoirs and sewage treatment plants. The Integrated Stormwater Drainage Project and ORR Phase-2 Water Supply Project aim to mitigate urban flooding and enhance Hyderabad’s resilience.
In its 2025-26 budget, the Telangana government has allocated ₹17,677 crore to the Municipal Administration and Urban Development (MAUD) Department, aiming to bolster urban infrastructure and enhance the quality of life in urban areas. and create employment opportunities in urban areas.
Key Allocations and Initiatives
- Hyderabad Infrastructure Development
- Strategic Road Development Plan (SRDP): Under the ₹7,032 crore has been earmarked for The budget proposes ₹1,100 crore for the Hyderabad Metro Rail Limited (HMRL), with ₹500 crore dedicated to extending metro connectivity to the Old City constructing 31 flyovers and 17 underpasses to alleviate traffic congestion in Hyderabad.
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- Outer Ring Road (ORR) Maintenance: The Hyderabad Metropolitan Development Authority (HMDA) has been allocated ₹200 crore for the upkeep of the ORR, ensuring seamless connectivity around the city.The budget emphasizes empowering ULBs to undertake developmental projects, improve civic amenities, and enhance service delivery to urban residents.
- Urban Local Bodies (ULBs) Support
- Affordable Housing Initiatives A significant portion of the budget is directed toward This substantial investment is expected to affordable housing projects, aiming to provide quality housing to economically weaker sections and promote inclusive urban growth.
Impact on Urban Development Reduce Traffic Congestion: The development of new flyovers and underpasses will improve traffic flow and reduce commute times. Expanding the metro network will provide efficient and affordable transportation options, encouraging public trans To is likely to attract investments, stimulate economic growth.
- Improve Quality of Life: Enhanced urban amenities and housing projects will contribute to better living standards for residents and create employment opportunities in urban areas.
- The ₹17,677 crore allocation to the MAUD Department underscores the Telangana government’s commitment to sustainable urban development. By focusing on infrastructure enhancement, public transportation.
In its 2025-26 budget, the Telangana government has allocated ₹17,677 crore to the Municipal Administration and Urban Development Department, underscoring a strong commitment to urban development and infrastructure enhancement. A significant portion of this budget is dedicated to the development.
India’s first Net-Zero Future City. Planned over 765 square kilometers, encompassing 56 villages between the Srisailam and Nagarjuna Sagar highways, this ambitious project aims to integrate advanced infrastructure, cutting-edge technology, and sustainable practices to create a pollution-free and energy-efficient urban environment.
To address urban congestion, the government has earmarked ₹7,032 crore under the HICITI initiative for constructing 31 flyovers and 17 underpasses. Additionally, ₹5,942 crore is allocated for the Outer Ring Road (ORR) Phase II water supply scheme, enhancing water distribution across key areas.
These strategic investments reflect Telangana’s dedication to fostering sustainable urbanization, improving infrastructure, and promoting economic growth through innovative urban planning and development. The Telangana government has allocated ₹17,677 crore for urban development in its 2025-26 budget.
Focusing on sustainable infrastructure and economic growth. A major highlight is India’s first Net-Zero Future City, spanning 765 sq. km, designed for eco-friendly urbanization. Under the HICITI initiative, ₹7,032 crore will fund 31 flyovers and 17 underpasses to ease congestion.
Additionally, ₹5,942 crore is set aside for the Outer Ring Road Phase II water supply scheme. These investments aim to enhance urban mobility, water infrastructure, and smart city planning, reinforcing Telangana’s commitment to progressive and sustainable urbanization.
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