Hyderabad gets static allocation in 2026-27 budget despite expanded region

The 2026-27 budget allocations for various projects in the city have remained more or less the same as the current year, despite the recent expansion of its boundaries to the Outer Ring Road (ORR), and renaming of the tri-corporation area as the Core Urban Region.

In fact, at several places, the name of the Greater Hyderabad Municipal Corporation (GHMC) in the budget of 2025-26 was replaced with the term ‘CURE’, with no major change in allocations.

The total allocation for the city defined as CURE is close to ₹9,740 crore, with major portion of it allocated for H-CITI (Hyderabad City Innovative and Transformative Infrastructure) project and the Musi Riverfront Development Project.

For the H-CITI and Musi projects, the allocations remain the same as the current year, at ₹2,654 crore and ₹1,500 crore respectively.

A substantial amount of ₹200 crore has been apportioned under Rajiv Yuva Vikasam for retrofitting of auto-rickshaws in the CURE region with electrical fitment. The CURE area also got a financial assistance of ₹315 crore under the Scheduled Castes Special Development Fund.

The compensation for Professional Tax at ₹10 crore and Motor Vehicles Tax at ₹10 lakh for the CURE area remain the same as they were for GHMC in the current year, while the Establishment Expenditure at ₹15 crore has seen a slight rise of ₹3 crore when compared with the current year.

Budget for the Hyderabad Disaster Response & Asset Protection Agency has been trimmed to a total ₹101.49 crore, from previous year’s allocation of over ₹120 crore. While enhancing the establishment expenditure drastically from ₹21.86 crore to ₹61.49 crore, the government has slashed the expenditure of schemes by half from ₹100 crore allocation in the current year to ₹50 crore for 2026-27, while the revised budgetary estimates for the current year too have been moderated down to ₹60 crore.

Total loans for the Hyderabad Metropolitan Water Supply & Sewerage Board stood at ₹3,005 crore, for various development works and the Krishna Drinking Water project, while the reimbursement towards the 20 Kilolitres of drinking water supply for the city remained the same as current year at ₹300 crore. Loans to the Hyderabad Metropolitan Development Authority (HMDA) for taking up development works have been pegged at ₹500 crore.

The Hyderabad Metrao Rail Limited has been allocated a total of ₹1,100 crore, of which ₹500 crore constituted borrowings, and ₹600 crore as grants in aid for the Phase-II of Metro Rail connectivity. Multi-Modal Transport System has been given a meagre allocation of ₹5 crore, as against the ₹50 crore in the current year, and ₹30 crore revised estimates.

Quli Qutb Shah Urban Development Authority is another agency which experienced drastic cut in funding, from the current year’s initial allocation of ₹63.38 crore to ₹25 crore. The allocation for the current year has been now revised to ₹38 crore.