Telangana's Ambitious Rs 30,000 Crore Market Borrowing Plan

The Telangana government plans to raise Rs 30,000 crore through market borrowings in the last quarter of FY 2024-25. Participating in weekly auctions starting January 7, the move follows Rs 37,850 crore already borrowed this year. RBI outlines borrowing details in its quarterly calendar.

In a strategic financial move, the Telangana government has expressed its intent to secure Rs 30,000 crore through market borrowings in the final quarter of the fiscal year 2024-25.

Starting January 7, Telangana plans to participate in all weekly securities auctions, emphasizing a systematic approach to its borrowing needs. This aligns with the Reserve Bank of India's (RBI) recently released 'Indicative Calendar of Market borrowings' for states and Union Territories.

So far, Telangana has borrowed Rs 37,850 crore, accounting for 71.7% of its projected budget. The RBI highlighted that the actual borrowings would be disclosed shortly before auctions, considering state needs, central approval, and market conditions. The RBI aims for smooth, non-disruptive auctions across the quarter.

(With inputs from agencies.)