Faced with a tightening treasury, the Telangana government is shifting its strategy to lean more heavily on Centrally Sponsored Schemes (CSS) to keep its welfare and development projects moving. During a marathon three-hour session with department secretaries on Tuesday, Chief Minister A Revanth Reddy made it clear that maximising central funding is now a top priority for the state.
The Chief Minister reminded officials of the standard funding formula: the state must contribute 40 per cent of the project cost to unlock the remaining 60 pc from the Union government. By streamlining this process, Reddy believes the state can secure an additional ₹3,000 crore in central funds. To ensure this, he ordered the Finance Department to disburse the state's 40 pc share specifically to prevent delays in projects because of a shortage of match funds, as per a direct order given by him to Finance.
The new system also introduces the need for digital accountability. All departments have been asked to enter the details of central approvals and pending issues into an e-portal, with the Chief Minister asking for an overview of these statuses every week. The aim is for this system to overcome bureaucratic hurdles so that no source of funds is left behind. Beyond the financial manoeuvrings, the meeting also addressed the growing criticism over falling enrollment in government schools.
In effect, in an effort to make his services competitive with that of the so-called corporate institutions, Reddy instructed his officers to prioritise urban areas. In fact, part of Reddy’s strategy is to provide transport services especially for students, as well as enhancing the implementation of breakfast and lunch programmes.
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