Sravan Dasoju warns of fiscal crisis, faults Congress government for policy paralysis
Hyderabad: BRS MLC Dr Sravan Dasoju issued a fiscal crisis warning and criticised the Congress government led by Chief Minister Revanth Reddy. He said the state was moving towards financial breakdown due to reckless borrowing, administrative inexperience, and policy paralysis. He also cited Finance Accounts up to September 2025 and the latest CAG report to question the government’s fiscal approach.
Revenue stagnation drives fiscal crisis warning
Sravan said the state reached only 33.49% of its revenue target for 2025–26 in six months. He compared it with last year’s 34.10% and argued that revenue remained stagnant across most categories. Moreover, he said tax revenue reached 40.97% of the Rs. 1.75 lakh-crore estimate. State GST collections stood at 42.56%, close to 42.21% in the previous year. Sales tax reached 44.65%. State excise stood at 34.83%. Stamps and registration reached 38.85%. He added that ‘other taxes’ fell sharply to 28.63% from 37.72%.
Furthermore, non-tax revenue touched only 9.83% of the Rs. 31,618.77-crore estimate. Central grants reached 8.76%, down from 11.31% last year. Sravan said this trend showed complete administrative failure and a lack of policy direction.
Borrowings rise sharply, prompting fresh fiscal crisis warning
Sravan said Telangana borrowed Rs. 45,139 crore by September 2025, reaching 83.58% of its annual limit. He argued that the state now relied on debt in an unsustainable manner. The fiscal deficit reached Rs. 45,139 crore, or 84% of the budgeted Rs. 54,010 crore. He compared it with 66% during the same period last year to highlight the scale of deterioration.
Additionally, he said the revenue deficit more than doubled to Rs. 12,452 crore from Rs. 5,296 crore. The primary deficit rose to Rs. 30,768 crore, compared to Rs. 21,326 crore last year. Public debt reached Rs. 3.48 lakh crore by August 2025, excluding off-budget borrowings.
Spending patterns add to fiscal crisis warning
Sravan said government spending failed to support productive sectors. Revenue expenditure reached 39.83% of the target. Interest payments reached 74.19%. Salaries and pensions touched 57.72%, compared to 55.45% last year. He said serving employees gained while pensioners struggled.
Meanwhile, subsidies reached 49.70%. Capital expenditure stood at 60.90%. He said the government launched no major infrastructure projects despite high capital outlay.
Sravan attacks government for slogans, seeks structural reforms
Sravan accused Chief Minister Revanth Reddy of focusing on slogans such as “Musi Revival”, “Future City”, and “Telangana Rising”. He said the government relied on publicity instead of addressing failures in education, healthcare, civic infrastructure, industry, and law and order.
Finally, he warned that Telangana, once a model for fiscal discipline, now faced deep structural and administrative weaknesses. “This regime is governed by a negative mindset with lopsided priorities. It has mortgaged the state’s future to sustain political drama,” he said.
Sravan urged the government to adopt responsible and visionary leadership. He called for wealth creation, infrastructure building, and equitable welfare to restore economic stability and public trust.