Hyderabad: The Telangana Government appears to be taking a measured approach to its open market borrowings, signalling a shift towards fiscal prudence. Despite initially indicating plans to raise ₹30,000 crore through weekly auctions of Government Securities conducted by the Reserve Bank of India (RBI) in the fourth quarter, the state has so far borrowed only ₹13,800 crore.

The borrowing schedule, as per the indicative calendar released by the RBI, suggested that Telangana would participate in all weekly auctions in the final quarter of the financial year. However, the government has now opted out of the auction scheduled for March 18, leaving only one more opportunity on March 25 to raise additional funds before the fiscal year ends.

This recalibrated borrowing strategy comes at a time when Telangana's overall debt has already exceeded initial budget estimates. Provisional figures submitted to the Comptroller and Auditor General of India (CAG) indicate that the state had raised ₹58,586 crore through borrowings and other liabilities by the end of January. The figure has since risen by another ₹8,000 crore, bringing total borrowings to approximately ₹68,000 crore as of March 11—nearly ₹19,000 crore higher than the ₹49,255 crore projected in the budget estimates for the current financial year.

When asked about the reason behind this apparent slowdown in borrowings, officials remained tight-lipped. A senior government representative simply remarked, “No particular reason. Just being prudent.”

The decision to exercise caution in raising funds comes amid growing concerns over debt sustainability and fiscal management. While Telangana has traditionally relied on market borrowings to fund infrastructure projects and welfare schemes, the latest move suggests an effort to balance growth with financial discipline. Whether this marks a long-term policy shift or a temporary adjustment remains to be seen.