Telangana Urges Centre: Boost Fiscal Deficit to 4% GSDP for 'Viksit Bharat'

• Telangana appeals to the Centre to increase the fiscal deficit target for states to at least 4% of GSDP from the current 3.5%.
• Deputy CM Mallu Bhatti Vikramarka emphasized this is crucial for states to contribute to 'Viksit Bharat' and achieve a USD 30 trillion economy by 2047.
• The state also requested converting 50-year interest-free loans to states into grants and doubling the assistance amount.
• Bhatti highlighted that a 25% reduction in Centre's expenditure on State/Concurrent subjects could free up ₹2.21 lakh crore for states.
• Telangana lost ₹2,362 crore in state-specific and ₹3,024 crore in sector-specific grants due to the Centre not accepting 15th Finance Commission recommendations.

Why It Matters: Telangana seeks higher fiscal deficit, loan conversion to grants, and increased financial autonomy for states.