Finance Minister T. Harish Rao announced a fund of ₹ 10,000 crore for development of Hyderabad urban agglomeration area comprising the core city and outskirts in his budget speech.

Describing Hyderabad as the jewel of Telangana, he said this city with four hundred year history had got name and fame as the most affordable and liveable city. With moderate climatic conditions and cosmopolitan culture, Hyderabad earned worldwide fame and appreciation. Due to unscrupulous policies adopted in the erstwhile combined State, the city life had become full of turmoil. Facilities had not been improved in proportion to the growth of population. Though the Chief Minister had requested the Centre to grant special funds for Hyderabad and five other metropolitan cities in India, the same was not conceded. However, the Telangana government had estimated requirement of ₹ 50,000 crore in the next five years to take up development works in Hyderabad as it is being transformed into an international city. Therefore, an amount of ₹ 10,000 crore was proposed in this budget to carry out Musi river purification, Musi riverfront project and all other special projects and works in agglomeration area. The amount formed part of an overall development expenditure of ₹ 1.04 lakh cr. proposed by the government.