After the Union Cabinet's approval today for the creation of Telangana and formation of a Group of Ministers (GoM) to work out modalities, a series of steps is expected to follow in coming weeks involving both the central and state governments.
The GoM will comprise Ministers of Home, Finance, HRD, Health, Irrigation, Power, Environment and Forests, Railways and Deputy Chairman Planning Commission and it will go into the economic issues on the creation of country's 29th state.
The Ministry of Finance will appoint an expert committee to recommend measures for smooth transition in terms of financial management and viability of the reorganised state.
In view of the normative economic factors that would operate in the remaining state of Andhra Pradesh consequent upon formation of Telangana state, a dedicated unit will be set up in the Planning Commission to deal exclusively with the re-organised state under the direct charge of the Deputy Chairman, Planning Commission.
The unit will ensure that, with the help of better financial management and adequate devolution of funds from the Centre, multifaceted development of the region takes place, especially with respect to core infrastructure.
The Union Home Ministry will prepare another note for the Union Cabinet with the re-organisation bill on the basis of the recommendations and suggestions of the GoM requesting the Union Cabinet to approve the State Re-organisation bill and to recommend to the President to refer the Bill to the legislature of the state.
You’ve reached your limit of {{free_limit}} free articles this month.
Subscribe now for unlimited access.
Already subscribed? Log in
Subscribe to read the full story →
Smart Quarterly
₹900
3 Months
₹300/Month
Smart Essential
₹2,700
1 Year
₹225/Month
Super Saver
₹3,900
2 Years
₹162/Month
Renews automatically, cancel anytime
Here’s what’s included in our digital subscription plans
Exclusive premium stories online
Over 30 premium stories daily, handpicked by our editors


Complimentary Access to The New York Times
News, Games, Cooking, Audio, Wirecutter & The Athletic
Business Standard Epaper
Digital replica of our daily newspaper — with options to read, save, and share


Curated Newsletters
Insights on markets, finance, politics, tech, and more delivered to your inbox
Market Analysis & Investment Insights
In-depth market analysis & insights with access to The Smart Investor


Archives
Repository of articles and publications dating back to 1997
Ad-free Reading
Uninterrupted reading experience with no advertisements


Seamless Access Across All Devices
Access Business Standard across devices — mobile, tablet, or PC, via web or app
