Hyderabad in Telangana is the IT hub of India, with IT/ ITeS exports reaching Rs. 183,569 crore (US$ 22.95 billion) in FY22, a 26.14% increase YoY.
Telangana was formed in June 2014 with Hyderabad as its capital. The state was formed as a result of the split of erstwhile Andhra Pradesh state. The state holds an advantage as it possesses readymade capital with necessary infrastructure and ecosystem. Hyderabad was ranked second among the top 20 global cities in JLL’s City Momentum Index (CMI) 2019.
The capital city of Hyderabad (also the capital for earlier larger Andhra Pradesh state) is a hub for information technology (IT) and pharmaceutical sectors. IT and ITeS exports from Telangana increased at a CAGR of 11.32% from 2013-14 to Rs. 145,522 crore (US$ 20.05 billion) in 2021-21.
At current prices, Telangana’s gross state domestic product (GSDP) was estimated at Rs. 13.04 trillion (US$ 167.82 billion) in 2022-23BE. The state’s GSDP increased at a CAGR of 12.33% between 2015-16 and 2022-23BE. Tertiary sector has been the largest sector, growing at a CAGR of 11.70% (in rupee terms) between 2011-12 and 2020-21, accounting for 59.31% share of the overall GSDP.
The government has conducted a study to prepare comprehensive district tourism development plans and identified 477 tourist destinations for upgrading existing tourist amenities/facilities. The erstwhile districts identified with the greatest number of proposed tourist destinations are Hyderabad (41), Rangareddy (26), Nalgonda (23), Adilabad (21) and Suryapet (21). The state government proposed to undertake development of three greenfield airports at Jakranpally (Nizamabad), Palvancha (Bhadradri Kothagudem), Mahabubnagar and three brownfield airports at Mamnoor (Warangal), Basant Nagar (Peddapalli) and Adilabad. Techno-Economic Feasibility (TEF) study reports in respect of all the proposed airports have been submitted by AAI to the state government on July 07, 2021.
As of August 2022, the total installed power capacity in Telangana was 18029.39 MW. Of this, 8,763.65 MW was contributed by state utilities, 7,238.86 MW by private utilities and 2,026.88 MW central utilities. According to the India Residential Energy Survey 2020, conducted by the Council of Energy, Environment and Water (CEEW), Telangana is one of the eight states in the country that has achieved 100% electrification in households.
According to the Department for Promotion of Industry and Internal Trade (DPIIT), between October 2019-June 2022, FDI inflow in Telangana stood at US$ 3,994 million.
Total exports stood at US$ 4,637.73 million in FY 2022-23 (until August 2022).The state ranks 6th in export preparedness (2nd among landlocked states), according to NITI Aayog's Export Performance Index Report 2020.
In 2020, 57 investment intentions with proposed investments worth Rs. 7,392 crore (US$ 996.5 million) were filed in the state.
Some of the major initiatives taken by the government to promote Telangana as an investment destination are:
Note:** - Includes drug formulation, biologicals, residual chemical and allied products, bulk drug and drug immediate, organic chemicals and other miscellaneous chemicals