GST Slump Pushes Telangana to the Bottom, KTR Slams Revanth Reddy’s Governance
Telangana’s Goods and Services Tax (GST) collection for September has triggered concern over the state’s financial health.

Hyderabad: Telangana’s Goods and Services Tax (GST) collection for September has triggered concern over the state’s financial health. Official figures show a contraction of 5 percent compared to the same month last year — the steepest decline among all states. At the national level, collections rose by 7 percent during the same period.
Himachal Pradesh, also ruled by the Congress, was the only other state to post negative growth, registering a decline of 4 percent.
The contrast with the previous administration is striking. In September 2023, under the BRS government, Telangana reported a robust 33 percent jump in GST revenue, securing the top spot nationally. But under Congress rule, growth slipped to just 1 percent in September 2024, before plunging into negative territory this year.
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Monthly data indicates that while collections were showing modest increases earlier — 12 percent in April, 6 percent in May, 8 percent in June, 10 percent in July, and 12 percent in August — September marked a sudden and unexpected downturn. Officials have clarified that the revised GST tariff, introduced in the last week of September, had little to no bearing on the decline.
Economists argue that a slump of this magnitude in a consumption-driven state like Telangana is particularly alarming. With most other large states reporting steady growth, the figures point to weakening consumer demand and eroding business confidence, they caution.
Reacting sharply to the numbers, BRS working president and former minister K.T. Rama Rao held the Congress government accountable. He described the negative growth rate as further evidence of Telangana’s economic decline under Chief Minister A. Revanth Reddy’s leadership.
“It is a matter of deep embarrassment for Telangana,” KTR said. “Just two years ago we were leading the country in GST growth; now we find ourselves at the very bottom. This collapse is proof of the reckless and irresponsible manner in which Revanth Reddy is managing the economy.”
Highlighting the contrast between the two regimes, he added that under BRS, sectors ranging from agriculture to IT saw expansion, while under the Congress government, areas from farming to real estate are reeling under crisis. “Mismanagement, corruption, and inexperience are dragging the state into economic ruin,” he remarked.