According to a Government Order (GO) issued by the municipal administration department on Saturday, the Telangana government will cover 30% of the project cost, amounting to Rs 73.13 billion. The Union government will contribute Rs 42.30 crore, while a public-private partnership component of Rs 10.33 billion will cover approximately 4% of the costs. The remaining 48%, or Rs 116.93 billion, will be sourced from loans provided by international financial institutions such as the Japan International Cooperation Agency (JICA), the Asian Development Bank (ADB), and the New Development Bank (NDB).

The state government has also decided to extend the Metro Rail Project Phase II to cover 116 km, including a 40-km stretch from Shamshabad Airport to the proposed Fourth City (Skill University). As field surveys and other assessments are ongoing, this 40-km extension will be undertaken at a later stage. The remaining Phase II project will cover five corridors, totaling around 76.4 km, and includes routes such as Nagole–Shamshabad RGIA (Airport Corridor) (36.8 km), Raidurg-Kokapet Neopolis (11.6 km), MGBS-Chandrayangutta (Old City Corridor) (7.5 km), Miyapur–Patancheru (13.4 km), and LB Nagar-Hayatnagar (7.1 km), which will be prioritized, according to the GO.

Officials noted that the state government is placing high importance on the Metro rail as a measure to reduce traffic congestion and pollution levels in Greater Hyderabad. Phase I of the Metro project, which covered three major traffic corridors in Hyderabad over a distance of 69 km at a cost of approximately Rs 220 billion, was previously completed. Building on the insights gained from Phase I, the state government has reviewed and revised the original Phase II proposals accordingly.