PPPs key to achieve $3-trn economy: Bhatti

Hyderabad: Deputy Chief Minister Bhatti Vikramarka Mallu has asserted that PPPs (public-private partnerships) are indispensable for Telangana to realise its vision of becoming a $3-trillion economy by 2047.

On Tuesday, the deputy CM attended a panel discussion themed “Innovative PPPs: Harnessing Private Capital Towards Public Goods” at the Telangana Rising Global Summit and addressed the gathering as the chief guest.

Bhatti said that even though Telangana’s $200-billion Gross State Domestic Product (GSDP) and 37 per cent investment rate generated $70–75 billion annually, the state faced an investment gap of $30 billion, and “this gap is growing rapidly”. To bridge this gap, PPPs will act as the engine for developing the CURE (Core Urban), PURE (Peri-Urban), and RARE (Rural Agri) zones.

Bhatti explained that PPPs would open the door for private investment in Metros, solar parks, and skill hubs, while allowing the government to channel public funds toward human development and net-zero goals. The Deputy CM emphasised that Hyderabad was a paradise for investors and hospitality was central to the ethos of Telangana. The state was offering a highly conducive investment climate, cost-effective and skilled labour, strong law and order, and an investor-friendly government.

Speaking about the importance of PPPs, Bhatti began with a story “close to everyone’s heart”.

Twenty years ago, Hyderabad’s skies brimmed with ambition, but the city suffocated under crippling traffic. That was when the Outer Ring Road - a visionary PPP annuity model - was introduced. Built in record time by private partners, the project eased congestion for millions and created economic corridors now home to pharma giants and tech hubs. It not only changed traffic patterns; it accelerated Telangana’s growth trajectory. The ORR proved that PPPs can transform bold dreams into visible success stories.

The Deputy CM identified three key economic realities that made PPPs essential: GST limits make it difficult to rapidly increase the tax-to-GSDP ratio, FRBM constraints cap state borrowing at 3 per cent of GSDP, and declining household savings reduce long-term capital availability.