Creation of a new state of Telangana by bifurcating the existing State of Andhra Pradesh.

The Union Cabinet today approved the creation of a new State of Telangana by bifurcating the existing State of Andhra Pradesh.

1. The city of Hyderabad will function as the common capital for both the States for a period of ten years. The Union Cabinet has approved the setting up of a Group of Ministers(GoM) to work out the various legal and administrative measures to ensure the safety and security of the residents of all the regions of the State including the guarantee of the Fundamental Rights.

2. The Union Cabinet further approved that the GoMwill go into the various issues which concern both the States and suggest appropriate measures to address them.

3. The GoM will also work out the modalities for the provision of special financial disbursements required for the setting up of a new capital for the residuary State of Andhra Pradesh and to meet the special needs of the backward regions and districts of the two States.