Telangana government Starts Fee Transfers to Students, Process in 4 Phases

Hyderabad: The state government will transfer fee reimbursement amounts directly to the bank accounts of students in four phases every year. For this purpose, the government has decided to release Rs 250 crore every month to the welfare departments from the current 2026-27 academic year.

The government has converted the fee reimbursement scheme into a direct benefit transfer (DBT) system from this year, under which tuition fee reimbursement will be credited directly into students' bank accounts instead of being paid to college managements.

The government released the first monthly instalment of Rs 250 crore for June to the welfare departments on June 29, which will facilitate direct transfers to eligible students belonging to Scheduled Castes (SC), Scheduled Tribes (ST), Backward Classes (BC), minorities, economically backward classes (EBC) and persons with disabilities (PwD) communities. The monthly releases will continue throughout the academic year in accordance with the newly prescribed schedule, official sources said on Thursday.

The funding pattern will continue as per existing norms. For SC students, the state government will release 40 per cent of the reimbursement amount, following which the Centre will contribute the remaining 60 per cent. In the case of ST students, the state government will bear 25 per cent of the cost, while the Central government will provide the remaining 75 per cent. However, the state government will bear 100 per cent of the tuition fee reimbursement for BC, EBC and minority students.

The move follows the issuance of GO 9, which seeks to streamline the fee reimbursement process and address the confusion that had prevailed over tuition fee payments in recent years. Welfare departments have been instructed to ensure the timely implementation of the revised system.