Q.When and how was the state of Telangana formed? Which city is its capital?

This question tests the basic facts of Telangana's creation, which every study of the state economy begins with.

Telangana came into being on 2 June 2014 under the Andhra Pradesh Reorganisation Act, 2014, which divided the united Andhra Pradesh into two states. It became the 29th state of the Indian Union, and Hyderabad was designated its capital.

The formation of Telangana is the starting point for understanding its economy.

Date and legal basis: Telangana was formed on 2 June 2014. Its creation followed the Andhra Pradesh Reorganisation Act, 2014, passed by Parliament, which divided the erstwhile united state of Andhra Pradesh.

Status: With its formation, Telangana became the 29th state of the Indian Union. It was carved out of the north-western, plateau region of the former Andhra Pradesh, an area with a long-standing statehood movement.

Capital: Hyderabad — already a major metropolitan and technology centre — became the capital of the new state.

Why it matters economically: As a new state, Telangana was able to frame its own development priorities from 2014 onward — large irrigation projects, farmer-support schemes, industrial promotion through TS-iPASS, and a wide range of welfare programmes — which together define the modern Telangana economy.

Confusing the formation date with the date the bill was passed in Parliament (early 2014) — the state officially came into existence on 2 June 2014. Also, do not confuse Telangana (29th state) with later states/UT reorganisations.