Rejecting the views of many top Congress leaders from Andhra Pradesh led by Chief Minister Kiran Kumar Reddy, the Union Cabinet has finally approved the formation of a separate Telangana state by bifurcating Andhra Pradesh.
The decision was taken at the Cabinet Meeting chaired by Prime Minister Dr. Manmohan Singh. A GoM will be formed to look into the process of bifurcation. Hyderabad will remain the joint capital of Telangana and Andhra Pradesh at least for 10 years.
The GoM will work out a mechanism for both states to function with a common capital as Hyderabad. Andhra Pradesh will get special financial package for its development, as it would lose Hyderabad after 10 years, which is currently the hub of undivided Andhra Pradesh.
Earlier, a huge number of pro-Andhra Pradesh supporters protested outside the 7, Race Course Road to demand the immediately revocation of the decision to bifurcate Andhra. The police had to resort to lathi-charge to disperse the mob.