The Centre has “already agreed in principle” to build Hyderabad Metro Rail (HMR) Phase-II. However, it is waiting for the Telangana Government to name two officials for a Joint Committee (JC). This body will include two central officials. The JC will “coordinate the takeover of Phase-I and the preparatory work for Phase-II,” said Union Minister for Housing and Urban Affairs (MoHUA) Manohar Lal Khattar. This update came from Union Minister for Coal & Mines G. Kishan Reddy in a letter to Chief Minister A. Revanth Reddy on January 16, 2026. Mr. Kishan Reddy met Mr. Khattar in New Delhi on January 15 to discuss HMR Phase-II progress. He was told the Centre will call the JC and move forward once Telangana submits its nominations. Mr. Khattar also shared that the Chief Minister had earlier agreed to form the JC and name two Telangana officials during their previous meeting in Hyderabad. According to Mr. Khattar, the Telangana government must first complete the takeover of HMR Phase-I from L&T. “All agreements, decisions, and financial transactions related to the process must be finalised before the Centre can move forward,” he said. Mr. Kishan Reddy urged the Chief Minister to submit the nominees soon to avoid delays. He also requested that the takeover of Metro Phase-I be fast-tracked and proposals for Phase-II sent to the Government of India soon after. The Centre noted that the Chief Minister announced plans to finish the Phase-I takeover, so metro operations and services can be run by the government. This move aims to tackle Hyderabad’s traffic issues and improve public transport. The HMR Phase-II A & B proposals cover 162 km across eight corridors and cost ₹42,000 crore.