It was also agreed that the provisions of this agreement would be reviewed after ten years. However, the Heads of State and Government could not agree on the following two issues, which are not mentioned in the agreement. The Gentlemen`s Agreement in Andhra Pradesh was signed between the leaders of Telangana and Andhra before the creation of the Indian state of Andhra Pradesh in 1956. The agreement provided safeguards to prevent discrimination in Telangana by the Andhra Pradesh government. Violations of this agreement are cited as one of the reasons for the creation of a separate state for Telangana.  Four prominent leaders of Telangana and Andhra signed the agreement. The gentlemen`s agreement of Andhra Pradesh has a precedent in the Sri-Bagh Pact of 1937, which was between the leaders of Rayalaseema and Coastal Telugu, the districts of Madras state spoke to give assurances to Rayalaseema in exchange for his willingness to join the state of Andhra. This non-binding pact has been largely forgotten, probably because of the region`s strong political representation in the governments of the federal states since its independence. E. Spending distribution between the Telangana and Andhra regions.
The allocation of expenditure between state resources is within the jurisdiction of the government and state legislation. However, since it was agreed between the representatives of Andhra and Telangana that the centralised and general management expenditures of the new State should be borne proportionally by the two regions and that the balance of revenues should be reserved for development expenditures in the Territory of Telangana, the State Government is free to act in accordance with the terms of the budget agreement. The Indian government proposes to draw the attention of the Chief Minister of Andhra to this particular understanding and to express the hope that it will be implemented. If this agreement is not revised by an earlier agreement, it will be reviewed after ten years. The Gentlemen`s Agreement of Andhra Pradesh (1956) refers to the agreement signed between the leaders of Telangana and Andhra before the creation of the state of Andhra Pradesh in 1956.