The body of Bandaru Srinivas, an engineering student, was found hanging from a tree opposite the library on the Osmania University campus. He hailed from Mahabubnagar district of Telangana region.
Srinivas' friends said he was depressed over the delay in granting statehood to Telangana. Police shifted the body to Gandhi Hospital where an autopsy was conducted.
The incident led to tension on the campus. The university had witnessed clashes between police and pro-Telangana students over the past three days.
Osmania University Students' Joint Action Committee demanded that the police hand over the body to them. They plan to bring the body to the campus to enable all students to pay their tributes.
Telangana Joint Action Committee chairman M Kodandaram, state BJP chief G Kishan Reddy and some other leaders visited the hospital to pay their last respects to Srinivas.
Srinivas is the third student to end his life on the university campus.
Pro-Telangana groups say over 600 people, mostly youth, committed suicide in the last three years over the delay in the formation of Telangana state.