Yadav, who represents Sanat Nagar Assembly constituency in Hyderabad, announced his decision to resign as an MLA ahead of a scheduled Cabinet expansion at Raj Bhavan.
He told reporters that he would seek re-election and thanked Rao for inducting him into the Cabinet.
Yadav's entry into the Cabinet is expected to help TRS in the ensuing Greater Hyderabad Municipal Corporation (GHMC) election, likely to be held next year, as he is a senior leader in the city.
The Cabinet expansion is the first since the TRS government assumed office on June 2 this year.

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