Budget Allocation for Amaravati Capital Region
With the allocation of funds in the budget, Amaravati, the capital city, is set for a major development phase. Over ₹3,000 crore has been allocated for infrastructure and development projects, speeding up the progress of the capital’s construction. Loans from the World Bank and ADB have already been announced, and with this budget allocation, funds will now be legally released.
Special Action Plan for Capital Development
During the YSRCP regime, construction in Amaravati was halted with a goal of dismantling the People’s Capital. Now, the coalition government has introduced a special action plan for capital development in line with public aspirations. Weeds have been cleared, and road repairs are underway, with tenders for pending works set to be called soon. The same day that the World Bank loan was approved, the state budget also allocated funds for capital development. ₹3,000 crore is allocated for infrastructure, ₹400 crore for annual lease payments to farmers who provided land, ₹32 crore for development under the Cities Challenge Project as part of the Amaravati Smart Cities program, and ₹13 crore for amenities in the High Court building. With a goal to complete the first phase in three years, these budget allocations are expected to accelerate the work.
A New Phase for Amaravati – ₹3,445 Crore for the Capital
Budget Allocations for Capital Construction: The estimated cost for constructing the capital is ₹50,000 crore, with ₹15,000 crore approved in loans from the World Bank and ADB. HUDCO has also agreed in principle to provide a loan of ₹12,000 crore. An additional ₹23,000 crore is expected to be raised through loans and bonds from the central and state governments and other agencies, ensuring Amaravati has sufficient financial resources. The budget has also created a specific head for funds to be redirected from the World Bank and ADB to the CRDA, with ₹3,000 crore shown under this head. With only four months left in the current fiscal year, these funds should suffice to initiate capital works.
Rail Link to Amaravati – Land Acquisition Soon
Construction halted in Amaravati under the YSRCP regime will soon resume, with CRDA preparing to complete existing projects and start new ones. Key works include roads, utility ducts, flood prevention canals, reservoirs, layout development for land provided by farmers, and the construction of buildings like the Assembly, High Court, Secretariat, and departmental offices. The CRDA has prepared an estimate of around ₹50,000 crore for these projects. Farmers have expressed their appreciation for budget allocations to pay annual leases. Under the YSRCP administration, Smart City funds were diverted, hindering Amaravati’s development. With ₹32 crore allocated for infrastructure in capital area villages under the Smart City project, development is expected to progress rapidly.
