Amaravati, December 11, 2024: Andhra Pradesh Minister for Municipal Administration and Urban Development, P Narayana, has revealed that the delay in developing Amaravati, the proposed state capital, has led to a staggering 45 percent increase in construction costs. Speaking at a press conference, Narayana highlighted that the delay in construction, combined with inflation and rising material costs, has significantly impacted the budget allocated for the capital’s development.
The Minister pointed out that the prolonged uncertainty surrounding the capital’s planning and execution, along with political disruptions, has resulted in the escalation of construction costs. He emphasized that had the development of Amaravati proceeded as initially planned, the state would have experienced better financial efficiency.
Narayana also stated that the state government remains committed to completing Amaravati as a modern, world-class capital, though he acknowledged the unavoidable financial setbacks due to the delays. The initial cost projections were much lower, but unforeseen challenges have led to considerable increases in construction expenses. The government is working on measures to control further cost increases and accelerate the pace of construction. Discussions with contractors and experts are ongoing to streamline operations and ensure the capital is developed within a reasonable timeframe, despite the setbacks.
