In a significant development for Andhra Pradesh’s new capital city, the Housing and Urban Development Corporation (HUDCO) has approved a Rs 11,000 crore loan for Amaravati’s construction. The decision was announced during Municipal Administration Minister P. Narayana’s recent meeting with HUDCO’s CMD Sanjay Kulshrestha in Delhi.
This substantial funding adds to the already committed Rs 15,000 crore from the World Bank, bringing the total available funding closer to the estimated Rs 26,000 crore needed for the first phase of development. The entire project is expected to cost approximately Rs 50,000 crore.
The ambitious development plan encompasses the construction of government building complexes, Assembly and Secretariat towers, Raj Bhavan, and the High Court building. Additionally, the funds will support infrastructure development in returnable plots allocated to farmers who participated in the land pooling scheme. Essential trunk infrastructure, including roads, drainage systems, and drinking water facilities, will also be developed.
The AP Capital Region Development Authority (APCRDA) will oversee the implementation of these projects. With both HUDCO and World Bank funding now secured, construction work is expected to gather momentum from December. Chief Minister Chandrababu Naidu’s coalition government is actively working on resource mobilization to ensure smooth project execution.
The funding approval represents a crucial milestone in Amaravati’s development journey, signaling renewed momentum in the construction of Andhra Pradesh’s new capital city. The combined financial support from HUDCO and the World Bank is expected to accelerate the development process, bringing the Nara Chandrababu naidu vision of a modern capital city closer to reality.
-Sanyogita
