In a major pre-Sankranti announcement, the Andhra Pradesh government has approved the release of Rs 6,700 crore to clear long-pending bills across various sectors. Chief Minister Nara Chandrababu Naidu’s decision aims to provide financial relief to government employees, students, healthcare workers, small contractors, and farmers. Finance Minister Payyavula Keshav described this move as a “Sankranti gift” to the people of the state.
A significant portion of the funds, Rs 1,300 crore, has been allocated to clear pending bills for government employees. This includes Rs 519 crore for General Provident Fund (GPF) dues, Rs 214 crore for police personnel’s surrender leave payments, Rs 300 crore for Contributory Pension Scheme (CPS) arrears, and Rs 265 crore for Tax Deducted at Source (TDS) arrears.
The education sector will receive Rs 788 crore for fee reimbursement and scholarships, benefiting 6.5 lakh SC and ST students across the state. This move is expected to ease the financial burden on students from marginalized communities and ensure their continued access to education.
The energy department will receive Rs 500 crore to clear outstanding dues, while Rs 400 crore has been allocated to settle payments under the NTR Vaidya Seva scheme. Additionally, Rs 100 crore will be released to clear pending bills for drugs and medicines in the healthcare sector, ensuring better access to medical services.
Small contractors and micro-entrepreneurs will also benefit from this financial package. Rs 586 crore has been allocated to settle dues for contractors with bills under Rs 5 lakh and Rs 10 lakh, benefiting 26,000 contractors. Furthermore, Rs 90 crore will be released to clear payments for 651 MSMEs and 6,000 micro-entrepreneurs, providing much-needed support to small businesses.
Farmers who provided land for the Amaravati capital city and Gannavaram Airport expansion will receive Rs 241 crore in lease payments. This decision underscores the government’s commitment to addressing the financial concerns of farmers.
Finance Minister Keshav criticized the previous YS Jagan Mohan Reddy government for leaving the state in financial distress. He highlighted a Rs 10 lakh crore debt burden and unpaid state shares for 94 central projects worth Rs 6,000 crore as part of the legacy inherited by the current administration. Keshav noted that the government has already cleared these dues and revived 73 central schemes to restore economic stability.
AP Minister for IT and HRD, Nara Lokesh, praised the decision to allocate Rs 788 crore for fee reimbursement and scholarships. He described it as a landmark move to support students from marginalized communities, ensuring their access to education and a brighter future.
