Union finance minister Arun Jaitley’s budget speech has not talked about special demands made by chief minister Chandrababu Naidu to overcome the problems thrown by the bifurcation the state in 2014. Andhra Pradesh has made the following demands in view of the special circumstances created by the division of  of erstwhile state of Andhra Pradesh and revenue and institutional loss to the successor state of Andhra Pradesh. The two hour -long speech has not extended any special  help to Andhra Pradesh.

Andhra Pradesh chief minister Naidu raised these issues in the meetings he had with Prime Minister Modi,fiance minister Arunjaitley and home minister Rajnath Singh.

The only favorable action is the decision to set up a committee to study the raising or  doing away with the cap on the market borrowings under FRBM act. The FM has not announced any state specific incentives to Andhra Pradesh on the grounds of bifurcation. Chief minister Naidu is yet to react on the budget proposals.

The demands from chief minister Chandrababu Naidu are:

* Special category status to AP.

* Special financial package to four Rayalaseema districts and three north coastal Andhra Pradesh

* A grant of Rs 4,000 crore for construction of government buildings and other essential infrastructure in Amaravati.

* Tax exemptions for investment made in Amaravati capital infrastructure creation.

* State government be permitted to seek financing from the National Infrastructure Investment Fund and raise Zero Coupon Bonds and Tax-Free Bonds for new capital city.

* Rs 6,000 crore for Polavaram national project.

* Special incentives to the investors coming forward to set up industries in the new capital region.

* Rs 13,776 crore to cover State’s revenue deficit.

* Annual development grant of Rs 200 crore to each of the seven backward districts.

* Allocating Rs 1,500 crore in the budget for AP to develop industrial estates.