The Andhra Pradesh government has initiated development plans for Amaravati, designating the Capital Region Development Authority (CRDA) as the lead agency. With funding from the World Bank and Asian Development Bank (ADB), each contributing USD 800 million, a total of USD 1.6 billion will be used for infrastructure projects. The government has set priorities for constructing trunk roads, utility systems, stormwater drainage, and flood mitigation. The CRDA commissioner has been tasked with securing additional funding, strengthening institutional capacity, and ensuring timely execution of projects, which will make Amaravati a sustainable, green, and economically vibrant capital.
In a significant move to kickstart various developmental projects in the capital city of Amaravati, the state government has issued comprehensive guidelines to the Capital Region Development Authority (CRDA) regarding the utilisation of loans from the World Bank and the Asian Development Bank (ADB). The state government has outlined its priorities for infrastructure works in Amaravati to be funded by these loans. It has designated CRDA as the nodal agency responsible for liaising with both the World Bank and ADB, as well as overseeing the execution of the development activities in the city.
The state government clarified that the Department of Economic Affairs (DEA) in the Union Ministry of Finance has communicated that the proposal submitted by APCRDA, titled The Amaravati Inclusive and Sustainable Capital City Development Programme, has been approved by both the World Bank and the Asian Development Bank (ADB). Each bank will provide funding of USD 800 million, totalling USD 1.6 billion, under the Programme for Results (PforR) or Result-Based Lending (RBL) schemes.
The government stated that the remaining share of the project will be funded by the state government, with additional support from the Union government. In this context, the state government directed the CRDA commissioner on Sunday to take steps towards developing Amaravati as the people's capital of Andhra Pradesh. The government appointed CRDA commissioner Katamaneni Bhaskar as the chairperson of the Amaravati Development Corporation and MD D Lakshmi Parthasarathy Bhasker, along with D Surendra, Joint Advisor to the Finance Department, as members of a high-level committee. This committee will oversee agreements with the World Bank and Asian Development Bank.
The government emphasised that the objective is to create a sustainable, green, climate-resilient, and inclusive city with top-tier liveability and infrastructure. The aim is to foster a thriving economy by integrating regional heritage and culture, establishing Amaravati as both an administrative hub and economic centre, while providing jobs and high-quality urban infrastructure. The state government has instructed the CRDA to undertake various projects, including the construction of trunk roads and utility ducts for essential services, as well as the development of stormwater drainage systems, flood mitigation measures, streams, retention reservoirs, and a flood defence system.
The government prioritised the development of roads, utilities, and green spaces in the Land Pooling Scheme (LPS) zones, along with a 24/7 clean water supply, sewerage systems, and sewage treatment plants (STPs). It also directed the CRDA to construct key public buildings using environmentally sustainable standards. The government has authorised the CRDA commissioner to focus on strengthening institutions, building capacity, and exploring innovative financing methods to ensure that the tasks are completed on schedule. Special Chief Secretary for Municipal Administration and Urban Development, Anantha Ramu, stated that the CRDA commissioner has been tasked with securing financial support from the World Bank and Asian Development Bank for the development of Amaravati as the capital city.
The Andhra Pradesh government's strategic plan to develop Amaravati with international financial backing is poised to transform the city into a thriving, sustainable capital. With focused infrastructure development, institutional strengthening, and cultural integration, Amaravati aims to provide world-class urban amenities, boosting both administrative functions and the local economy.
Advertisement
Facebook
Whatsapp
