CM Chandrababu: New Impetus for Amaravati

Amaravathi : The capital city is set to receive a new boost with an upcoming loan of Rs. 16,000 crore designated for its construction. A consortium formed by HUDCO (Housing and Urban Development Corporation) and Germany's KFW Development Bank will provide this loan.

HUDCO is expected to contribute Rs. 11,000 crore, while KFW Bank will provide Rs. 5,000 crore. Negotiations with both entities are anticipated to conclude in the next 15 to 20 days. The government has granted full authority to CRDA Commissioner Katamaneni Bhaskar to hold discussions with HUDCO and KFW Bank regarding the loan's approval.

This decision was made during the 40th meeting of the CRDA Authority held at the Secretariat on Monday, chaired by Chief Minister Chandrababu. According to official sources, the loans from HUDCO and KFW do not count towards the State Borrowing Limit (SRBM).

Additionally, an agreement has already been signed for a loan of Rs. 15,000 crore with the World Bank and ADB (Asian Development Bank). This agreement was finalized recently in Delhi between the World Bank, ADB, and the CRDA.

The final approval for the agreement will be provided during the World Bank board meeting scheduled for the 17th of next month. CRDA is expected to receive 25 percent of the loan from the World Bank and ADB by the end of next month. With funds also inbound from HUDCO and KFW, construction work in the capital city is set to commence soon.