HUDCO Sanctions Rs 11,000 Crore Loan for Amaravati Development

The Housing and Urban Development Corporation (HUDCO) approved a Rs 11,000 crore loan to the Capital Region Development Authority (CRDA) for the construction of Amaravati, the new capital of Andhra Pradesh. This loan addresses the funding gap in Phase-1 of the project, as global banks pledged Rs 15,000 crore.

In a critical move, the Housing and Urban Development Corporation (HUDCO) has extended a hefty loan of Rs 11,000 crore to the Capital Region Development Authority (CRDA) to assist in building Amaravati, the state capital of Andhra Pradesh, according to an official statement. The loan agreement was signed in Chief Minister Nara Chandrababu Naidu's residence in Undavalli, attended by prominent officials including the Minister for Municipal Administration and Urban Development (MAUD) P Narayana and HUDCO CMD Sanjay Kul Shreshtha.

The loan is part of the Rs 26,000 crore necessary for Amaravati's Phase-1 construction. HUDCO's financial commitment comes on the heels of prior pledges amounting to Rs 15,000 crore from the World Bank and Asian Development Bank, bridging the funding gap for the project. Approval for the funding was sanctioned during HUDCO's board meeting in Mumbai on January 22, prior to the formal agreement with CRDA.

Chief Minister Naidu expressed enthusiasm over the funding, highlighting its potential to expedite Amaravati's development. Concurrently, Naidu called on the populace to engage in the 'Swachh Andhra' initiative, underlining the significance of environmental conservation and cleanliness in public spaces.

Criticizing the previous YSRCP government for heightening the state's debt to Rs 10 lakh crore, Naidu urged public involvement toward a 'Clean Andhra', emphasizing collective responsibility for maintaining hygiene across various locations. At the Swarna Andhra - Swachh Andhra program in West Godavari, he reiterated his commitment to reform and development, backed by central support and coalition with TDP, BJP, and Jana Sena under the 'Swarna Andhra 2047' policy framework.

(With inputs from agencies.)