Rebuilding of Amaravati as futuristic capital: Hopes rise on likely grant of soft loan by World Bank

Capital in Progress

♦ Plan to use latest technology in rebuilding capital

♦ Rs 15,000 cr support assured in Budget

♦ WB team visits the half-finished construction work

Amaravati: The visit of a World Bank team to Andhra Pradesh has raised high expectations in various circles over grant of a long-term soft loan for reviving construction of capital at Amaravati after TDP-led NDA Government took reins of Andhra Pradesh on June 12.

A four-member high-level team from World Bank concluded its 3-day tour of Amaravati region on Monday evening after holding talks with Chief Minister N Chandrababu Naidu, Minister for Municipal Administration and Urban Development Ponguru Narayana and the top officials of Capital Region Development Authority (CRDA).

During the talks, Naidu was stated to have explained plans to rebuild Amaravati by using latest technologies with the support of the Centre, Singapore and multilateral agencies in a time-bound manner.

The team consisting of senior infrastructure expert Raghu Kesavan, lead transport expert Gerald Paul Olivier, urban development specialist Qingyvun Shen and South Asia urban practice manager Abid Ali Razak F Khalil visited the half-finished construction work of various buildings during their tour.

In the Union Budget for 2024-25, Finance Minister Nirmala Seetharaman had announced support to secure a loan of Rs15,000 crore through multilateral agencies. Later she clarified that it would be a long-term loan with a lower interest rate.

An aide of the Chief Minister told Bizz Buzz that the talks with the World Bank team progressed on a positive note. There is hope in the official circles that World Bank, which discontinued support for developing the capital in 2019 may revive following change in the guard.

The development of Amaravati was grinded to a halt after erstwhile government headed by YS Jagan Mohan Reddy decided to develop three capitals viz. Visakhapatnaman as executive capital, Kurnool as judicial capital and Amaravati as legislative capital on the plank of decentralisation.

The move was strongly challenged by TDP, BJP, Left parties and the farmers of Amaravati. The issue turned sub judice with a bunch of petitions filed against trifurcation of capital.

The farmers of Amaravati surrendered 34,000 acres under a Land Pooling Scheme (LPS) introduced by Naidu during his earlier stint as Chief Minister in 2015 with the promise of allotting 1,000 square yards of developed plot of their choice for every acre given by them for developing Amaravati.