- By Vivek Raj
- Tue, 23 Jul 2024 11:58 AM (IST)
- Source:JND
Budget 2024: Finance Minister Nirmala Sitharaman on Tuesday presented her seventh consecutive budget, and announced significant financial support for Andhra Pradesh. The Union Budget 2024 includes an allocation of Rs 15,000 crore to aid in the development of the state's capital Amravati.
This announcement addresses a major demand from BJP's key ally Chandrababu Naidu-led TDP, which had sought the same amount for the construction and development of Amaravati as its sole capital.
The funding is part of the government’s efforts to meet the commitments outlined in the Andhra Pradesh Reorganisation Act. Sitharaman stated that the central government will facilitate this support through multilateral agencies and will continue to provide additional funds in future years as needed.
"Andhra Pradesh Reorganisation Act- Our govt has made efforts to fulfil the commitments in Andhra Pradesh Reorganisation Act. Recognising the state's need for capital, we will facilitate special financial support through multilateral agencies. In the current FY, Rs 15,000 crore will be arranged with additional amounts in future years," Sitharaman said.
In addition to the capital development support, the budget outlines continued investment in the Pollavaram irrigation project, which is crucial for Andhra Pradesh’s agriculture and water management. The Finance Minister assured that additional allocations will be made this year to enhance capital investments aimed at driving economic growth in the state.
"Our government is fully committed to financing and early completion of the Polavaram irrigation project, which is the lifeline for Andhra Pradesh and its farmers. This will facilitate our country's food security as well," Sitharaman said.
Reacting to the allocation, Andhra CM Chandrababu Naidu expressed gratitude towards Prime Minister Narendra Modi and Union Finance Minister Nirmala Sitharaman for addressing the state's needs in the Union Budget for FY 2024-25. In a post on X, he wrote, "On behalf of the people of Andhra Pradesh, I thank the PM Modi and Union Finance Minister Nirmala Sitharaman, for recognising the needs of our State and focusing on a Capital, Polavaram, industrial nodes and development of backward areas in AP in the union budget of FY 24-25."
Apart from this, Sitharaman also announced that backward region grant will be provided to three districts Rayalseema, Prakasam, and North Coastal Andhra. The Finance Minister has also announced additional allocation for capital investment on the Visakhapatnam-Chennai Industrial Corridor and the Hyderabad Chennai Industrial Corridor.