Andhra Pradesh and HUDCO Finalize ₹11,000 Crore Loan for Amaravati Development

The Capital Region Development Authority (CRDA) of Andhra Pradesh and the Housing and Urban Development Corporation (HUDCO) signed ₹11,000 crore loan agreement on March 16, 2025, to expedite the construction of Amaravati, the greenfield capital of the state. The signing was done at the residence of Chief Minister N Chandrababu Naidu in Undavalli in Guntur district, highlighting the determination of the administration for the project.

This funding will greatly boost the development of Amaravati which will enable the building of modern infrastructure and urban amenities. The loan approval by HUDCO’s board in January 2025 was a significant milestone in the progress toward the city’s ambitious plans and initiatives.

Meanwhile, the Andhra Pradesh government has given its nod to 59 tenders worth ₹37,702 crore for various projects in Amaravati. Municipal Administration and Urban Development Minister P Narayana said that these projects would take off after the Cabinet approval on March 17, 2025, and construction activities will start next month.

Together, the investments and projects approved demonstrate the state’s commitment to developing Amaravati, as a modern, planned metropolis. The projects are expected to create jobs and boost economic development in the area.