Naidu seeks Union Budget support to spur AP’s growth

Update: 2025-12-20 08:00 IST

Amaravati: Chief Minister Nara Chandrababu Naidu on Friday met Union Finance Minister Nirmala Sitharaman and sought substantial financial support for Andhra Pradesh’s development priorities in the 2026–27 Union Budget, stressing the State’s role as a key growth engine for the national economy.

During the meeting, the Chief Minister urged the Centre to extend enhanced assistance to Andhra Pradesh under the Purvodaya and Special Assistance to States for Capital Investment (SASCI) schemes. Besides, he urged the Union government to announce a dedicated Rayalaseema Horticulture Development Package and support the proposed Polavaram–Nallamala Sagar Link Project. Explaining the Purvodaya initiative, Naidu said the scheme, aimed at the holistic development of eastern states in India, viz. Bihar, Jharkhand, Odisha, West Bengal, and Andhra Pradesh, would significantly contribute to the national goal of Viksit Bharat. He said Purvodaya would strengthen rural connectivity, modernise irrigation systems, boost infrastructure, promote industrial corridors and food processing clusters, and improve education and health facilities. He sought flexible guidelines and simplified administrative procedures so that Andhra Pradesh can channel Purvodaya funds effectively into priority sectors such as education, skill development, agriculture, MSMEs, housing, roads, and irrigation.

The Chief Minister requested expeditious implementation of projects sanctioned under the SASCI framework and release of the second tranche of funds. He sought allocations for the Unity Mall in Visakhapatnam, reconstruction of the Havelock Bridge under the Akhanda Godavari project, the Gandikota tourism project, and completion of three working women’s hostels. Highlighting the State’s fiscal constraints, Naidu sought Rs 10,054 crore under SASCI for 2025- 26 towards infrastructure, irrigation, roads, MSME parks, housing and healthcare.

The Chief Minister made a strong pitch for transforming the Rayalaseema region into a horticulture hub, submitting a detailed representation to the Finance Minister. He said 18 globally demanded crops are cultivated across eight districts, with 93 horticulture clusters expected to benefit 33.7 lakh farmers. The plan aims to expand the area under horticulture from 8.48 lakh hectares to 12.28 lakh hectares by 2029, supported by investments in water resources, transport, ports, air cargo, and logistics. He estimated a requirement of Rs 41,000 crore over three years and sought a formal announcement of the package in the 2026-27 Budget, noting it would raise farmers’ annual income from Rs 2 lakh to Rs 3.5 lakh.

On the irrigation front, Naidu sought the Centre’s support for the Polavaram–Nallamala Sagar Link Project, which proposes diverting 200 TMC of Godavari floodwaters to drought-prone regions of Prakasam, Rayalaseema, and Nellore. He said the project would be executed in phases through the newly formed Jalaharathi Corporation and requested assistance on the lines of support extended for Amaravati.

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