Fresh Funds Allocated to CRDA for Amaravati Construction Works

The Andhra Pradesh government has issued orders releasing ₹2,100 crore to the Capital Region Development Authority (CRDA) for Amaravati construction works. This comes after a previous allocation of ₹2,100 crore, taking the total state funding for Amaravati projects to over ₹4,100 crore. The funds have been released directly from the state treasury for the continuation of infrastructure and development activities in the capital region.

The government had earlier promoted Amaravati as a “self-financing city,” with Chief Minister N. Chandrababu Naidu and Minister P. Narayana stating that not even a single rupee from public funds would be used for the capital project. However, the latest allocations from the state treasury have triggered criticism from opposition parties and financial analysts, who argue that thousands of crores are now being spent from public funds despite those earlier assurances.

The Andhra Pradesh government has already raised nearly ₹47,000 crore in loans for Amaravati development. Critics allege that in addition to these borrowings, the continuous release of state treasury funds is increasing the financial burden on the state exchequer. Opposition leaders claim Amaravati is becoming a major strain on Andhra Pradesh’s finances.

Supporters of the Amaravati project, however, argue that the capital city is essential for long-term economic growth and administrative development. They maintain that investments in infrastructure today will strengthen Andhra Pradesh’s future. The latest fund release has once again intensified political debate over Amaravati’s financial model and the state government’s spending priorities.