Andhra Pradesh will find fund flow easier now
While the institutions had agreed on paper, money was not released as per schedule because of the lack of NGT clearance.
HYDERABAD: With the National Green Tribunal giving clearance for the construction of the Amaravati capital, the AP government can get funding for the work.
Due to the case in NGT, financial institutions like Hudco, World Bank and Asian Development Bank had put funding worth Rs 20,000 crore on hold. They are now expected to release the brakes.
AP Chief Minister N. Chandrababu Naidu had held several rounds of discussions with financial institutions to procure the mammoth funding required to create the new capital.
While the institutions had agreed on paper, money was not released as per schedule because of the lack of NGT clearance.
A senior IAS officer said “Many national and international financial institutions had agreed to give loans for the development of Amaravati, but funds were stalled due to the case pending with NGT.”
A CRDA official said that Hudco is expected to give Rs 7,500 crore.