Andhra Pradesh Chief Minister N Chandrababu Naidu
The NDA government in Andhra Pradesh is expecting significant financial support from the Centre for its mega infrastructure projects in the upcoming Budget for the year 2026-27.
The Government has requested for Centre’s budgetary support for the Greenfield Capital Project in Amaravati and also the long-pending Polavaram Project. The completion of these two projects were the pre-poll promises of the N Chandrababu Naidu-led NDA government in the State.
“In the previous Budget the new capital project had secured ₹15,000 crore support from the Centre. However, given the scale of the project, an additional acquisition of the land which is currently underway and the need to complete as per the promise will require greater support,’’ a senior official told Businessline. The request for greater allocations for the State has already been communicated formally.
Chief Minister Chandrababu Naidu had also met Union Finance Minister Nirmala Sitaraman a few weeks ago and requested the need for Centre’s support for Amaravati as well Polavaram–Nallamala Sagar Link Project it would help addressing drinking water paucity as well as water for the industries.
The State government is also betting big on the inter-linking of rivers on the lines of the Centre’s ₹40,000 crore river-linking project covering 11 rivers in Rajasthan. A similar project in Andhra Pradesh is expected to cost around ₹58,000 crore, according to official estimates.
Investment push
The State government has been pitching Visakhapatnam as investment destination for the last two years and already attracted mega data centre projects involving multi-billion dollars. It is in the process of developing Visakhapatnam Economic Region (VER) in hub and spoke model with many industrial development centre. It is hoping for ₹5,000 crore budgetary support from the Centre for the VER.
The other demands included grant of revenue deficit grants and some financial dues which are to come to the State as per the AP State Reorganisation Act which bifurcated for creation of Telangana in 2014.
Published on January 25, 2026
