New Delhi, August 22, 2025 – Andhra Pradesh Chief Minister N. Chandrababu Naidu has urged Union Finance Minister Nirmala Sitharaman to allocate an additional ₹5,000 crore under the Special Assistance to States for Capital Investment (SASCI) scheme.
The Chief Minister met the Finance Minister in New Delhi on Friday, presenting a detailed representation that highlighted Andhra Pradesh’s growing fiscal needs and pending development projects.
Strengthening Andhra Pradesh’s Capital Investments
So far, Andhra Pradesh has received ₹2,010 crore under SASCI. However, with several crucial projects awaiting funds, CM Naidu has sought an extra ₹5,000 crore to fast-track infrastructure, employment generation, and economic growth across the state.
He also requested the immediate release of ₹250 crore under the Single Nodal Agency (SNA Sparsh) incentive scheme for 2024-25, for which proposals have already been submitted.
Emphasis on National Initiatives
During the meeting, Naidu welcomed the Centre’s Purvodaya scheme, aimed at accelerating development in eastern states, and urged for its early implementation. He stressed that Andhra Pradesh is well-positioned to benefit from this initiative, provided adequate financial support is extended.
Political and Developmental Significance
As a key ally in the BJP-led NDA government, the Telugu Desam Party (TDP) is pushing for stronger central support to address Andhra Pradesh’s fiscal challenges. CM Naidu also met with Prime Minister Narendra Modi, Union ministers, and the 16th Finance Commission Chairman Arvind Panagariya, highlighting the state’s funding gap and the urgent need for assistance in projects like Amaravati capital city development.
Naidu emphasised that timely financial support would not only ease the state’s revenue stress but also enable Andhra Pradesh to contribute more effectively to the nation’s economic growth.
What This Means for Andhra Pradesh
If approved, the ₹5,000 crore allocation under SASCI could provide the much-needed push for:
- Completion of pending infrastructure projects
- Development of Amaravati as a world-class capital city
- Enhanced job creation and industrial growth
- Strengthening Andhra’s role in national economic initiatives
Looking Ahead
The ball is now in the Centre’s court. With Andhra Pradesh banking on SASCI funds to boost its capital investments, the Union government’s response will play a decisive role in shaping the state’s development roadmap.
The outcome of this request could set the tone for Andhra Pradesh’s growth trajectory in the coming years, reinforcing the importance of strong Centre–State collaboration in nation-building.
Source: The Hindu
