AIUDP aims to establish the capital as a well-managed, climate-resilient growth hub in Andhra Pradesh, a World Bank press release said. document
In a major boost to the development of Amaravati, the green land capital of Andhra Pradesh (AP), the World Bank (WB) on Thursday (December 19, 2024) approved the Integrated Urban Development Plan for Amaravati (AIUDP) provides $800 million in loans.
A press release issued by the World Bank on Friday (December 20, 2024) said that the AIUDP aims to establish the capital as a well-managed, climate-resilient growth hub for Andhra Pradesh, thereby creating employment opportunities and upgrading its existing population life.
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Tano Kouame, World Bank Country Director for India, said that India’s urban population is expected to double to 950 million by 2050, and India aims to establish sustainable and livable cities as growth centers, and Amaravati is SimCity Transformation offers exciting opportunities.
He mentioned that the World Bank will bring global expertise to support the design of urban institutions and infrastructure to create economic opportunities for residents, including women, youth and disadvantaged groups.
Asia-Pacific governments have developed a master plan for the 217-square-kilometer area that could accommodate a population of 3.5 million by 2050, and the World Bank is supporting the first phase of development of the city along with the Asian Development Bank.
Extensive consultation with the community will continue during the implementation of the scheme. The Bank’s funding will catalyze more than $600 million in private sector investment to help the city become financially sustainable and provide economic opportunity for its residents.
Promoting investment is key to making the city work for residents, said Balakrishna Menon and Gerald Ollivier, AIUDP task team leaders at the World Bank. AIUDP will assist the government in mobilizing the private sector to provide affordable housing and establish businesses that will create quality jobs.
They pointed out that the Amaravati Master Plan reserves 22 per cent of residential areas for affordable housing and the AIUDP will support this, including setting up a fund that can pool resources from the private sector.
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The World Bank will draw on international knowledge of sustainable urban design to build the city’s backbone infrastructure, including road grids, public transport, flood protection and water/wastewater systems.
The final term of the $800 million loan requested by the Indian government to develop Amaravati into a state capital and economic hub is 29 years, including a six-year grace period. The loan will be provided in Japanese yen.
Published – December 20, 2024, 2:29 pm (IST)