Meeting the demand of the key allay, Telegu Dashan Party (TDP), in the Modi 3.0 government, the Union Budget, presented on Tuesday, granted  Rs 15,000 crore for the development and construction of Amaravati as the sole capital of Andhra Pradesh.

The TDP, the second biggest member of the ruling NDA, had sought a substantial package for the construction of the new capital for Andhra Pradesh during the pre-budget meeting.

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While presenting the Budget, Union Finance Minister Nirmala Sitharaman said that recognising Andhra Pradesh’s need for capital, Rs 15,000 crore to be arranged for the state “for development of capital” and to facilitate support through multilateral development agencies.

The state has remained without a single capital city after its bifurcation in 2014, and the TDP has been pushing for Amaravati to be developed as the sole capital of Andhra Pradesh for long. The TDP chief Chandrababu Naidu, after assuming power last month announced Amaravati as sole capital of the state.

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After TDP lost power in 2019, the work of developing Amaravati as sole capital became sluggish as the then YSRCP government was indifferent towards the project.