The Andhra Pradesh Cabinet has taken significant decisions that will accelerate the development of the Amaravati capital region. In a meeting chaired by Chief Minister Chandrababu Naidu, the Cabinet approved the second phase of land pooling, covering 16,666.57 acres across seven villages under the Capital Region Development Authority (CRDA).

This decision follows the government’s recent discussions with Amaravati farmers, many of whom have already expressed their willingness to participate in the expansion of the capital region. The villages included in the second phase are Vaikuntapuram, Pedamadduru, Endroyi, Karlapudi, Vadlamanu, Harischandrapuram, and Pedaparimi. Village meetings were conducted earlier, and consent was obtained from farmers for the land pooling plan.

Amaravati earlier saw land pooling of nearly 33,000 acres, which formed the foundation of the capital’s core development. The new 16,000-acre proposal was originally planned to be larger, but the government finalized the footprint after considering objections raised in some localities. With the Cabinet’s approval now in place, CRDA will begin the formal land pooling process in the selected villages. Farmers will receive packages and plots similar to those offered in the first round of land pooling.

Alongside the land acquisition approval, the Cabinet also cleared CRDA’s proposal to raise a ₹7,500 crore loan to push forward capital construction. The loan will be secured through NABFID, with the state government acting as guarantor. These funds will be dedicated exclusively to Amaravati’s infrastructure and development works as mandated by CRDA.

The Cabinet meeting discussed 26 agenda items and approved all of them, but the Amaravati decisions stand out as the most crucial for the state’s long-term administrative and infrastructural plans.

With the second phase of land pooling and fresh financial backing, the Andhra Pradesh government is preparing to accelerate Amaravati’s transformation into a full-fledged capital city.