VIJAYAWADA: In a significant development, the State government on Friday authorised the APCRDA to raise finances using the — either by mortgaging or as loan security — taken from farmers for Amaravati. A GO has been issued in this regard. The State government has reserved 5,000 acres for land monetisation.
According to the GO (MS 27) issued in the name of Principal Secretary (APCRDA) Ajay Jain, the body’s commissioner is authorised to raise funds by using the lands belonging to the government/authority and the assets built in such lands, as security or for a mortgage. The commissioner is also authorised to hand over the lands to contracting agencies and/or local bodies.
It may be noted that the APCRDA is in the process of borrowing Rs 10,000 crore from various banks as loans for infrastructure development in Amaravati. It is learnt that the banks have sought security, along with government guarantee, for processing the loans. Explaining the situation, the APCRDA chief, Cherukuri Sreedhar, had written a letter to the State in December-end.