VIJAYAWADA: Andhra Pradesh Tourism Development Corporation (APTDC) has pledged the Berm Park in Vijayawada, one of the valuable assets of the Tourism Department, to HDFC Bank to raise loans to the tune of `143 crore.Senior officials said the State government in December 2020 had given approval to APTDC to raise loans with Berm Park lands as collateral for renovation and repair works besides development of new projects. The first tranche of the loan will be `35 crore.
Stating that the sanction of the loans were yet to materialise, the officials clarified that there was a delay in processing it due to the Covid pandemic and other unspecified reasons.They are expecting the first installment of the loan to be released in 2-3 days.According to sources, several projects, which were conceptualised in 2015-16 and ready for execution but are being delayed due to the paucity of funds. Further, there are pending bills to the tune of `10 crore, which need to be cleared.
Berm Park is spread over five acres on the banks of River Krishna in Vijayawada and is one of the prime location along Hyderabad-Machilipatnam National Highway (NH-65). It is one of the frequently visited tourist destinations and a popular boating spot. It is also a popular venue for conducting meetings, functions and parties.Officials maintained that pledging Berm Park as collateral to raise money would not mean that operations at the Park will stop. They asserted that the two issues were not related.
The money will be primarily used to improve facilities at the existing tourist destinations. Several sites need better connectivity, sanitation and accommodation facilities, officials said. Sources added that as the corporation does not have enough funds of its own, the need for raising the loans has become necessary so as to support projects which are on the anvil and also to take up renovation and repair works of the existing projects.
“Besides supporting the existing projects, any future projects need funds, which cannot be expected from the government given the present financial situation. There are around 39 projects at conceptual stage which are under active consideration,” sources said.
Popular for parties, meets
Berm Park is spread over five acres on the banks of River Krishna in Vijayawada and is one of the prime location along Hyderabad-Machilipatnam National Highway (NH-65). It is one of the frequently visited tourist destinations and a popular boating spot. It is also a popular venue for conducting meetings, functions and parties