Andhra Pradesh logs 11.3% growth, ahead of Telangana, says CM Naidu

Andhra Pradesh Chief Minister N. Chandrababu Naidu on Tuesday presented a comprehensive account of the State’s financial position and the performance of the NDA government during its first two years in office, asserting that investor confidence has been restored and the economy is back on a growth path.

Addressing a press conference at the Secretariat in Vijayawada, Mr. Naidu released a White Paper on the Finance Department. He alleged that the period between 2019 and 2024 was characterised by economic decline, administrative deterioration and a loss of investor confidence. He also outlined challenges following the bifurcation of the erstwhile State in 2014, including the loss of Hyderabad as capital, an imbalance in resource distribution and inadequate industrial infrastructure.

The Chief Minister said Andhra Pradesh recorded a gross State domestic product (GSDP) growth rate of 11.3% during the 2024-26 period, compared with 10.7% in Telangana. He stated that the State’s growth rate had stood at 13.5% between 2014 and 2019, before declining to 10.3% between 2019 and 2024. He added that, had the earlier growth trajectory continued, Andhra Pradesh would have generated an additional ₹6.94 lakh crore in GSDP and ₹76,195 crore in revenue.

Mr. Naidu said the gap in per capita income between Andhra Pradesh and Telangana had widened from ₹55,817 in 2018-19 to ₹1,06,854 in 2023-24. Andhra Pradesh’s per capita income stood at ₹2,94,507 in 2025-26, he said. He also pointed out that the public debt-to-GSDP ratio had risen from 28.37% in 2014-19 to 33.83% in 2019-24, and currently stands at 36.2%.

The Chief Minister attributed the improvement in economic indicators to increased public investment, infrastructure development and investor-friendly policies. He said the government had resumed the reconstruction of Amaravati, expedited work on the Polavaram irrigation project, and promoted investments in sectors such as information technology, artificial intelligence, pharmaceuticals, steel and irrigation infrastructure. Describing the Bhogapuram International Airport as a major catalyst for regional growth, he said the project would strengthen connectivity and attract investments in ports, industries and data centres in north coastal Andhra Pradesh.

Recalling achievements from his earlier tenure between 2014 and 2019, Mr. Naidu cited the construction of the Pattiseema lift irrigation scheme, progress in the Polavaram project, the expansion of airports and ports and the development of industrial corridors linking Visakhapatnam, Chennai and Bengaluru. He also referred to investments by companies including Kia Corporation, Isuzu Motors, Asian Paints and Foxconn.

The Chief Minister alleged that the previous government had halted work on Amaravati, weakened the power sector by cancelling power purchase agreements and increased the State’s debt burden. According to him, these decisions had imposed an additional burden of ₹32,000 crore on the exchequer.

Mr. Naidu said the government had substantially increased capital expenditure, allocating ₹10,000 crore for Amaravati, ₹8,300 crore for the Polavaram project, ₹5,437 crore for ports, ₹1,142 crore for the Jal Jeevan Mission, ₹2,302 crore for airports and ₹3,439 crore for road infrastructure. He also noted that the government had spent ₹1,49,401 crore on welfare over the past two years and provided 30,607 government jobs.

Since assuming office, the government released seven white papers and subsequently published progress reports on sectors such as energy, Amaravati and water resources, the Chief Minister added.