Andhra Pradesh’s ₹308 lakh crore vision hinges on capital expenditure, official warns
Andhra Pradesh can achieve its ambitious ‘Swarna Andhra @2047’ vision only by accelerating capital expenditure, reviving the manufacturing sector, expediting industrial projects and ensuring coordinated action across departments to attract investments, generate employment and sustain high economic growth, Planning Department Special Chief Secretary Piyush Kumar has said.
Addressing the Ministers and Secretaries’ Conference on Tuesday, Mr. Kumar outlined the State’s long-term economic roadmap, which envisages a Gross State Domestic Product (GSDP) of ₹308 lakh crore, per capita income of ₹55 lakh and annual economic growth of more than 15% by 2047.
He said the government had developed a digital monitoring framework to ensure systematic implementation of the Swarna Andhra vision. The framework covers 30 Secretariat departments, 87 departments and 651 Key Performance Indicators (KPIs), enabling continuous monitoring of governance, departmental performance and development outcomes to track progress towards the State’s long-term goals.
Reviewing the State’s economic performance, Mr. Kumar said Andhra Pradesh recorded 9.9% economic growth in 2025-26, well above the national average of 7.4%. He, however, cautioned that inflation remained a concern, with the State’s inflation rate reaching 4.9% in May 2026 and rural food inflation rising to 6.91%, warranting close monitoring.
The agriculture sector registered encouraging growth, with kharif foodgrain production rising 39.8% to 12.3 million metric tonnes. Horticulture, animal husbandry and aquaculture also recorded steady growth, providing a boost to the rural economy. At the same time, Mr. Kumar pointed to declines in oilseed production, chilli and turmeric cultivation, and inland fisheries, calling for focused interventions to reverse the trend.
In the industrial sector, industrial power consumption increased by 10.9% and registrations of new factories rose by 31.6%, indicating improving investment activity. However, the Index of Industrial Production (IIP) for manufacturing declined by 4.7%, which he described as a major challenge requiring immediate attention.
The services sector also posted strong growth, with GST collections increasing by 21.3%, IT exports by 32.2%, commercial vehicle registrations by 51.6% and domestic tourist arrivals by 22%, reflecting robust economic activity across sectors.
Mr. Kumar said bank credit expanded by 137.6% and the State’s own tax revenue grew by 18.2%. He, however, expressed concern over a 33.1% decline in capital expenditure to ₹2,547 crore, stressing that higher investment in infrastructure would be critical to sustaining long-term economic growth.
