AP ATTRACTS INVESTMENT PROJECTS OF RS.4.48 LAC CRORES IN 2024-25, SAYS STUDY
Andhra Pradesh, with a strong focus on agriculture, industry, services, and information technology, has attracted investment projects (both government and private sector) worth Rs. 4,47,490 crores during 2024-25, according to the study brought out by the MSME Export Promotion Council.
Releasing the study on “Investment, Development & Growth between 2021-22 to 2024-25 in Progressive Andhra Pradesh” today, the chairman of the MSME EPC, Dr D. S. Rawat, said the state is shaping itself as a hub of growth and opportunities. It needs robust economic reforms continuously and a push to infrastructure development to enable the state to emerge as one of the fastest-growing states.
The study says that during 2024-25, investment projects completed of Rs.19,685 crores were completed, and pending projects worth Rs.24,590 crores were revived. The Council has sourced data from the Centre for Monitoring of Indian Economy (CMIE).
The study reveals that in 2021-22, new investment projects of Rs. 1,78,474 crores were received, completed projects of Rs. 39,723 crores, and revived projects of Rs. 8,915 crores. While in 2022-23, investment projects received were of Rs. 3,32,426 crores, completed of Rs. 32,765 crores, and revived projects were worth Rs. 1,226 crores. During 2023-24, the state attracted new projects of Rs. 1,20,858 crores, completed projects of Rs. 65,242 crores, and revived projects of Rs. 10,887 crores.
It was observed that government’s thrust on industrial corridors, promotion of micro, small & medium enterprises (MSMEs), IT exports, renewable energy, and port-led development is positioning the state as a key investment destination.
The new investment projects announced by the industry in 2024-25 were of Rs. 3,71,814 crores, the projects completed were worth Rs.14,004 crores, and the pending projects worth Rs. 18,232 crores.
However, outstanding investment projects by the industry during 2024-25 are over Rs. 1145555 crores and, therefore, the chairman of the council, Dr. Rawat, underlined the need for setting up a high-powered committee to review each project, sort-out hurdles within a stipulated time frame, and facilitate project implementation to avoid cost escalation.
The presence of over 2.5 million MSME units operating across diverse sectors such as food processing, textiles, engineering, pharmaceuticals, IT-based services, aquaculture and renewable energy are playing a vital role in accelerating industrial growth, generating employment and strengthening the state’s economy.
However, a number of MSME units are reeling under crisis due to swift changes in the technology, non-availability of timely & affordable finances, and absence of online grievance redressal platforms for MSMEs.
If Andhra Pradesh builds strong financial, digital, and export support systems, MSMEs can become the biggest drivers of jobs, balanced growth, and exports in the state, said Dr. Rawat.
To give a boost to the tourism sector, the study has suggested a 6-pronged strategy to emerge as a vibrant tourism hub of India. The strategy includes better connectivity & infrastructure, development of circuits, public-private partnerships, branding & promotion, community participation, and clean, safe, and sustainable tourism practices. This has been recommended because the state is blessed with a long coastline, rich culture, heritage, and natural beauty, which holds immense tourism potential. There is also huge potential in positioning the state as the next major IT hub of India after Bengaluru, Hyderabad, and Chennai, with policy stability, infrastructure, and skilled talent. However, the state needs to develop world-class IT parks and SEZs in view of the huge competition among the states.
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