3 weeks ago

Andhra Pradesh Unveils PPP Policy-2026 With Rs 1,500 Crore VGF

Andhra Pradesh Unveils PPP Policy-2026 With Rs 1,500 Crore VGF
AP rolls out PPP policy with Rs 1,500-cr VGF to attract investors · thehansindia.com

The government of Andhra Pradesh, a state in India, made a new rule book called the Public-Private Partnership Policy-2026.

This policy lets the government work together with companies to build important things like ports, airports, hospitals, and schools.

Working together this way is called a public-private partnership.

The government says it has about 1.23 lakh crore rupees worth of these projects already being planned.

To make companies want to join, it set aside 1,500 crore rupees as a special fund called Viability Gap Funding.

This fund helps projects that are important but might not make enough money at the start.

The government also created another fund that can give interest-free loans to projects that could earn money and share it later.

The policy was made after studying similar policies in other states and listening to many people's ideas.

Now, all government departments and institutions must follow this new policy.

Key facts

Policy
Public-Private Partnership Policy-2026
VGF Allocation
Rs 1,500 crore for FY 2026-27
Pipeline Project Value
Rs 1.23 lakh crore
Vision
Swarna Andhra Vision@2047
Priority Sectors
Transport, logistics, ports, airports, urban infrastructure, healthcare, education, industry, renewable energy, tourism
New Funding Mechanism
Project Viability Bridge Fund offering interest-free loans to projects that can later adopt a revenue-sharing model
Project Framework
Planning, appraisal, approval, procurement, implementation and monitoring
Implementation
Orders issued to all departments, government organisations and autonomous institutions

Sources

Related news