Union Government has released funds to the tune of Rs 2,303 crore to Andhra Pradesh to bridge the resource gap for 2014-15.
In a statement issued by Union Finance Ministry, It was mentioned that Rs 500 crore has been provided as ad-hoc grant for AP already and another Rs 1,803 crore were released on March 31st.
Notably, Finance Ministry declared that Rs 1,500 crore will be sanctioned for AP as a budgetary support for the construction of New Capital. While Rs 1,000 crore of it will be towards providing essential emenities, Rs 500 crore for construction of Government structures like Assembly, Secretariat, High Court and Raj Bhavan. It a step towards keeping the promises of AP Reorganisation Act.
Release of Central Funds in the recent past will be a big relief for AP Government.