Andhra Pradesh Government is taken aback by World Bank, which has dropped the $300 million Amaravathi  Sustainable Infrastructure  and Institutional Development Project, jeopardizing the state’s development project.  The World Bank did not assign any reason for their withdrawal from the project     with the Bank’s official website showing the status of the project as ‘Dropped’.

Apparently, the World Bank had taken into account the complaints by farmers who alleged forcible take-away of their fertile lands by the previous government on grounds of land pooling for capital development.

Several NGOs and activists have been objecting to the previous TDP (Telugu Desam Party)’s  plans to build the capital by acquiring lands from the farmers. Moreover, the development was very close to the banks of the Krishna river.

Under the proposal, the World Bank was to lend US$ 300 million while the Asian Infrastructure and Investment Bank  was supposed to lend another US$200 million for the Amaravathi development.

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