The Department of Economic Affairs has approved the ADB lending of $500 million under project loan and $125 million under the policy loan for the Vizag-Chennai Industrial Corridor. The Andhra Pradesh government on its part will invest about $215 million.
While the Vizag-Chennai corridor touches nine districts of the State, it will have four major nodes at Visakhapatnam, Kakinada, Gannavaram-Kankipadu and Yerpadu-Srikalhastri. The State is keen to link one of the nodes to the proposed new capital city, Amaravati. Under this $840 million VCIC project, various components include four road projects worth Rs 1,220 crore would be taken up along with three power related (Rs 1,243 crore), four infrastructure upgradation projects (Rs 906 crore).