Union Finance Minister Nirmala Sitharaman has declared that Amaravati will emerge as India's pioneering integrated Financial City, marking a significant milestone in the development of Andhra Pradesh's capital region. The announcement came during a foundation-laying ceremony where she was joined by Chief Minister Chandrababu Naidu to initiate construction of nationalized banks and financial institutions in the emerging capital city.
Major Financial Institutions Join Amaravati Development
Fifteen prominent state-owned banks and insurance companies have commenced construction activities in Amaravati's designated Financial District. The institutions include banking giants such as State Bank of India, Union Bank of India, Canara Bank, Bank of Baroda, Central Bank of India, Punjab National Bank, IDBI Bank, Indian Overseas Bank, Bank of India, Indian Bank, along with regional entities like Andhra Pradesh Grameena Vikas Bank and AP Cooperative Bank. Financial powerhouses NABARD, LIC and New India Assurance are also part of this ambitious development.
According to official estimates, this integrated financial hub is expected to generate direct employment for more than 6,500 people while stimulating future investments and economic activity across the state. The project represents a rare opportunity for banks to design and construct top-class facilities in a new capital city being developed from the ground up.
National Support and Strategic Vision
Sitharaman emphasized that building a new capital city in the country represents an extraordinary and historic task, far beyond routine administrative decisions. She expressed satisfaction at witnessing the revival of Amaravati and the restart of long-pending development works, noting that Prime Minister Narendra Modi has extended complete support to resume construction, describing the project as a "national endeavor" comparable to a sacred mission.
The finance minister highlighted that the decision to establish public sector financial institutions in Amaravati was taken with the firm conviction that a large capital city requires strong economic backing. She appreciated the vision of bringing all major financial institutions together in the newly planned Financial District, creating India's first fully integrated financial ecosystem.
Focus on Farmers and Rural Economy
During her address, Sitharaman recalled the sacrifice of farmers who contributed lands for the capital development and stressed that their contribution should never be forgotten. She asserted that banks have a responsibility to ensure farmers face no hurdles in accessing credit and other financial services, going beyond merely offering Kisan Credit Card loans.
The minister urged financial institutions to extend wider economic benefits to the farming community and help horticulture farmers in the nine Rayalaseema districts access markets in other states. She emphasized the need to promote supporting industries such as packaging and cold-chain infrastructure, citing examples of how bananas from Maharashtra and coconuts from Tamil Nadu are successfully transported by rail to major cities like Delhi and Mumbai.
Chief Minister Chandrababu Naidu appealed to banking leadership to complete the projects in record time and contribute actively toward the growth of Amaravati and Andhra Pradesh. The development comes at a crucial time when many banks are currently handling Andhra Pradesh's operations from Hyderabad, while the Reserve Bank of India recently moved to a rented building in Vijayawada.
