In a major administrative overhaul aimed at accelerating economic progress, the Andhra Pradesh government has unveiled a plan to divide the state into three distinct economic development zones. This strategic restructuring is designed to foster infrastructure development, boost industrialization, and ensure balanced regional growth across all parts of the state.
Three-Pronged Approach to Development
The new framework establishes three economic zones: the North Coastal Region, Central Coastal Region, and Rayalaseema. Each zone will function under dedicated zonal committees, with Chief Minister YS Jagan Mohan Reddy presiding over the overarching steering committee. Ministers and legislators from each region will serve as committee members, ensuring political representation in the development process.
The executive committee will be led by the Chief Secretary, supported by principal secretaries and secretaries from relevant departments. More importantly, separate implementation committees will be formed for each zone, headed by a Chief Executive Officer (CEO) who will have district collectors as members. Three senior officials are expected to be appointed as CEOs, with detailed operational guidelines to be issued shortly.
Zone-Specific Focus and Leadership
According to government sources, Industries Secretary N Yuvaraj is likely to be appointed CEO for the north-coastal zone, while Excise and Mines Principal Secretary MK Menna is tipped to lead the central coastal zone. Special Chief Secretary (R&B and Infrastructure) MT Krishnababu is expected to head the Rayalaseema zone, bringing substantial administrative experience to these critical roles.
Each zone has been assigned a specific headquarters and distinct economic focus areas:
North Coastal Zone: Headquartered in Visakhapatnam, this zone will cover nine districts and concentrate on port-led industrialization, IT hubs, fisheries, pharmaceuticals, and tourism development. The zone will implement an economic action plan already prepared by Niti Aayog.
Central Coastal Zone: With its headquarters in Amaravati, this seven-district zone will prioritize agro-based industries, food processing, logistics, textiles, and cement clusters. It aims to position Vijayawada as a commercial and aviation hub, with a vision plan to be prepared with support from the Singapore government and Niti Aayog.
Rayalaseema Zone: Based in Tirupati and spanning nine districts, this zone will emphasize renewable energy, mining, horticulture, and spiritual tourism centered around the famous Tirumala-Tirupati temple circuit. Niti Aayog has agreed to prepare a separate vision plan for this region.
Powers and Expected Outcomes
Zonal CEOs will be vested with significant financial and administrative powers, including authority over land allocation and single-window clearances for projects. This decentralization of decision-making is expected to dramatically speed up project implementation and remove bureaucratic hurdles that often delay industrial investments.
Additionally, advisory committees comprising MPs, MLAs, and industry representatives will provide strategic guidance to ensure that development plans align with both political vision and ground-level business requirements.
A senior government official highlighted that the new zonal framework will enable customized industrial policies, faster project execution, targeted branding of each region's strengths, and more equitable distribution of resources across the state. "The move is going to be a game-changer that positions Andhra Pradesh as India's most investor-friendly state," the official stated.
With this three-engine development model, the state government projects that Andhra Pradesh will achieve sustained 15% GSDP growth and move decisively toward inclusive prosperity. The framework represents one of the most comprehensive regional development initiatives undertaken by any state government in recent years.