ANDHRA PRADESH, India: Singapore firms Ascendas-Singbridge and Sembcorp Development have been appointed to master develop the commercial core of Amaravati – the new capital city of the Indian state of Andhra Pradesh.
The two urban solutions companies will enter into a joint venture with the Andhra Pradesh government, under a new company called Amaravati Development Partners (ADP), to undertake the project.
This was announced on Monday (May 15) by visiting Trade and Industry (Industry) Minister S Iswaran and Andhra Pradesh’s Chief Minister Chandrababu Naidu.
The project, which will be developed in phases over 15 to 20 years, covers a 6.84 square-kilometre area in Amaravati with developments for business, commercial and residential uses. It’s been described as the “heart of Amaravati”, next to the government administrative area.
Andhra Pradesh officials will also work with the master developers on industry positioning and investment promotion to bring economic value to the city.
NEW PROJECT "ONE OF THE MOST SIGNIFICANT"
Singapore has been playing a vital role in building Amaravati, a city which had to be created from scratch after Andhra Pradesh lost its former capital Hyderabad to the newly formed state of Telangana.
In December 2014, Singapore was invited by the Andhra Pradesh government to help create three masterplans for Amaravati and in July 2015, the last of the three plans were handed over.
The project to develop Amaravati’s commercial core would be “one of the most significant by far, both in terms of scale and in terms of the potential for greater mutual partnership and contribution by Singapore towards India’s broader development objectives,” said Mr Iswaran.
“At the same time I think it’s also an opportunity for our businesses from Singapore to participate in the opportunity in India,” he added.
On Monday, Singapore and Andhra Pradesh also signed a Memorandum of Understanding for greater collaboration between both sides.
Commercial opportunities will be identified for Singapore firms in Amaravati and Andhra Pradesh, in areas such as urban solutions, manufacturing, logistics, energy and transport infrastructure, according to the Trade and Industry Ministry.
On its part, Singapore will share its experience in urban governance, security and education with officials from Andhra Pradesh.
Amaravati’s development is expected to spur economic growth across an 8,000 square-kilometre region.
The plan is for the city to be home to more than 10 million people working in a diversified economy comprising the government, education and agriculture sectors by 2050.