Announcing a host of measures for the two states, the Prime Minister said amid unprecedented din in Rajya Sabha that tax incentives will be offered to promote industrialisation and economic growth in both the states, on the lines of those extended to some other states.
A protective cordon was thrown around Singh by Congress members as members from Seemandhra region as also those from TMC and Shiv Sena stormed the Well with TMC members even tearing papers and throwing them on the floor.
"Our government will execute the Polavaram project...Let there be no doubt about it," Singh said.
He said for purposes of Central assistance, Special Category Status will be extended for a period of five years to the successor state of Andhra Pradesh comprising 13 districts.
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These will include the four districts of Rayalaseema and three districts of north coastal Andhra to put the state's finances on a firmer footing, he said.
Singh noted that the Bill already provided for a special development package for backward regions of successor state of Andhra Pradesh, in particular for the districts of Rayalaseema and North Coastal Andhra Pradesh.
The Prime Minister assured that the appointed day for formation of the new state will be so fixed in relation to the notified date so as to enable preparatory work relating to personnel, finance and distribution of assets and liabilities to be completed satisfactorily.
"I hope these additional announcements will demonstrate our steadfast commitment to not just the creation of Telangana but also to the continued prosperity and welfare of Seemandhra," Singh noted.