The Asian Development Bank (ADB) will extend a $625 million loan for Vizag-Chennai industrial corridor, ADB India country director Teresa Kho announced on Monday.
Addressing the CII Partnership Summit in this coastal city, she said ADB would work with Andhra Pradesh in developing the infrastructure nodes as part of the Vizag-Chennai Industrial Corridor(VCIC).
She said VCIC will play a critical role in Prime Minister Narendra Modi's Act East policy. She told the summit that VCIC has the potential to create 11 million jobs in next 30 years.
"It is estimated that GDP in corridor districts will increase by six times and manufacturing output by seven times over the next two decades," she said.
The $850 million project is expected to change the face of Andhra's coastal belt from Srikakulam to Srikalahasti.
Four major infrastructure nodes will come up in Andhra Pradesh along 900-km long coastline. These nodes are Vizag, AKakinada, Gangavaram-Kankipadu and Yerpadu-Srikalahastri.
East Godavari and Krishna districts are employment intensive and are poised to grow faster with VCIC, she noted.
The comprehensive development plan show Strong growth potential over three decades. According to this, pharma can grow by 12.2 percent, electronic by 44.4 percent and auto at 24 percent in the next five years.
Confederation of Indian Industry (CII) President Sumit Mazumdar said the VCIC would attract investment of $17 billion.
