AP Races Ahead with Rs.9.34 Lakh Cr Investments in 12 Months

In the last 12 months, the government has attracted Rs.9.34 lakh crore worth of investment proposals. This figure surpasses the investments promised for AP during the YSRC’s five-year tenure from 2019 to mid-2024.

The state has signed over 340 MoUs across various industrial verticals. These are projected to generate over 25 lakh jobs. Sectors benefiting from this surge in investment are electronics, renewable energy, semiconductors, cloud infrastructure, AI-based education, digital skilling and advanced manufacturing.

During the recent visit to Singapore, Chief Minister N. Chandrababu Naidu and IT minister Nara Lokesh confirmed investment commitments worth Rs.45,000 crore, with timelines spread across five years. Their meetings with tech firms and venture groups focused on clean manufacturing, cloud services and research partnerships.

Further visits to Japan, Germany and the United States are scheduled in the coming months, with a strategic shift toward building direct investment and institutional linkages, rather than working through intermediaries.

Key proposals from recent outreach efforts formed the backbone of the Rs.9.34 lakh crore committed so far. Among them, the Tata Power Renewable Energy Ltd has proposed over Rs.45,000 crore to develop 7 GW of clean energy capacity.

Meanwhile, Google’s data centre project in Visakhapatnam is expected to see an investment of approximately `50,000 crore.

Google is reportedly planning a $6 billion investment to build a 1-gigawatt data centre and renewable energy infrastructure in Visakhapatnam. Of this, $2 billion would be allocated specifically for green power generation. The facility is expected to be the largest data centre in Asia by capacity and investment, with a formal announcement expected in October.

Lokesh recently confirmed that AP had secured investments for a 1.6 GW worth data centre and aims to reach the 6 GW mark within five years, a significant leap from the current near-zero base. The first units are expected to become operational within the next two years.

The state is also in discussions with Google to establish a chip design centre in Visakhapatnam, as part of broader plans to develop a robust semiconductor ecosystem within its urban-tech corridors.

During his Singapore visit, Lokesh proposed the establishment of a Microsoft Experience Zone or technology station in Andhra Pradesh to foster Generative AI-based innovation. He invited Microsoft to conduct a global hackathon in 2026 at Amaravati’s Quantum Valley Tech Park, leveraging Azure OpenAI and Copilot services. An earlier MoU with Microsoft will see two lakh youths trained in AI and advanced technologies, including 10,000 engineering students and 500 faculty from 50 rural colleges.

The IT minister also engaged with IVP Semi and DTDS Group, seeking their support in developing MSME-led semiconductor manufacturing units in the state. He emphasized AP’s potential to work in synergy with Tamil Nadu in building a regional semiconductor ecosystem.

Among other significant MoUs signed under Lokesh’s leadership is a collaboration with YouTube Academy India and Tesseract Inc. (USA) to establish a Creator Academy. This facility would train thousands of students in content creation, branding and monetisation, turning the state into a creative-technology hub in India’s expanding digital economy.

Schneider Electric plans to set up 20 advanced technology labs across government polytechnics and engineering colleges, aiming to train 9,000 students annually in automation, smart manufacturing and green energy systems. NVIDIA has partnered with the state to establish an AI University in Amaravati, offering training and start-up support.

Additionally, the Cyient Foundation and AICTE would work on establishing innovation centres, start-up clusters and IP training hubs across Andhra Pradesh.

TCS is set to launch its Visakhapatnam operations in September, followed by Cognizant in October. TCS has committed Rs.1,370 crore, creating 12,000 jobs, while Cognizant is investing Rs.1,582.98 crore for a new IT/ITES campus projected to generate 8,000 jobs.

The Cabinet meeting held on July 24 approved industrial proposals worth around `80,000 crore, projected to generate nearly 1.5 lakh jobs. The state is actively promoting balanced regional development, with projects distributed across districts.

For instance, Indosol Solar would invest `58,469 crore in a solar equipment manufacturing facility in Sri Sathya Sai district, creating 15,000 jobs. Laurus Labs is investing `5,630 crore in a pharmaceutical hub in Anakapalli, supporting 6,350 jobs. In Visakhapatnam, Lulu Group would build a Rs.1,500 crore mall and convention centre with an expected employment generation of 7,000.

Other major investors in Vizag’s Madhurawada and Paradesipalem areas include Sify Infinite Spaces, Sattva Developers, ANSR Global Corporation and BVM Energy, with combined investments totalling `20,216 crore and job creation of nearly 50,000.

These approvals also accompany the Cabinet’s rollout of the electronics components manufacturing Policy 4.0 (2025–30), targeting up to `150 billion in electronics investment, further cementing the state’s position in the global supply chain.

The government is driving regionally balanced growth by strategically attracting investments across districts, ensuring inclusive development and widespread job creation across Andhra Pradesh.

Within the first seven months of the Telugu Desam government’s term, investment agreements worth over `4 lakh crore have been finalised. Among the most notable is ArcelorMittal Nippon Steel’s `1,47,162 crore shore-based integrated steel plant at Nakkapalli in Anakapalli district. Set to become the country’s largest such facility, it is expected to generate around one lakh jobs with an annual capacity of 17.8 million tonnes.

Bharat Petroleum Corporation is also set to invest `95,000 crore in a 9 million tonnes per annum oil refinery and petrochemical complex in southern Andhra Pradesh. This would be India’s most expensive refinery project, surpassing Hindustan Petroleum Corporation’s Rs.71,814 crore refinery in Barmer of Rajasthan state.

Alongside investment efforts, the state is prioritising human capital development. Lokesh has introduced the LEAP (Learning Excellence in Andhra Pradesh) framework, which uses AI-driven personalised learning, digital tools and soft skills training across schools and junior colleges. This aims to produce industry-ready graduates in key areas such as robotics, electronics, energy and IT.

Initiatives like the Akshara Andhra literacy campaign and annual DSC teacher recruitments are under way, complemented by gender inclusion and anti-drug awareness programmes in schools.

The state government is focusing attention on capital-efficient, technology-led projects such as AI hubs, drone clusters and clean energy accelerators. Each project is being closely monitored for timely execution and measurable outcomes.