Naidu Pushes for Interest Cut on Previous YSRC Regime Loans

Vijayawada: Chief Minister N. Chandrababu Naidu on Wednesday maintained that public money is being wasted on loans raised at high interest rates by the previous YSRC government.

Addressing ministers and heads of departments at the Secretariat in Velagapudi in Amaravati, the Chief Minister announced that a comprehensive exercise must be taken up to reschedule debt and reduce the annual interest burden on Andhra Pradesh.

He maintained that timely restructuring of loans can save nearly ₹7,000 crore annually, restoring fiscal health and public confidence. In this regard, Chandrababu Naidu directed senior officials to hold detailed discussions with banks and financial institutions to bring down the interest rates on all government loans. He observed that higher interest rates damage APs brand image, apart from placing an avoidable burden on the state exchequer.

The Chief Minister pointed out that through loan rescheduling and negotiations, state government saved Rs.512 crore last year and nearly Rs.1,000 crore so far in the current year. With a comprehensive effort to reduce interest rates across the entire loan portfolio, Andhra Pradesh could potentially save as much as Rs.7,000 crore, he maintained.

Turning to public health, Naidu instructed officials to remain highly vigilant and take preventive measures to check the spread of seasonal and water-borne diseases. He said health data available with the state’s Data Lake should be effectively used to disseminate accurate information to citizens in a timely manner, thereby improving awareness and prevention.

Expressing serious concern over non-utilisation of Rs.1,170 crore of central funds by various departments, the Chief Minister directed officials to ensure that the entire amount is spent by December 20. Utilisation certificates must be sent to the centre without delay to facilitate further release of funds, he underlined.

Chandrababu Naidu asked ministers to play an active role in monitoring and accelerating utilisation of central funds for development works. He wanted a comprehensive audit framework for all departments by March 2026.

The Chief Minister said he would personally review the performance of various departments once every three months. He wanted officials to act immediately on issues related to farmers’ welfare, crop prices, road conditions, employment generation, drinking water supply and rise in prices of essential commodities. Remedial measures in these matters should be initiated without delay.

Naidu asked officials to respond swiftly to media reports and correct deficiencies within the functioning of the departments concerned. Noting that Revenue, Police and Municipal Administration departments are attracting a large number of public grievances, he wanted a real-time grievance redressal system put in place.

Citing the Mustabu programme implemented in Parvathipuram Manyam district, the CM commended the initiative for bringing visible improvements in students’ performance and their overall outcomes. He sought similar innovative approaches replicated across the state.