Telugu Desam Party (TDP) leader N. Chandrababu Naidu announced that Amaravati would become the sole capital of Andhra Pradesh. This announcement was made a day before his swearing-in as chief minister.
Naidu made this declaration during a joint meeting of TDP, BJP, and Jana Sena legislators, where he was unanimously chosen as the NDA leader in the Andhra Pradesh Legislative Assembly.
In 2014, following the division of Andhra Pradesh, Naidu had planned Amaravati as the capital city. He promoted this idea during his tenure as the first chief minister of the newly separated Andhra Pradesh from 2014 to 2019.
However, this plan faced a setback in 2019 when the TDP lost power, and the YS Jagan Mohan Reddy-led YSRCP secured a landslide victory.
After coming to power, Reddy’s government questioned the feasibility and financial prudence of Amaravati as the capital and proposed a three-capital plan.
This plan aimed to decentralize the administration, designating Amaravati as the legislative capital, Visakhapatnam as the executive capital, and Kurnool as the judicial capital.
However, Naidu has now replaced this plan with the decision to have Amaravati as the single capital. This transformation will aim to restore the city’s ancient glory while leading it into a prosperous future.
History of Amaravati
Amaravati, located in the Guntur district of Andhra Pradesh, is a city steeped in ancient history and cultural heritage. Historically known as Dhanyakataka, Amaravati served as the capital of the Satavahana dynasty from the 2nd century BCE to the 3rd century CE.
The city was a significant center of Buddhism, renowned for its grand stupas and monasteries, notably the Amaravati Stupa, which attracted pilgrims and scholars from across Asia.
Over the centuries, Amaravati witnessed the rise and fall of various dynasties, including the Ikshvakus and the Pallavas. The region’s rich archaeological findings, such as sculptures and inscriptions, highlight its historical importance.
Land Prices and Market Trends in Amaravati
Land Prices
- Before 2019, land prices in Amaravati ranged from Rs 25,000 to Rs 60,000 per square yard.
- After the YSRCP came to power, prices dropped from Rs 9,000 to Rs 18,000 per square yard.
- Currently, land prices have rebounded to around Rs 30,000 to Rs 60,000 per square yard.
Areas Witnessing High Demand
Land near educational institutions, the high court, the assembly, the secretariat, and central government institutions are in high demand.
Realtors, farmers, and brokers are noticing an increasing interest from buyers in Hyderabad, the USA, the UK, and Australia.
Stock Market Impact
Shares of KCP Ltd surged over 13% on June 7 following the electoral victory of Telugu Desam Party (TDP) chief N. Chandrababu Naidu in Andhra Pradesh.
The company’s stock jumped 12.93% on June 7, closing at Rs 248, having previously risen by 13% on June 6 and 18% on June 5.
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Heritage Foods
Not only have land rates in Amaravati surged, but Heritage Foods, a company founded by the TDP, has also seen substantial market growth.
The company’s shares increased by 55% over the past five days, significantly boosting the wealth of Nara Bhuvaneshwari, Chandrababu Naidu’s wife, who holds a promoter position.
On June 3, just before the announcement of the election results, Heritage Foods shares were being traded at a price of Rs 424. Today, they stand at Rs 661.25, marking a 52-week high, up from a 52-week low of Rs 207.
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