Andhra Pradesh Chief Minister Chandrababu Naidu is quite enthused and
ambitious for bringing as many as investments as possible in the
residuary state since this is the only way to boost the finances of this
cash strapped state. Naidu has an enviable track record in this regard
when he was CM of United AP!
However Naidu is reportedly being cornered by investors in to a Catch 22 situation who seem to be exploiting the advantage of Naidu’s eagerness to get brand new projects to the state, and are reportedly blackmailing him for more and more subsides.
More incentives will only result in a situation wherein the revenues of the state will also be coming down for the time being. This is now putting more pressure on AP government which has been struggling all the while!
Some of those investors, who had previously made agreements with the state government, are now bargaining hard for further incentives which is now making Naidu upset including the state government’s revenue plans. If he refuses, then the neighbouring states are ready to pounce on them.
However Naidu is reportedly being cornered by investors in to a Catch 22 situation who seem to be exploiting the advantage of Naidu’s eagerness to get brand new projects to the state, and are reportedly blackmailing him for more and more subsides.
More incentives will only result in a situation wherein the revenues of the state will also be coming down for the time being. This is now putting more pressure on AP government which has been struggling all the while!
Some of those investors, who had previously made agreements with the state government, are now bargaining hard for further incentives which is now making Naidu upset including the state government’s revenue plans. If he refuses, then the neighbouring states are ready to pounce on them.