Section 94(3) of the Andhra Pradesh Reorganisation (APR) Act, 2014 provides that Central Government shall provide special financial support for the creation of essential facilities in the new Capital of the successor State of Andhra Pradesh including Raj Bhawan, High Court, Government Secretariat, Legislative Assembly, Legislative Council, and such other essential infrastructure.

An amount of Rs. 1500 crore has already been released as assistance for the Capital City for development of essential infrastructure etc. In addition, Rs. 1000 crore has been released as one time special financial assistance for creation of essential urban infrastructure in the cities of Vijayawada and Guntur on the request of the State Government as the work sanctioned fall in new Capital Region of the State of Andhra Pradesh.