Andhra Pradesh is taking new steps to attract businesses and encourage long-term investments. The state government is planning a new law to provide greater protection to companies and maintain policy stability.
Chief Minister N. Chandrababu Naidu announced the proposed Investment Protection Act at the 31st CII Partnership Summit in Visakhapatnam.
The proposed law aims to protect investment commitments from policy changes when governments change. It is also expected to address concerns about political interference and delays in industrial incentives.
The government plans to prepare a Bill and place it before the State Assembly. It will then be sent to the Centre for further consideration.
The state has also introduced an escrow account system to ensure that approved industrial incentives reach companies on time.
Under this system, a portion of state tax collections will be set aside to meet incentive payments. This is expected to reduce delays and give businesses greater financial confidence.
The move is part of Andhra Pradesh’s wider efforts to attract domestic and international investors and strengthen its industrial growth.
