Andhra Pradesh expects grounded projects to generate 7.5 lakh jobs in 12–18 months: Nara Lokesh

Andhra Pradesh expects projects that have already been grounded in the state to generate 7.5 lakh jobs over the next 12–18 months, IT, Electronics and HRD Minister Nara Lokesh said, outlining the government's employment ambitions amid its efforts to convert investment commitments into operational projects.

Speaking to Business Today on the sidelines of the Andhra Pradesh Partnership Summit, Lokesh said the state expected investments to translate into nearly 17 lakh jobs, based on the conversion of investment proposals into projects.

"The idea is that now the projects that have been grounded will end up creating 7.5 lakh jobs. So that's in the next 12 to 18 months," he said.

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The state government has set a target of creating 2 million jobs over its five-year tenure. Lokesh said 5 lakh jobs had already been created, adding that the government had data on the companies, sectors and nature of employment generated so far.

On the investment front, Lokesh said Andhra Pradesh had signed memoranda of understanding (MoUs) worth nearly Rs 22 lakh crore over the past two-and-a-half years. He said the Rs 11 lakh crore investment target at the current summit represented fresh investments.

The government is aiming to translate 90% of the investment proposals into grounded projects. Lokesh said 71% of the projects had received government orders, while 51% of signed MoUs had already been grounded, with several projects completing construction and entering commercial production.

To accelerate implementation, the state is developing industrial clusters across sectors ranging from cement to renewable energy. The approach, he said, is aimed at attracting entire industrial ecosystems rather than individual companies, with investments in education, skilling, research and development forming part of the strategy.

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Lokesh said investor interest in artificial intelligence and data centres remained strong, with demand for data centre investments exceeding what the state could currently accommodate. Andhra Pradesh is also looking at air-cooled data centres alongside water-cooled facilities.

He attributed the state's investment pitch to its focus on speed, stability and service, including weekly updates to investors and proactive resolution of implementation-related issues.

The minister also cited companies such as Sagar Defense, which manufactures maritime drones, and space technology firm Skyroot as examples of businesses the state had backed at an early stage.

The summit has participants from nearly 50 countries, including 15 foreign ministers, Lokesh said.

Watch the full conversation here: