The Central Government has informed the AP Government that a Coastal Employment Zone (CEZ) is being sanctioned to the state. The Centre told AP that this would be announced in the annual budget for 2017-18, on February 1 in Parliament.

The Centre has decided to develop two CEZs in the country, in Gujarat and in AP. Vice Chairman of the NITI Aayog Arvind Panagariya had informed the AP Chief Minister N. Chandrababu Naidu of this decision during his recent visit to Vijayawada.

Both, the Central and State Governments will be involved in the development of the CEZ. Officials from the State Government said that the CEZ would be developed over 5 lakh acres of land, and would create jobs for 10 lakh people. Two regions are under consideration for development, one in Visakhapatnam and the other in Krishnapatnam, Nellore district.

A team from the Central Government will visit both places before making a decision. The Central Government also plans to announce an incentive package for units set up in these CEZs, based on the employment they generate.