The Greater Visakhapatnam Municipal Corporation (GVMC) has secured approval for three major infrastructure projects totalling Rs 1,501.03 crore under the Urban Challenge Fund (UCF) scheme of the Ministry of Housing and Urban Affairs (MoHUA). The amount in crore converts to 15,010.3 million (mn) or 15.0103 billion (bn). The National Apex Committee (NAC) cleared the proposals aimed at strengthening the city's urban infrastructure, GVMC commissioner Ketan Garg reported.

The approved initiatives include development of an underground drainage system in the Madhurawada zone at Rs 658.61 crore (6,586.1 million; 6.5861 bn), establishment of a round the clock smart drinking water supply system in the same zone at Rs 725.18 crore (7,251.8 million; 7.2518 bn), and rehabilitation and modernisation of bulk and semi-bulk water supply systems at Rs 117.24 crore (1,172.4 million; 1.1724 bn). These components are intended to address long standing gaps in sewerage and potable water infrastructure across key growth corridors.

Funding will be mobilised through a mix of national and international financial institutions, with the underground drainage project to be supported by an International Finance Corporation term loan. Canara Bank is slated to provide financing for the smart water supply system and Indian Overseas Bank will extend loan support for the bulk water modernisation. The commissioner noted that the UCF focuses on reforms in urban local bodies, market based investments and modern infrastructure development.

Once implemented, the projects are expected to deliver uninterrupted drinking water supply, a modern sewerage management system and improved civic amenities, thereby shaping the trajectory of Visakhapatnam's urban growth. The package is aligned with national urban development objectives and is intended to attract further market based investment in municipal services. GVMC plans to proceed with detailed implementation schedules and procurement processes in the coming months.