Big gains for Chennai in TN Budget 2025-26
New projects aim to improve roads, transport, industry, environment, and social infrastructure in Chennai.

State Finance Minister Thangam Thennarusu during TN Budget session; Representative images
CHENNAI: The Tamil Nadu government has announced several new projects for Chennai in its 2025-26 budget. These projects aim to improve roads, transport, industry, environment, and social infrastructure.
Development of New City
Global City: A new city will be developed over 2,000 acres near Chennai. The new city would feature IT parks, fin-tech trade zones, research and development centres, high-tech companies, banking and insurance firms, shopping complexes, trade centres, and conference halls, along with educational and healthcare facilities provided by both public and private sector institutions.
Infrastructure development for North Chennai
Vada Chennai Valarchi Thittam: Over Rs 6,858 crores will be spent to improve the infrastructure of North Chennai. The project would include a new bus stand, better housing, educational and medical infrastructure and improved drinking water supply.
Roads and Transport
Elevated Road: A 14.2 km, four-lane elevated road will be built by the Tamil Nadu State Highways Authority from Thiruvanmiyur to Uthandi along East Coast Road (ECR) at a cost of Rs 2,100 crores.
Four-lane road: The government would assess the feasibility of constructing a 28 km four-lane road from Karunguzhi in Chengalpattu district to Mamallapuram, linking it to the ECR through Thirukkazhukundram.
New Flyovers: Two new flyovers will be built to ease traffic at Velachery and Korukkupet at a cost of Rs 310 crores and Rs 70 crores.
Transport Terminals: Multi-modal transport terminals will come up at Guindy and Washermanpet to improve connectivity at a cost of Rs 50 crores each.
Industrial Development
Oragadam-Cheyyar Industrial Corridor: Rs 250 crores have been set aside to develop the industrial corridor, helping increase exports from the Cheyyar Industrial Park.
Environmental Development Projects
Adyar River Restoration: Rs 1,500 crores will be spent to clean and beautify the Adyar River.
Sponge Parks: Seven climate-resilient parks at a cost of Rs 88 crores, called Sponge Parks, will be created across the city to help manage rainwater.
Beach Development: Three beaches, including Thiruvanmiyur in Chennai and three in other districts, will be upgraded to meet Blue Flag certification standards at a cost of Rs 24 crores.
Water Supply
New Reservoir: A reservoir with a capacity of 2.25 TMC will be built to provide 170 MLD of drinking water per year at a cost of Rs 350 crores.
Education
Student Hostels: Hostels for students will be built in Chennai, Coimbatore, and Madurai at a cost of Rs 275 crores that would benefit 1,000 students.