The Andhra Pradesh Chief Minister N Chandrababu Naidu today said the land-pooling approach is ideal for development of the new capital in the Guntur-Vijayawada region.

Addressing a press conference along with senior Cabinet colleagues today, he said this approach would be a win-win situation for the Government and the land-owners.

He assured that farmers without homes would be provided homes and they would be provided developed land in return for their land taken up for development.

Naidu said Andhra Pradesh has been divided causing a big loss to the residual State.

In order to rebuild the new State and develop a new capital, that too in a situation where there is paucity of funds, has become more challenging.

"While there have been suggestions to acquire land, we believe land-pooling is the best approach," he said.

The choice of the capital region is based on social infrastructure, which is a vital component for the development of a new city.

The State is considering development of part of the capital on the Krishna river front.

The quantum of land would be based on need but broad indications of 30,000 acres have been indicated, he explained.