The new terminal building at Vijayawada airport was inaugurated on January 12, 2017. The terminal has been built at an estimated cost of Rs 1.62 billion and is spread over an area of 9,520 square metres. The terminal will facilitate the handling of 2 million passengers per annum and will include modern facilities for the check-in area, arrival hall, meet-and-greet service staircase, aviation lounge, and baggage make-up area. Meanwhile, on the same day, the foundation stone was laid for the extension of the existing runway at the airport. Being undertaken at an estimated cost of Rs 1.5 billion, the work will enable the landing of larger aircraft. The state government has acquired 750 acres of land, reportedly worth Rs 22.5 billion, for runway expansion and airport development.