
Mumbai civic body presents budget of Rs 74,427 crore for 2025-26
The Brihanmumbai Municipal Corporation (BMC), considered the richest civic body in the country, on Tuesday presented its budget of Rs 74,427 crore for the year 2025-26.
The additional municipal commissioners presented the BMC Budget 2025 to BMC Commissioner Bhushan Gagrani, who is the state-appointed administrator of the civic body, at the BMC headquarters in Mumbai.
The civic body is under an administrator since the term of the corporators ended on March 7, 2022.
“The budget estimate for FY 2025-26 is proposed at Rs 74,427.41 crore, which exceeds the budget estimates of 2024-25 i.e. Rs 65180.79 crore, by 14.19 per cent,” the document reads.
For the third year, the budget was presented to the administrator instead of the usual practice of the municipal commissioner presenting the budget to the standing committee.
According to the BMC Budget 2025 document, the budget looks at fiscal discipline and sustainability with emphasis on revenue augmentation, enhancement of Infrastructure and Services and Urban Mobility. Other key highlights of the budget include strengthened Healthcare Infrastructure, efficient Water and Sewerage System, quality Health and Education System, health Facilities, agenda on climate Action, focus on Solid Waste Management Projects and flood mitigation, Enhanced Open Spaces and Greenery.
The BMC also presented an annual education budget of Rs 3,955.64 crores for the Financial Year 2025-26. The civic body has augmented funds allocated for education by approximately Rs 630 crores compared to last FY`s budget (revised) estimate of Rs 3,321.55 crores.
The civic body announced assessment of commercial units in slum area as its new source of income. The budget document states that there are around 2.50 lakh slums in Mumbai. A significant number of these slum areas (at least 20% i.e. 50,000 slums) are being used for commercial purposes such as small and large industries, shops, godowns, hotels, etc. As BMC provides infrastructure facilities to these establishments, it is necessary to recover property tax by assessing these commercial units. Also, this revenue will help to provide better services and infrastructure to slum dwellers. Accordingly, commercial properties in slum areas are being assessed and it is expected to generate a revenue of ₹350 crore from the same.
Meanwhile, the BMC Budget 2025 has proposed to raise Rs 6,364.48 crore by way of Internal Temporary Transfer (ITT) in the revised estimates 2023-24. However, considering the total expenditure for the year 2023-24, there was earlier no need to raise funds through ITT. But, considering the overall current financial position, it is necessary to raise sufficient funds for our projects till March 2025 and beyond. Therefore, it is proposed to raise funds of Rs 12,119.47 crore and Rs 16,699.78 crore in revised estimates 2024-25 and budge estimates of 2025-26 respectively through ITT.
Last year, the BMC had tabled a budget of Rs 59,954.75 crore for 2024-25, which was a 10.5 per cent rise from the previous fiscal.