The Brihanmumbai Municipal Corporation will present its annual budget on February 25, marking the first civic budget since 2022 to be tabled before a mayor and standing committee. Last year’s outlay stood at Rs 74,527 crore, with 58 per cent allocated to capital expenditure, largely for infrastructure development.
Sources indicated that this year’s financial plan will emphasise large-scale infrastructure expansion and revenue augmentation under the ruling Mahayuti alliance of the BJP and Shiv Sena. Key focus areas are expected to include Phase 2 of the Coastal Road project, the Goregaon Mulund Link Road (GMLR), and the Gargai-Pinjal dam.
Officials said significant funds may be earmarked for the Gargai-Pinjal dam, a long-pending project aimed at boosting Mumbai’s water supply. The initiative has been closely associated with Chief Minister Devendra Fadnavis. Since 2014, the city has not added a new water source.
The second phase of the Coastal Road, which will connect Versova to Bhayander across 25 km, is expected to gain momentum after securing key approvals last year, with completion targeted by 2029. Allocations are also likely for the GMLR twin tunnels, scheduled to begin excavation this year, linking eastern and western suburbs for smoother traffic flow.
Revenue concerns are also central to the budget. Officials hinted at a possible revision of property tax rates, last increased in 2015, and a restructuring of the assessment framework. The civic body may also explore municipal bonds to raise capital, given that ongoing infrastructure projects amount to Rs 1.5 lakh crore, significantly higher than its usable reserves.
“With only around 49% of our Rs 81,000 crore reserves available for infrastructure and projects worth nearly four times that amount, a liquidity crunch is likely in the coming years,” a civic official said, adding that preparations are underway to meet credit rating norms for bond issuance.
Source: The Indian Express
