The Brihanmumbai Municipal Corporation’s (BMC) fixed deposits have declined by nearly Rs 13,785 crore since 2021, prompting Congress group leader Ashraf Azmi to seek a detailed white paper on the civic body’s finances and its ability to fund major infrastructure commitments.
Azmi has urged Municipal Commissioner Ashwini Bhide to publish a comprehensive financial assessment covering 2021-22 to September 2026 within 30 days and present it before the standing committee. He has sought details of reserve utilisation, spending approvals and the corporation’s long-term financial sustainability.
According to the figures cited, BMC deposits fell from approximately Rs 91,690 crore in 2021-22 to Rs 77,905 crore as of March 31, 2026. Azmi also highlighted a reduction of Rs 3,544 crore over the preceding eight months.
“The decline warrants a transparent explanation of how the funds had been utilised, who had authorised the expenditure and how the BMC would finance its future commitments while maintaining adequate reserves,” Azmi told HT.
The demand comes as the civic body continues to manage infrastructure projects worth substantial sums, including the Mumbai Coastal Road, road concretisation, the Goregaon-Mulund Link Road (GMLR), bridge reconstruction and sewage treatment facilities. The BMC has been operating under an administrator without elected representatives for nearly four years.
Azmi also questioned how the corporation plans to finance its 2026-27 budget, which provides for approximately ₹48,164 crore in capital expenditure. He has requested year-wise and fund-wise statements covering withdrawals, transfers, actual spending, closing balances and the approvals granted for major transactions.
“The administration must reconcile the decline in reserves with actual expenditure, budgetary provisions and approvals, and clarify whether the money was used for approved projects, additional requirements, transfers between funds or settlement of liabilities,” Azmi added.
He has further called for a five-year financial projection detailing anticipated revenue, recurring expenditure, committed capital spending, available reserves and possible borrowings.
Responding to the concerns, Bhide said deposits had risen to Rs 91,690.85 crore in 2021-22, partly because pandemic-related spending reductions and concessions to developers generated Rs 15,493 crore in revenue. Deposits stood at Rs 79,873.39 crore on October 13, 2026, after recovering from their March-end level.
Bhide attributed the year-end decline largely to Rs 16,071.40 crore in capital expenditure during February and March 2026. She said the BMC’s committed liabilities for priority infrastructure projects totalled Rs 2,44,552.65 crore as of April 1, 2026, and would be financed through revenue growth, improved collections, spending controls, internal fund transfers and alternative financing if necessary.
Source: Hindustan Times
