Standing Committee Chairman Prabhakar Shinde (left) and civic chief Bhushan Gagrani during the presentation of the BMC Budget 2026 on Wednesday. PIC/SATEJ SHINDE
The Brihanmumbai Municipal Corporation (BMC) on Wednesday presented its budget estimates for the financial year 2026-27 before the Standing Committee, marking the first such presentation to an elected body in four years following recent civic polls. Municipal Commissioner Bhushan Gagrani tabled the budget, projecting a total outlay of Rs 80,952.56 crore - an increase of 8.77 per cent from Rs 74,427.41 crore in 2025-26.
The budget emphasises financial prudence, massive infrastructure push, investments in health and education, sustainability, emergency preparedness, ease of doing business, social initiatives, and administrative efficiency. Capital expenditure surpasses revenue expenditure, reflecting strong focus on long-term development and modernisation amid confidence in Mumbai's growth potential.
Budget size and fiscal overview
Total budget: Rs 80,952.56 crore (up 8.77 per cent from previous year's Rs 74,427.41 crore).
Revenue income: Proposed at Rs 51,510.94 crore (up 19.35 per cent from 2025-26 Budget Estimates of Rs 43,159.40 crore; revised estimates for 2025-26 at Rs 46,778.12 crore).
Revenue expenditure: Rs 32,698.44 crore.
Capital receipts: Rs 1,380.02 crore.
Capital expenditure: Rs 30,069.89 crore (including Rs 13,990 crore for coastal/Goregaon-Mulund Link Road Project/sewage treatment plant/infra projects and Rs 4,104.39 crore for special projects).
Surplus: Rs 89.84 crore.
No new taxes proposed, maintaining fiscal stability through better revenue collection and control over expenditures.
Key contributors
Compensation in lieu of octroi: Rs 15,550.02 crore (up from Rs 14,398.16 crore in 2025-26 BE).
Development Plan fees and premiums: Rs 12,050 crore.
Property tax: Rs 7,000 crore.
Water and sewage charges: Rs 2,393.46 crore.
Interest on investments: Rs 2,572.23 crore.
Supervision charges: Rs 3,298.45 crore.
Other sources combined make up the balance.
Infrastructure and development: Heavy allocation for mega projects like Mumbai Coastal Road (North extension), GMLR tunnelling, Gargai Dam, desalination plants, sewage treatment plants, road concreting, bridges, and waste-to-energy initiatives. Emphasis on water security, pollution control, and sustainable urban growth.
Sustainability and greener tomorrow: Doubled allocation for Environment and Climate Change Department to Rs 159.82 crore (from Rs 76 crore last year) to support Mumbai Climate Action Plan, air quality improvement, and green bonds for financing sustainable projects like wastewater treatment and desalination. Continued push on eco-friendly measures, including waste management upgrades.
Education: Separate Budget 'E' (primary education) totals Rs 4,248.08 crore (up from Rs 3,955.64 crore in 2025-26), with revenue Rs 3,758.08 crore and capital Rs 490 crore. Launch of Mission SAFAL for holistic growth, including National Cadet Corps (NCC) in schools, Scout-Guide, music/art programmes, art excellence centres, and skill-building.
Health and other sectors: Continued investments in hospitals, disaster preparedness, and social welfare.
