Mumbai: Municipal Commissioner Bhushan Gagrani officially unveiled the Brihanmumbai Municipal Corporation (BMC) budget for the fiscal year 2026-27 on Wednesday. Presented to Standing Committee Chairman Prabhakar Shinde, the budget reaches a historic milestone of Rs 80,952.56 crore. This represents a massive expansion in municipal spending, marking an increase of over Rs 6,500 crore compared to the previous year’s Budget Estimates (B.E. 2025-26) of Rs 74,427.41 crore.
The BMC remains India’s wealthiest civic body, with an outlay that breached the Rs 80,000 crore mark for the first time. The 2026–27 budget is characterised by a triple-focus strategy. With the return of the Standing Committee, there is a renewed emphasis on ward-level decentralisation, addressing recent criticisms that local needs were being sidelined for city-wide mega-projects.
Total pending dues from offices of various Maharashtra government departments, including grants-in-aid and property tax, have mounted to Rs 10,948.58 crore as of January 31, 2026, officials said.
Capital Expenditure Increases
The civic administration has proposed capital expenditure of Rs 48,164.28 crore for the financial year 2026–27, signalling a strong focus on infrastructure development and long-term urban projects.
Mega Budget Allocated For Key Projects
A major portion of the proposed outlay has been earmarked for major infrastructure works across Mumbai. Among the key allocations, the Mumbai Sewage Disposal Project has been granted Rs 5,690 crore to strengthen the city’s wastewater management system and improve environmental sustainability.
The Goregaon–Mulund Link Road project, aimed at easing east–west connectivity and reducing traffic congestion, has been allocated Rs 2,650 crore. Another major allocation includes Rs 4,000 crore for the Coastal Road (North) project, covering the Versova–Dahisar Link Road, which is expected to majorly improve north–south travel along the western suburbs.
In addition, Rs 5,520.48 crore has been set aside for the Roads Cement Concretisation Mega Project. This initiative focuses on converting asphalt roads into cement concrete ones to enhance durability, reduce maintenance costs and improve driving conditions across the city.
Highlights Of Previous Budget (2025–26)
The 2025–26 budget was a record-breaking Rs 74,427 crore (a 14 per cent increase from the prior year). Key pillars included a massive 58 per cent (Rs 43,162 crore), which was allocated for asset creation, the highest percentage in BMC history. Implementation of the Universal Footpath Policy (Rs 100 crore) and the introduction of 100 battery-operated suction machines to combat dust pollution.
Expansion of the Aapla Dawakhana network with 25 new clinics and three physiotherapy centres. For the first time, a plan was introduced to tax commercial units in slums, aiming to generate Rs 350 crore in new revenue. A grant of Rs 1,000 crore was provided to the BEST undertaking to assist with the procurement of electric buses and operational losses.
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