BMC presents Rs 80,952.56 crore budget for 2026-27, up 8.7 pc from current fiscal

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Capital expenditure rises 11.59%; property tax collections projected at Rs 7,000 crore as India’s richest civic body charts higher outlay post civic polls

Representational Image
Representational Image | Credits: PTI

The Brihanmumbai Municipal Corporation (BMC) on Wednesday proposed a budget outlay of Rs 80,952.56 crore for the financial year 2026–27, marking an 8.77 per cent increase over the 2025–26 budget estimate of Rs 74,427.41 crore.

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BMC Commissioner Bhushan Gagrani tabled the budget of the country’s richest civic body, with capital expenditure pegged at Rs 48,164.28 crore. This reflects a rise of 11.59 per cent over the revised estimate of Rs 39,159.51 crore for 2025–26. The capital outlay in 2025–26 was originally estimated at Rs 43,162.23 crore but was subsequently revised downward.

Revenue expenditure for 2026–27 is proposed at Rs 32,698.44 crore, about 15.71 per cent higher than the revised estimate of Rs 28,257.91 crore for 2025–26. For the current fiscal, revenue expenditure was initially estimated at Rs 31,204.53 crore but later reduced by Rs 2,946.62 crore following expenditure rationalisation measures.

On the receipts side, the estimated revenue income for 2026–27 stands at Rs 51,510.94 crore, representing a 19.35 per cent increase over the previous budget estimate of Rs 43,159.40 crore. The 2025–26 revenue income estimate was later revised upward to Rs 46,778.12 crore, an increase of 8.38 per cent.

Property tax revenue, one of the BMC’s key income sources, is projected at Rs 7,000 crore for 2026–27, compared to the revised estimate of Rs 6,200 crore for 2025–26. The original estimate for property tax in 2025–26 was Rs 5,200 crore, indicating improved buoyancy in collections.

As per data till January 31, 2026, the civic body has incurred revenue expenditure of Rs 19,001.88 crore, accounting for 67.24 per cent of the revised estimate for the current fiscal, while capital expenditure stood at Rs 22,425.16 crore during the same period.

The budget was presented weeks after the civic polls to the Brihanmumbai Municipal Corporation, where the BJP-led Mahayuti alliance secured a clear majority in the 227-member corporation, ending a prolonged period of administrative rule. The alliance — comprising the Bharatiya Janata Party, the Shiv Sena and the Nationalist Congress Party — returned to power in India’s richest municipal body after the previous elected term had ended in 2022.

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