The Brihanmumbai Municipal Corporation, popularly known as the BMC of Mumbai, on Wednesday, February 25, 2026 proposed a budget outlay of Rs. ₹80,952.56 crore for the upcoming financial year 2026-27, news agency PTI reported.
According to the agency’s report, the BMC’s budget expenditure for the upcoming fiscal year represents an 8.77% year-on-year (y-o-y) increase compared to ₹74,427.41 crore in the previous year’s budget.
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Presenting the annual budget, BMC Commissioner Bhushan Gagrani said that the civic body’s capital expenditure estimates are at ₹48,164.28 crore in the next financial year compared to Rs ₹39,159.51 crore in FY 2025-26, representing a year-on-year growth of 11.59%.
The agency report also highlighted that capital expenditure, which was estimated for the 2025-2026 financial year, was later revised downwards.
BMC Revenue and Expenditure Estimates
The annual budget of the Brihanmumbai Municipal Corporation for the financial year 2026-27 highlighted that the revenue expenditure of the civic body is proposed to be ₹32,698.44 crore, up 15.71% YoY compared to revenue estimates ₹28,257.91 crore for the previous financial year 2025-26.
The revenue expenditure estimates for the current financial year were originally estimated at ₹31,204.53 million crowns. However, this was later reduced by ₹2,946.62 crore after expenditure rationalization measures.
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From the data collected as on January 31, 2026, it was found that the BMC Civic Association generated income of Rs. ₹19,001.88 crore, which is 67.24% of the revised estimate for the current fiscal, while capital expenditure was ₹22,425.16 crore for the same period.
Where will the BMC use the funds?
The agency report emphasized that the major part of the BMC’s capital expenditure will be allocated to the development of basic infrastructure. Capital expenditures in Titles A, B, E, G and TA, including improvement programs, education fund, water supply and sewerage and tree management, are tied to ₹30,069.89 million crowns.
From this allocation ₹13,990 crore has been earmarked for the development of coastal road, Goregaon-Mulund link (GMLR), sewage treatment plants (STP) and other infrastructure projects.
The BMC has also proposed capital expenditure on special projects at the address ₹4,104.39 million crowns.
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BMC Revenue Estimates
Estimated revenue receipts for the upcoming fiscal year are, according to an agency report, at ₹51,510.94 trillion compared to the previous budget estimate of Rs ₹43,159.40 crore, representing a year-on-year increase of 19.35%.
After initial estimates for the current fiscal year, revenue estimates were later revised upwards ₹46,778.12 crore, representing a year-on-year increase of 8.38%.
One of the BMC’s main sources of revenue has always been property tax revenue, which is estimated to emerge ₹7,000 crore for the financial year 2026-27 as compared to the revised estimates ₹6,200 crore for the ongoing financial year 2025-26.
The municipality originally expected to collect property tax in the amount of ₹5,200 crore in FY 2025-26.
