The Brihanmumbai Municipal Corporation, or popularly recognized as Mumbai’s BMC, on Wednesday, 25 February 2026, proposed a budget outlay of ₹80,952.56 crore for the upcoming financial year 2026-27, reported the news agency. PTI.
According to the agency report, BMC’s budget outlay for the upcoming fiscal year marks an 8.77% year-on-year (YoY) rise, compared to ₹74,427.41 crore in the previous year’s budget.
Tabling 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 ₹39,159.51 crore in the FY2025-26, marking an 11.59% YoY rise.
The agency report also highlighted that the capital outlay, which was estimated to be for the financial year 2025-26, was later revised downwards.
BMC’s revenue expense estimates
Brihanmumbai Municipal Corporation’s annual budget for the financial year 2026-27 highlighted that the civic body’s revenue expenditure is proposed to be at ₹32,698.44 crore, which marks a 15.71% rise YoY, compared to the revenue estimates of ₹28,257.91 crore for the previous financial year 2025-26.
The revenue expenditure estimates for the ongoing financial year were initially estimated to be at ₹Rs 31,204.53 crore. However, this was later reduced by ₹2,946.62 crore following expenditure rationalization measures.
The data collected as of 31 January 2026 showed that the civic body BMC has incurred a revenue expenditure of ₹19,001.88 crore, which is 67.24% of the revised estimate for the current fiscal, while the capital expenditure stood at ₹22,425.16 crore during the same period.
Where will BMC use the funds?
The agency report highlighted that a major portion of the capital outlay of the BMC will be allocated for core infrastructure developments. The capital expenditure under the A, B, E, G and TA heads, including improvement schemes, education fund, water supply and sewerage and tree authority, is pegged at ₹Rs 30,069.89 crore.
Out of this allocation, ₹13,990 crore has been allocated for the development of the Coastal Road, Goregaon-Mulund Link Road (GMLR), sewage treatment plants (STPs) and other infrastructure projects.
BMC has also proposed capital expenditure for special projects at ₹Rs 4,104.39 crore.
BMC’s income estimates
According to the agency report, the estimated revenue income for the upcoming fiscal year stands at ₹51,510.94 crore, compared to the previous budget estimate of ₹43,159.40 crore, marking a 19.35% increase on a YoY basis.
After the initial estimates of the current fiscal year, the revenue income estimates were later revised upwards to ₹46,778.12 crore, which marks an increase of 8.38% YoY.
One of BMC’s major sources of revenue has always been income from property tax, which is projected to come around. ₹7,000 crore for the financial year 2026-27, compared to the revised estimates of ₹6,200 crore for the ongoing financial year 2025-26.
The municipality initially expected a property tax collection of ₹5,200 crore in the fiscal year 2025-26.
