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The Brihanmumbai Municipal Corporation (BMC) has proposed a INR 74,427.41 crore budget for 2025-26, marking a 14% increase from the previous year. With infrastructure at its core, the budget allocates significant funds to projects like the Coastal Road, Goregaon-Mulund Link Road, and major bridge reconstructions. Revenue generation strategies include land monetisation, increased FSI premiums, and enhanced property tax collections. Financial discipline remains a priority, with digitisation and PPP models for asset management. Additionally, pedestrian-friendly initiatives, parking solutions, and urban transformation projects like the 'Mumbai Eye' are key highlights, reinforcing BMC's vision for a sustainable and connected city.
The Brihanmumbai Municipal Corporation (BMC) has presented its civic budget for the financial year 2025-26, amounting to INR 74,427.41 crore, reflecting a 14% increase from the revised estimate of INR 65,180.79 crore for 2024-25. This marks the third consecutive year that an administrator, rather than elected municipal corporators, has undertaken this responsibility. The budget underscores the civic body's commitment to infrastructure development, financial restructuring, and sustainability without introducing new taxes. Advertisement
BMC continues to explore new revenue streams while maintaining fiscal discipline. The projected revenue from water and sewerage charges for 2025-26 is set at INR 2,363.15 crore, up from the revised INR 2,131.98 crore for 2024-25. The state government's recent decision to allocate 50% of the premium collected from additional Floor Space Index (FSI) to BMC'up from the previous 25%-has already contributed an additional INR 70 crore, with an estimated INR 300 crore expected in the upcoming fiscal year.
Further financial strategies include the monetisation of vacant land parcels, which are being converted into leased properties. BMC anticipates earning INR 2,000 crore over the next four years through one-time premiums and annual ground rent. Other initiatives include a proposed transportation and commercial hub at Dahisar Check Naka along the Western Express Highway, which will feature lodging facilities, commercial offices, parking spaces, and a star-category hotel. Additionally, the BMC expects INR 350 crore in revenue from property tax collection in slum commercial units.
To enhance financial efficiency, BMC is developing a Centralised Property Information System to consolidate asset records and explore public-private partnerships (PPP) for revenue generation. Efforts are also underway to digitise property records and integrate them with Geographic Information System (GIS) technology for real-time accessibility.
Capital expenditure has been increased to INR 26,355.74 crore, up from INR 22,787.16 crore in 2024-25, with a significant portion allocated to infrastructure projects such as the Coastal Road, Goregaon-Mulund Link Road (GMLR), and sewage treatment plants. The budget for these projects has been raised from INR 10,210 crore to INR 13,310.97 crore.
BMC has prioritised major structural repairs and the reconstruction of key bridges, including the Vikhroli, Nahur (Phase-1), Gokhale, and Carnac railway overbridges (ROBs), targeted for completion before the monsoon. The Belasis Bridge project is also being fast-tracked for completion by 2025. Additional connectivity improvements include the Mumbai Coastal Road (North), the Dahisar (W) to Bhayandar (W) elevated road, and the Madh Versova Bridge.
A key step towards urban mobility improvement is the development of a digital parking system. A new app is being designed to allow citizens to book parking slots and make online payments in advance. Moreover, multilevel car parking facilities have been planned at Apsara Pen Shop and Flora Fountain, with a budget allocation of INR 200 crore. A separate parking facility for 834 vehicles is also under development at Worli Engineering Hub.
BMC has allocated INR 3,111 crore towards the road concretisation initiative, which has faced delays since its initial approval in February 2023. In February 2023, the BMC had sanctioned the concretisation of 324 km of roads, covering 698 stretches, at an estimated cost of INR 6,000 crore. Despite issuing work orders for 324 km of roads, only 26% of the project has been completed. The civic body now aims to complete 75% of the project in the next financial year, with a new work order issued in December 2024 for an additional 377 km of road concreting.
To support the financially struggling Brihanmumbai Electric Supply and Transport (BEST), BMC has allocated INR 1,000 crore. BEST, which operates around 3,000 buses and serves over 30 lakh commuters daily, is a crucial component of Mumbai's public transport network. The budget document acknowledges the financial burden of ongoing infrastructure projects but justifies the allocation to sustain these essential services.
BMC has placed significant emphasis on pedestrian-friendly initiatives, introducing the 'Universal Footpath Policy' to enhance accessibility, particularly for differently-abled individuals. The roads and traffic department has been allocated INR 5,100 crore for various infrastructure projects, including pedestrian pathways. Additionally, a major access control project aimed at improving traffic flow has been inaugurated, with ongoing enhancements at key junctions along the Eastern Express Highway (EEH) and Western Express Highway (WEH).
In a bid to boost recreational infrastructure, BMC has revived plans to develop the 'Mumbai Eye', a landmark attraction inspired by the London Eye. Additionally, the Anandvan Green Belt will be developed with natural stone pathways, tree plantations, and bio-toilets, while the 290-acre Mumbai Public Park is set to be established on Mahalaxmi Race Course and Coastal Road land.
Among other developments, a 'Tiger Monument' is proposed within the twin tunnels of the GMLR project, a 6.5-km stretch connecting Goregaon and Mulund beneath the Sanjay Gandhi National Park (SGNP). This initiative is being undertaken in collaboration with the state's forest and tourism departments.
Furthermore, BMC has allocated INR 25 crore to enhance infrastructure in Koliwadas, the coastal settlements that house Mumbai's earliest inhabitants, the Koli community.
While the budget prioritises large-scale infrastructure projects, the civic body remains focused on ensuring financial efficiency, revenue generation, and sustainable civic services. With ongoing challenges in project execution, BMC is taking proactive measures to streamline its operations and meet completion deadlines.
As Mumbai continues to evolve into a more connected and liveable city, the 2025-26 budget reaffirms BMC's commitment to urban transformation while balancing fiscal prudence and infrastructural advancements.
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