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Mumbai: BMC tables highest-ever budget of Rs 80,952 crore for FY27, focuses on infra, education

BMC Budget News:Water and sewer charges are expected to bring in Rs 2,393 crore, while interest on investments is projected at Rs 2,572 crore

February 25, 2026 / 16:03 IST
The civic body also shared progress on its large-scale road concretisation drive aimed at making Mumbai’s roads pothole-free.
Snapshot AI
  • BMC presents Rs 80,952 crore budget for FY 2026-27
  • Infrastructure and education get major allocations
  • Coastal Road (North) project to finish by July 2029

Mumbai’s civic body, the Brihanmumbai Municipal Corporation (BMC), on Wednesday (February 25) presented Rs 80,952 crore budget for the financial year 2026-27, marking a notable rise from last year’s outlay of Rs 74,427.41 crore.

Presenting the budget, BMC Commissioner Bhushan Gagrani said the civic body continues to prioritise capital spending. “Capital expenditure stood at almost 60% of the budget at Rs 48,164 crore,” he said, underlining the administration’s infrastructure-led approach.

Infrastructure and education remain the key focus areas of the FY27 budget. The Mumbai Sewage Disposal Project has been allocated Rs 5,690 crore, while the cement road mega project has received Rs 5,520 crore. An amount of Rs 4,248 crore has been earmarked for education. The Coastal Road (North) project has been allocated Rs 4,000 crore, the Goregaon-Mulund Link Road (GMLR) Rs 2,650 crore, and the water conveyance tunnel project Rs 2,324 crore.

Providing an update on the Coastal Road (North) project, the BMC said it is targeted for completion by July 2029. Once operational, it is expected to handle up to 78,000 passenger car units per day, cut travel time by 30 to 40 minutes, and reduce carbon emissions by 48 percent.

The civic body also shared progress on its large-scale road concretisation drive aimed at making Mumbai’s roads pothole-free. Work on 700 km of roads has been undertaken in two phases. Of this, 342 km has already been completed, while the remaining stretches are under progress. So far, about 1,566 km of roads and roadside strips have been improved with cement concrete. Nearly 75 percent of Phase-I and 50 percent of Phase-II work has been completed. Phase-I is expected to be finished by May 2026 and Phase-II by December this year.

On the revenue side, the BMC’s top sources of income include Rs 15,550 crore from octroi compensation, Rs 12,050 crore from Development Plan (DP) fees and premiums, and Rs 7,000 crore from property tax. Water and sewer charges are expected to bring in Rs 2,393 crore, while interest on investments is projected at Rs 2,572 crore.

With a significant portion of the budget directed towards capital works, the FY27 plan signals a continued push towards upgrading core urban infrastructure, improving road quality, expanding sewage capacity and strengthening public education in the city.

Moneycontrol News
first published: Feb 25, 2026 04:03 pm

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