Mumbai Civic Funds Take a Hit: BMC Deposits Drop Rs 13,000 Crore in 4 Years
Mumbai, 14th March 2026: Deposits held by the Municipal Corporation of Greater Mumbai have declined by nearly Rs 13,000 crore over the past four years, the Maharashtra Legislative Council was informed, amid criticism from the opposition over the financial management of the civic body during the ongoing period of administrative rule.
Replying to a discussion in the House, Industries Minister Uday Samant said the civic body’s deposits fell from around Rs 91,000 crore to approximately Rs 79,000 crore in recent years. However, he added that the reserves have shown a modest recovery this year, rising by nearly Rs 1,500 crore to reach Rs 81,134 crore.
The issue was raised by Anil Parab of Shiv Sena (Uddhav Balasaheb Thackeray), who alleged that the civic body’s financial reserves had dropped considerably since the elected body’s tenure ended and the administration came under an appointed administrator.
Parab claimed that during the 25-year rule of Shiv Sena in the civic body, BMC deposits had grown dramatically—from a deficit of about Rs 600 crore to nearly Rs 92,000 crore.
Responding to the allegations, Samant said the reduction in deposits was largely due to substantial spending on major infrastructure works across the city.
He informed the House that the BMC has already completed the concretisation of 1,478 roads across Mumbai, covering a total stretch of 278.83 kilometres, while work on several other roads is progressing in phases.
The minister also highlighted continued financial support for the city’s public transport system. According to him, the civic body allocates Rs 1,000 crore every year to the Brihanmumbai Electric Supply and Transport Undertaking in its annual budget. Additionally, Rs 450 crore has been approved for purchasing new buses to strengthen the transport fleet.
Samant further stated that committees have been constituted to ensure hawkers are not allowed to operate within 100 metres of religious places, schools, and railway stations as part of efforts to regulate hawking zones in the city.
Opposition members also expressed concern that the decline in civic deposits might affect payments of salaries and pensions to civic employees. Addressing these apprehensions, Samant assured the House that employee welfare funds are fully protected.
He said Rs 5,853 crore has been permanently reserved for employees’ provident funds, while Rs 3,949 crore has been earmarked for pension liabilities. These funds, he emphasised, will not be diverted for any other purpose and will ensure uninterrupted payment of salaries and pensions.
The minister also announced that the BMC has scrapped a Rs 380 crore tender for road beautification works—including installation of railings and street furniture—after complaints of alleged irregularities were received.
According to Samant, the project has been halted and the tendering process will be carried out again with greater transparency.
BMC Deposits Over the Years
2017: Rs 62,191 crore
2018: Rs 72,000 crore
2019: Rs 76,579 crore
2020: Rs 79,115 crore
2021: Rs 78,745 crore
2022: Rs 91,990 crore
2023: Rs 86,401 crore
2024: Rs 82,737 crore
2025: Rs 79,498 crore
Officials noted that large-scale infrastructure investments and urban development projects have played a major role in the fluctuation of the civic body’s deposits in recent years.
