GHMC proposes budget of Rs.13,150 cr for next fiscal

The Greater Hyderabad Municipal Corporation (GHMC) has decided to propose a budget of Rs 13,150 crore for the financial year 2018-19. The budgetary proposal is almost double the current financial year’s budget.

Hoping to take up more infrastructure projects and schemes, the municipal corporation proposed Rs 10,475 crore towards capital receipts and capital expenditure which was just Rs 5,151crore in the current financial year 2016-17.

GHMC claimed that the capital expenditure has been raised mainly to take up the state government’s flagship programme of 2-BHK housing project at a cost of Rs 6,317 crore which is 48% of the total budget. The government has been giving top priority to the 2-BHK housing project and has already called for tenders for one lakh houses. They are expected to be completed in the next few months and bills would be raised in the next financial year.

Apart from housing, another Rs 750 crore has been proposed for roads’ repairs and maintenance being taken up by Road Development Corporation and Musi Riverfront Development Corporation.Officials said another Rs 500 crore



would be spent on city’s internal roads.

The officials placed the budget proposal for the 2018-19 before the GHMC standing committee on Thursday. This is mandatory to get clearance from the standing committee headed by the mayor and would be sent to GHMC general body for approval with or without suggestions.

GHMC mayor Bonthu Rammohan said that the corporation originally proposed Rs 5,643 crore for 2017-18 and revised it to Rs 7, 661crore expecting huge funds from the state government. “GHMC is hoping to get Rs 426 crore from the Centre under 14th Finance Commission and the state government has given clearance to raise Rs 1,800 crore by floating bonds and taking term loans and another Rs 3,000 crore would be mobilized from internal sources for taking up various projects,” he said.

With regard to revenue sources, officials said that the civic body hopes to get Rs 1,725 crore from property tax and vacant land tax, Rs 181 crore from regularization of unauthorized building and layouts, Rs 1,033 crore towards user fees and Rs 1,802 crore from borrowings.