BMC sees rise in its FD reserves, ahead of BMC elections 2022

by Web Desk | Published: 19 Oct 2021

BMC sees rise in its FD reserves, ahead of BMC elections 2022
In a recent report released by the Brihanmumbai Municipal Corporation (BMC) their Fixed Deposits (FDs) have crossed the mark of 82,000 crores in recent time, leaving behind the 80,000 crores made at the beginning of this year. As per the Brihanmumbai Municipal Corporation’s (BMC) Financial Department, the Fixed Deposit of 5,664 crores was matured this year, even after the Brihanmumbai Municipal Corporation (BMC) had invested a total of 9,079 crores in new deposits. 
 
In the statement which is to be presented by the Brihanmumbai Municipal Corporation (BMC) before the standing committee, it had 82,410 crores in 343 specific Fixed Deposits (FD) both in private as well as nationalised banks. The total income earned by the Brihanmumbai Municipal Corporation (BMC) in a year on Fixed Deposits stands at 1,800 crores as interest. 
 
In the current term fiscal budget, the Brihanmumbai Municipal Corporation (BMC) has taken an internal loan from the Fixed Deposits (FD), for the infrastructure projects under the infrastructure development fund, as the construction of coastal road requires that amount. 
 
Around 26,000 crore Fixed Deposits (FD) are now a part of the employees’ provident fund and pensions account. In February, the Brihanmumbai Municipal Corporation (BMC) had put forth a budget of 39,038.83 crores for the year being 2021-22 (financial year). The budget mainly aims at upgrading the infrastructure of the city of Mumbai with Brihanmumbai Municipal Corporation (BMC) elections around the corner. With infrastructure, the budget also aims at healthcare facilities and municipal education systems. 
 
The budget proposed this year was more than that of the budget proposed last year, which was at 33,441 crores. The Brihanmumbai Municipal Corporation’s (BMC) capital expenditure on infrastructure has also risen to 18,750.99 crores in the year 2021, more than last year’s allocation.