Nagpur Municipal Corporation Surpasses Revenue Target by ₹600 Crore
Nagpur: In an unprecedented achievement, the Nagpur Municipal Corporation (NMC) has surpassed its budgeted revenue, marking a historic milestone for the city. The financial triumph unfolded over the course of 10 months, from April 2023 to January 31, 2024, where the NMC not only met but exceeded its revenue target by a staggering ₹619.48 crore, reaching a total of Rs3,955.48 crore against the set goal of Rs3,336 crore.
Heralding this accomplishment is the revelation that a substantial 83.84% of this surplus revenue has been sourced from government grants, including goods and services tax, underscoring the pivotal role played by external funding. Remarkably, only Rs460 crore of the total revenue till January 31 emanates from NMC’s internal sources.
Budgetary Anticipation and Administrative Developments
As the financial year progresses, the Municipal Commissioner and Administrator, Abhijeet Chaudhari, are gearing up to present the budget for 2024-25 along with an updated budget for the current fiscal year on Thursday. This marks the third consecutive year that Chaudhari will present the NMC budget in his capacity as an administrator, emphasizing the significance of this financial responsibility.
Despite a slight delay, attributed to the upcoming election year in 2025, Chaudhari is anticipated to sidestep new taxes or property tax hikes in the 2024-25 budget. Analysts speculate that Chaudhari aims to make history by proposing the NMC administration’s highest-ever revenue target, nearing an impressive Rs3,500 crore.
Potential Surpassing of Revenue Projections
Insiders privy to the municipal developments suggest that the actual receipt for NMC (Nagpur Municipal Corporation) may surpass Rs5,000 crore, considering the influx of additional government grants. Recent contributions of Rs204 crore and Rs40 crore from the state government for various projects are yet to be incorporated into the official figures, leading to optimistic projections for the municipal corporation’s financial standing.
The figures weren’t updated in its receipt,” affirmed a senior official, indicating that more government grants are in the pipeline, further bolstering NMC’s financial prospects.
Continued Reliance on Government Grants
Observers highlight the trend that NMC’s (Nagpur Municipal Corporation) budget remains heavily dependent on government grants, a pattern likely to persist into the foreseeable future. The delay in civic elections, now postponed for almost two years, has led to an unaltered administration budget, a task previously overseen by the standing committee chairman. Even in the event of a new general body being elected, a rare occurrence this year, the standing committee is slated to present the budget in the subsequent financial year.
In summary, Nagpur Municipal Corporation’s remarkable fiscal performance and its strategic reliance on government grants showcase a unique financial trajectory, setting the stage for ambitious budget proposals and potentially transformative developments in the coming years.
