Record PMC Budget Faces Uncertainty as ₹3,045 Crore Dues from State Remain Pending

Despite presenting a massive budget, Pune Municipal Corporation faces revenue uncertainty with over ₹3,045 crore pending from the state government, raising concerns over financial sustainability.

Pune | 26 March, 2026: The ambitious budget presented by the Pune Municipal Corporation has come under scrutiny as questions emerge over its financial viability due to large pending dues from the state government. A significant portion of the projected revenue depends on approximately ₹3,045 crore yet to be received, creating uncertainty around actual fund inflow.

Concerns have been raised by civic activist Vivek Velankar, who has urged authorities to expedite follow-up with the state government. In a letter addressed to the standing committee, he highlighted that unless these pending funds are released, achieving the projected revenue targets may prove difficult. Among the key dues is the 1 percent surcharge on stamp duty collected from property registrations, which the state is required to share with the civic body. However, between 2019-20 and 2024-25, nearly ₹1,075 crore under this head remains unpaid.

Additionally, after the abolition of Local Body Tax (LBT), compensation through Goods and Services Tax (GST) grants was promised. Yet, funds amounting to around ₹1,421 crore for 11 merged villages since 2017, and ₹572 crore for 23 villages included from 2021, are still pending. Officials acknowledge that while consistent follow-ups have been made, the response from the state has been limited. Experts warn that unless these dues are cleared soon, the record-breaking budget risks remaining largely on paper, with limited execution on the ground.

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