Even with sufficient funds, several projects under MCGM delayed: Report -Governance Now

Even with sufficient funds, several projects under MCGM delayed: Report

A report released by Janaagraha Centre for Citizenship and Democracy has provided an outline of the financial statements of the MCGM

GN Bureau | February 12, 2019

#capital projects #development #MCGM #Mumbai #budget #Municipal Corporation of Greater Mumbai

The Municipal Corporation of Greater Mumbai’s (MCGM) presented the budget for the FY 2017-18 which have highlighted current state of financial management. A report released by Janaagraha Centre for Citizenship and Democracy has provided an outline of the financial statements of the MCGM.

Here are the key takeaways from the report:

- Many capital projects undertaken by the corporation have been delayed regardless of being the richest municipality in India with a budget size of Rs 394 billion (buget estimate) while also having sufficient funds (Rs 236 billion).

- The total income earned by the MCGM declined marginally from RS 271 crores in FY 2016 to Rs 268 crores in FY 2017 due to lower premium income from fungible FSI and staircase and lift premium charges, the report said.

- The expenditure made by MCGM was also marginally higher in FY17 at Rs 212 crores as compared to Rs 205 crores which were led primarily by operations and maintenance cost as well as administrative expenses.

- The corporation has outstanding receivables (gross) of around Rs 171.6 billion comprising mainly of receivable towards property tax, water and sewerage tax etc. Provision coverage towards bad and doubtful debts declined from around 40 percent in FY13 to 31 percent in FY17.

- The corporation lags in timely execution of projects, leading to slow conversion of CWIP into fixed assets. During FY13-17, it capitalised fixed assets (gross) of Rs 106 billion against CWIP of INR170bn as at FY13. CWIP stood at Rs 243 billion (around 22 percent of total assets) at FY17 end.

- Investments in fixed deposits (general fund) jumped from Rs 107 billion in FY13 to Rs 236 billion (approx. 20 percent of total assets) in FY17. MCGM has fixed deposits (excluding earmarked funds for pension & provident fund) of approx. Rs 511 billion, representing approx. 42 percent of total assets.

Source: MCGM

Comments

Other News

India’s freedom struggle was shaped by wider Asian political thought

As we mark 80th anniversary of independence, ‘Asianism and the Fall of Empire’ (HarperCollins India) by historian Mithi Mukherjee offers a new perspective on India’s freedom struggle by placing it within the wider history of Asia. Mukherjee explores Asianism as a powerful political and in

What is colonialism? A relook at modern history

The Chromatic World Order: The Fiction That Rules Our World By Sajid Mohamed Aakar Books

Monsoon session of parliament adjourns sine die

The Monsoon Session, 2026 of Parliament which commenced on July 20 was adjourned sine die on Thursday. The session provided 19 sittings spread over a period of 25 days. During the session 11 Bills were introduced in Lok Sabha and 2 Bills were introduced in Rajya Sabha. 12 B

Consumer Justice at a Crossroads

Over the past four decades, India`s consumer protection landscape has undergone a remarkable transformation. What began with the Consumer Protection Act, 1986 as a simple mechanism to empower ordinary citizens has evolved into a comprehensive framework capable of addressing challenges ranging from mislea

Doctors, experts call for ban on junk food ads, mandate warning labels

More than 30 doctors, medical scientists and public health professionals have urged the government to take decisive action against the aggressive advertising and marketing of junk food, calling for a watershed ban on advertisements for foods high in fat, sugar and salt (HFSS) and ultra-processed foods (UPF

Asiatic Lion population rises from 523 in 2015 to 891 in 2025

On World Lion Day 2026, environment, forest and climate change Minister Bhupender Yadav celebrated India’s remarkable journey in lion conservation and reaffirmed the country’s unwavering commitment to protecting wildlife and biodiversity. In a post on soc