Bengaluru’s new civic bodies make their first move- And it comes with a ₹6,600-crore ask

First independent budgets of four newly formed city corporations outline local priorities, large funding gaps, and continued dependence on state support as Bengaluru moves to a decentralised civic model.

Four of the five newly created city corporations of Bengaluru have submitted their first independent budget proposals to the Karnataka government, clearly outlining their financial needs and development priorities for the 2026-27 financial year. The budgets, presented to the state’s finance commissioner, underline a significant dependence on state grants as the corporations begin functioning independently.

Among the four, the Bengaluru Central city corporation has sought the highest grant of ₹2,047 crore. It is followed by Bengaluru East with a demand of ₹1,685 crore, Bengaluru South with ₹1,675 crore, and Bengaluru North with ₹1,210 crore. The fifth entity, Bengaluru West, is yet to submit its proposal, but officials indicate that its projected demand is expected to be on similar lines as its budgeting exercise progresses.

The budgets will be formally tabled only after the state government presents its own budget. According to the Greater Bengaluru Authority (GBA), this sequencing is part of a structured transition to the new governance framework.

GBA Chief Commissioner Maheshwar Rao described the exercise as a major step towards decentralised urban governance. He noted that the new model is designed to allow each corporation to identify and respond to local needs more effectively, rather than following a single, city-wide approach.

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As part of the preparation process, all five corporations invited suggestions from citizens, resident welfare associations, and civil society organisations. Inputs focused on infrastructure, public health, safety, environmental protection, and social welfare, reflecting neighbourhood-specific concerns.

The Central city corporation plans to prioritise basic infrastructure in and around the central business district, with nearly ₹500 crore proposed for this purpose. An additional ₹200 crore has been earmarked for infrastructure development in slum areas, while remaining funds are planned for solid waste management, lake rejuvenation, and horticulture works.

In the North corporation, officials have highlighted the urgent need for major stormwater drain projects and new road construction, each estimated at around ₹500 crore. A separate allocation of ₹25 crore has been proposed to relocate stray dogs, citing the high concentration of such animals in the region.

The South corporation has identified parks, road development, and waste management as its primary focus areas for the coming year.

Last year, the Bruhat Bengaluru Mahanagara Palike (BBMP), the predecessor to GBA, presented a budget of ₹19,930 crore, which was later revised to ₹20,440 crore. During that period, substantial state grants enabled major infrastructure projects, including tunnel roads, white-topping, flyovers, elevated corridors, and stormwater drain development. A dedicated agency, B-Smile, was also created to implement and maintain these large-scale projects.

GBA officials have indicated that the upcoming budgets will clarify whether and how the new corporations plan to fund similar mega infrastructure works and manage solid waste systems. From BBMP’s existing funds, ₹613.6 crore has already been distributed among the five corporations, providing an initial financial cushion.

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The GBA has also directed the corporations to strengthen property tax collection and other statutory revenues. Each corporation will need to balance spending on staff salaries, administrative costs, and development projects as they move into their first full year of independent operations.