The New Indian Express 19.08.2010
How will the BBMP fund its projects?
BANGALORE: The city corporation had made tall promises, all of them have fallen flat. Lack of funds has forced it to postpone its budget presentation, yet again.The Bruhat Bengaluru Mahanagara Palike (BBMP) has now said it would present budget on August 30. It has knocked on the doors of the state government, seeking Rs 1,500 crore. Its budget for this year is said to be around Rs 7,500 crore. The Palike has loans of nearly Rs 3,000 crore and debt servicing of more than Rs 500 crore. The new budget can only add to the woes of the Palike and ultimately the citizens of Bangalore.
With more than Rs 1,500 crore as pending bills and Rs 1,750 crore as spillovers, the Palike is in dire financial straits.
Palike’s main bread winner, property tax, is said to have garnered only around Rs 800 crore.
It remains to be seen how does the BBMP strike a balance between its ambitions and liabilities.
