Guntur civic body budget shows Rs 633 crore surplus

Guntur: In a surprising development, the standing committee of the Guntur Municipal Corporation (GMC) approved the civic body's 2026–27 budget with a massive surplus of ₹633 crore, raising questions about fund utilisation in the city.The committee, the highest decision-making authority of the GMC, cleared budget estimates of ₹1,700.61 crore, including an opening balance of ₹774.28 crore and expected receipts of ₹926.33 crore. Mayor Kovelamudi Ravindra, presiding with commissioner K Mayur Ashok, said the budget was approved after detailed discussions. Expenditure is pegged at ₹1,067.35 crore, leaving a closing balance of ₹633.26 crore.However, the approval of such a huge surplus triggered criticism, especially at a time when many parts of the city continue to struggle with basic civic infrastructure. "Either it must be surplus only on book, without actual money, or the civic body lacked ideas to take up new projects," said social activist SVS Lakshminarayana.Several colonies in the expanded limits of the civic body are grappling with poor roads, incomplete drainage systems, and irregular drinking water supply. Residents in newly merged areas complain that even basic amenities like potable water pipelines and storm water drains are yet to reach their neighbourhoods. Ironically, despite having substantial funds available in its coffers, the civic administration failed to utilise the money effectively to address these pressing issues.Observers point out that the civic body followed a similar pattern over the past 3 years—approving budgets with significant surpluses while infrastructure problems remain unresolved. The situation appears even more striking given the financial constraints faced by the state govt, which repeatedly cited fiscal stress in implementing development works across the state.Several key civic infrastructure projects launched in previous years are still pending completion. The underground drainage (UGD) project, which was initiated during the 2014–19 period, remains incomplete in several parts of the city. Similarly, the construction of overhead water reservoirs meant to supply drinking water to newly added municipal areas stalled midway. Contractors who executed portions of these works reportedly waited for years to receive their pending payments. Although the state govt recently empowered municipal corporations to clear bills directly instead of routing them through the state treasury, many contractors claim that delays continue.The approval of the surplus budget comes at a politically sensitive time as the term of the Mayor and council, led by the Telugu Desam Party, is set to end next week. Critics argue that the civic administration failed to utilise the available funds effectively during its tenure, missing an opportunity to improve civic infrastructure before facing the electorate in the next municipal elections.GFXGMC budget at a glanceTotal Budget Estimate: Rs 1,700.61 croreOpening Balance: Rs 774.28 croreExpected Receipts: Rs 926.33 croreEstimated Expenditure: Rs 1,067.35 croreClosing Balance / Surplus: Rs 633.26 crorePrevious Year Comparison (2025–26):Opening Balance: Rs 724.90 croreEstimated Receipts: Rs 780.58 croreEstimated Expenditure: Rs 731.20 croreClosing Balance: Rs 774.28 crore