The Kochi Corporation is under scrutiny for failing to effectively allocate and utilise the state government’s budgetary funds for the 2025-26 financial year.
Opposition councillors have criticised the civic body for poor financial planning, claiming that the corporation’s proposed budget of Rs 82 crore falls short of the Rs 88 crore allocated by the state government. This gap in fund allocation has raised concerns about the corporation’s ability to manage financial resources efficiently, especially as the city continues to expand and require robust infrastructure development. Opposition leaders argue that the lack of proper planning not only hampers development projects but also leads to financial discrepancies that could affect the city’s growth prospects. A key issue highlighted by the opposition is the reliance on an outdated government order dated November 25, 2024, which guided the preparation of the annual plan. This has resulted in projects being proposed that do not align with the latest directives issued as part of the 2025-26 state budget. Critics argue that such outdated planning undermines the objectives of sustainable urban development and financial accountability.
“An annual plan that leads to the loss of crores of rupees cannot be approved without proper scrutiny and alignment with the current budgetary guidelines,” said an opposition leader, questioning the rationale behind the budgetary decisions. They emphasised the need for the finance committee to take immediate corrective actions, including reallocating funds based on updated plans and prioritising projects that can be completed within the current governing body’s term. The opposition also raised concerns over pending bills for works worth crores of rupees, despite the full receipt of state funds. This, they argue, reflects a lack of efficiency and accountability within the corporation’s financial management system. Financial experts suggest that the Kochi Corporation’s budget planning issues highlight broader challenges faced by local governments in managing urban development finances. They stress the importance of transparent budgetary processes, regular audits, and effective project management to ensure that public funds are utilised optimally for the benefit of residents. As Kochi continues to grow, the need for sound financial planning becomes even more critical. Poor budget management can lead to delays in infrastructure projects, underdeveloped public facilities, and missed opportunities for sustainable growth. The opposition’s calls for greater transparency and accountability reflect a growing demand among citizens for responsible governance and efficient use of public resources.
The current budgetary challenges faced by the Kochi Corporation could serve as a wake-up call for better financial management practices, ensuring that the city’s development goals are met without financial mismanagement or delays in crucial projects.
