An Analytical Study of Financial Growth and Development of MCGM: A Modular Approach

Abstract

This paper presents the analytical study of financial standpoint of   Municipal Corporation of Greater Mumbai, popularly known as MCGM. MCGM enjoys the status of being the largest functional local body as compared to other municipal corporations operating in the state of Maharashtra. The researches carried out earlier related to analyzing the working of local bodies were mainly devoted to functional and operational aspects of municipal local bodies. A very few among those have superficially touched the financial viabilities and autonomic aspects of local bodies. But, there is dearth of studies directed to analyze the financial success and development and growth related modular approach for local body like MCGM. This study is a small attempt in this direction and diagnoses not only the financial viability of local bodies like MCGM, but analytically tries to reach to the pitfalls prevailing in the overall financial management. For arriving at the conclusions, analytical tools like regression analysis and test of significance using one way ANOVA were employed. Results showed that there were wide disparities in the financial function of the MCGM and that a fair and justified investment pattern of the revenue surplus and enhancing the revenue income is needed. The envisaged study has suggested financial growth models for urban local bodies and for the overall financial development of the MCGM.