On the 19th, Osaka City announced its draft budget proposal for the fiscal year 2026, targeting a total budget of 2.1882 trillion yen, marking an increase of 157.3 billion yen (7.7%) from the previous year's initial budget. This increase represents the largest budget in Osaka's history and is the sixth consecutive year of growth. While the city expects an increase in revenue from city taxes, expenditures in areas such as social security and infrastructural investments are also on the rise, leading to a projected deficit where expenditures will outpace revenues.

The budget proposal reveals a notable surge in tax revenue, with city tax revenues anticipated to rise by 57.4 billion yen (6.7%), reaching a record high of 910.5 billion yen. A breakdown indicates that personal city taxes are expected to grow by 23 billion yen (9.2%) to 273.3 billion yen, while corporate city taxes will increase by 14.3 billion yen (11.6%) due to improved corporate profits. Property taxes, driven by new constructions, are also projected to increase by 17.4 billion yen (4.2%), totaling 43.26 billion yen.

On the expenditure side, total spending is projected at 8.295 trillion yen, accounting for 38% of the budget, with significant increases in welfare spending and personnel costs attributed to salary adjustments and an aging workforce. Expenditure on infrastructure projects, including the Yodogawa Left Bank Line and improvements to the Osaka Health and Longevity Medical Science Center, sees a substantial hike of 588 billion yen (26.0%). The budget aims for fiscal stability, with the potential to become a "non-subvention entity" by FY29 due to improvements in tax revenues.