Mamdani Inaugurated with Ambitious Agenda Amid Budget and Political Challenges
Mamdani was inaugurated on the first freezing day of 2026, pledging an agenda focused on safety, affordability, and abundance. His proposals include universal childcare, free public buses, and city-run grocery stores.
Funding these policy initiatives faces constraints due to the state budget. Wealthy taxation could raise up to $9 billion, including increasing the corporate tax rate from 7.25% to 11.5%, but support from the state government is necessary.
President Trump initially attacked Mamdani as a communist and threatened to withhold federal funding. However, a later meeting was amicable, though tensions remain possible over immigration and federal aid.
Business leaders have shifted to cautious cooperation after Mamdani's election. He held meetings with JPMorgan Chase CEO Jamie Dimon and real estate developer Jeffrey Gural, yet concerns persist regarding his experience and his tax plans potentially driving firms away.
Public safety remains a central challenge for Mamdani. He proposes creating a Department of Community Safety incorporating mental health and crisis response initiatives, as well as outreach programs in the subway system. Crime in 2025 fell to a near-record low, and future evaluations of policing will focus on approaches to safety and homelessness.
