The decision was taken in a Cabinet meeting chaired by Chief Minister Arvind Kejriwal.
Opposition leader Vijender Gupta has been demanding to implement the recommendations of the Fourth Finance Commission to improve the financial conditions of all the three municipal corporations.
"Government will implement the recommendations of Commission only if the Central government gives its nod for the same," said a senior government official.
Slamming the AAP government for the move, Gupta said, "There is no law which requires the nod of the Central Government for implementation of Finance Commission. It is the sole prerogative of the State Government. The move is to scuttle the implementation of the Finance Commission's recommendations."
Gupta alleged that the government has so for not placed the report of 'Fourth Finance Commission' in the Delhi Assembly.