The Union government increased the healthcare budget by 10% in the Union Budget 2026–27, with Finance Minister Nirmala Sitharaman allocating ₹1,06,530.42 crore to the Ministry of Health and Family Welfare. The Budget proposes supporting states in setting up five regional medical hubs to boost healthcare infrastructure and medical tourism.
Sitharaman said the hubs will be developed in partnership with private hospitals, including Apollo, Max, Fortis, Dr Lal Pathlabs and Metropolis. The Budget also announced upgrades to allied health institutions, expansion of geriatric care services, and a 50% capacity increase in district hospitals through new emergency and trauma care centres.
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The government proposed three new All India Institutes of Ayurveda, upgradation of AYUSH pharmacies and labs, and the establishment of NIMHANS 2.0 in Ranchi.
