New Delhi | February 1, 2026 | SKY LINK TIMES
Budget 2026:
In a major push to strengthen India’s healthcare ecosystem and position the country as a global medical tourism destination, Union Finance Minister Nirmala Sitharaman on Sunday proposed the creation of five regional medical hubs and three new All India Institutes for Ayurveda in the Union Budget 2026–27.
Presenting her ninth consecutive Union Budget in Parliament, Sitharaman said the initiatives aim to expand healthcare capacity, create jobs, and promote evidence-based traditional medicine, while fulfilling the aspirations of citizens under the government’s Kartavya framework.
Table of Contents
5 Regional Medical Hubs to Boost Medical Tourism
To promote medical value tourism, the Finance Minister announced a new scheme to support states in developing five regional medical hubs across the country.
“These hubs will integrate AYUSH centres, advanced diagnostic infrastructure, and post-treatment rehabilitation facilities,” Sitharaman said. The hubs are expected to attract international patients seeking affordable, high-quality medical care, while also generating employment opportunities for doctors, nurses, therapists, and allied healthcare professionals.
The initiative aligns with India’s growing reputation as a destination for cost-effective and holistic healthcare services.
Three New All India Institutes for Ayurveda
Recognising rising global demand for Ayurveda, the government will establish three new All India Institutes for Ayurveda (AIIA).
According to the Finance Minister, exporting high-quality Ayurveda products will also benefit farmers cultivating medicinal herbs, strengthening the rural economy. The move reinforces India’s leadership in traditional medicine while expanding education and research capacity in the sector.
AYUSH Pharmacies, Labs & WHO Centre to Be Upgraded
The Budget also proposes the upgradation of AYUSH pharmacies and drug testing laboratories to ensure quality, safety, and global standards.
Additionally, the WHO Global Traditional Medicine Centre in Jamnagar, Gujarat, will be upgraded to bolster evidence-based research on traditional medicine systems, further enhancing India’s credibility in global healthcare.
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1 Lakh Allied Health Professionals in Five Years
To address workforce shortages, the government plans to add 1 lakh allied health professionals over the next five years.
New and upgraded institutions—both public and private—will cover 10 key disciplines, including:
• Optometry
• Radiology
• Anesthesia technology
• Operation theatre (OT) technology
• Applied psychology
• Behavioural health
A strong care ecosystem focusing on geriatric care and allied services will also be developed.
Skilled Caregivers & NSQF-Aligned Training
The Finance Minister further announced NSQF-aligned training programmes for multi-skilled caregivers, combining core care with skills such as wellness, yoga, and assistive medical devices.
“These steps will build capacity and make citizens strong partners in India’s journey towards prosperity,” Sitharaman said.
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