Budget 2026: Centre plans 5 Regional Medical Hubs, experts welcome move but urge clear policy

Sitharaman also highlighted that the hubs are expected to generate a wide range of employment opportunities for healthcare professionals, including doctors and allied health professionals (AHPs).

The move aligns with the government’s broader push to expand healthcare infrastructure, promote medical value travel, and create high-skilled jobs in the health sector. “The announcement of five regional Medical Value Tourism hubs will further position India as a global healthcare destination and act as a key enabler for growth, while integration of Ayush centres into these hubs will showcase India’s holistic care capabilities,” said Ameera Shah, President of Nathealth.

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Dr Ajay Swaroop, Chairman, Board of Management, Sir Gangaram Hospital emphasized that India is well-positioned for medical tourism, with highly trained professionals and advanced technology that can match global standards. However, he noted that the industry currently lacks an official framework, relying largely on private players to bring in patients. “If the government promotes medical tourism in an official way, I am sure it would bring both global recognition and financial benefits,” he said.

Dr Swaroop added that real-world implementation would have to address challenges such as identifying patients, where they are coming from, and what services they need. There would be a need for fixing the rates and ensuring ethical practices. “A database tracking patients from different countries, the types of medical procedures they seek, and the regions they come from is necessary to plan services effectively. This information will help determine where specialized centres, such as those for liver or kidney transplants, should be established,” he explained.

‘No organised system’

Dr Vinay Aggarwal, former member of the first medical tourism board and former National Chairman IMA and currently Chairman, Pushpanjali Group of Hospitals, said a significant issue was the absence of a formal framework for medical tourism. Before government initiatives, international patients had to rely on private hospitals or facilitators to arrange treatments. There was no organised system to manage patient inflow, visas, or documentation, which made the process cumbersome and inconsistent, he said.

Dr Aggarwal also said hospitals had to manually process certificates, conduct video consultations, and manage documents for international patients, which was inefficient and time-consuming.

He noted that scaling the industry posed challenges in ensuring ethical practices, quality care, and smooth coordination. Expanding medical tourism required not just attracting patients but also delivering timely, reliable, and standardised healthcare services. Initiatives like the introduction of e-visas and the creation of a dedicated medical tourism board have helped address many of these problems, making India a more credible destination for international patients, he said.

According to Dr Dharminder Nagar, Managing Director, Paras Health, the primary challenges in medical tourism are not related to healthcare quality itself, which he sees as strong, but rather to logistical and systemic issues, particularly the visa regime.

Although India has liberalised medical visas, he noted that it is still difficult for foreign patients to obtain them, which can discourage potential medical tourists from choosing India. He emphasised that further visa liberalisation would be critical to make India competitive with other medical tourism destinations like Thailand.

He also highlighted the need for a more integrated healthcare-tourism ecosystem. “In countries that excel in medical tourism, hospitals are often connected to hotels and tourism infrastructure, creating a seamless experience where healthcare and travel are intertwined. In India, this ecosystem is still underdeveloped, which could pose challenges in attracting international patients and providing them a holistic experience,” he said.

Expansion of mental health and trauma care infrastructure

In her budget speech, Sitharaman announced the establishment of a new national-level mental health institute and the expansion of emergency care facilities across the country. Highlighting the lack of national mental healthcare institutions in north India, Sitharaman said the Centre would set up a second National Institute of Mental Health and Neuro-Sciences (NIMHANS-2) to address the regional gap. In addition, the existing National Mental Health Institutes in Ranchi and Tezpur will be upgraded and developed as Regional Apex Institutions to enhance specialised care and training.

The finance minister also emphasised on the financial burden emergencies place on families, particularly the poor and vulnerable. To mitigate unexpected healthcare expenditure and improve access to critical care, she announced that Emergency and Trauma Care Centres would be established in district hospitals, increasing their capacity by 50 per cent.

Dr Dileep Mavlankar, public health expert, welcomed establishing emergency and trauma care centres in district hospitals, adding that the initiative would be most effective if focused on districts along national and state highways, where road accidents are more frequent. He added that injuries often prevent primary earners from working.

He cautioned, however, that infrastructure alone is insufficient, emphasising the need for adequate doctors and specialists, who are often reluctant to work in district hospitals. He also pointed out that the budget did not address air or water pollution, despite their health implications.