The Union Cabinet, chaired by Prime Minister Narendra Modi, on Wednesday approved Phase-III of the Centrally Sponsored Scheme (CSS) for strengthening and upgrading existing government medical colleges, standalone PG institutes, and government hospitals. The scheme aims to increase 5,000 postgraduate (PG) seats and 5,023 undergraduate (MBBS) seats across the country, with an enhanced cost ceiling of Rs. 1.50 crore per seat.
According to the health ministry, the total financial outlay for the scheme is Rs. 15,034.50 crore for the period 2025-26 to 2028-29, with the central share being Rs. 10,303.20 crore and the state share Rs. 4,731.30 crore.
Achieving Universal Health Coverage for India’s 1.4 billion population depends on a robust healthcare system with timely and high-quality services, particularly in rural, tribal, and hard-to-reach areas. India currently has 808 medical colleges, among the highest in the world, with a total MBBS intake capacity of 1,23,700 seats.
In the past decade, over 69,352 new MBBS seats were added, reflecting a growth of 127%, while 43,041 PG seats were added, a 143% increase. Despite this growth, certain regions still require further capacity enhancement to meet healthcare demand and ensure affordability, the ministry said.
The 22 new All India Institute of Medical Sciences (AIIMS) under the Pradhan Mantri Swasthya Suraksha Yojana will also contribute to building a pool of qualified health professionals through state-of-the-art teaching and learning facilities.
To expand qualified faculty availability, the Medical Institution (Qualifications of Faculty) Regulations 2025 have introduced a more inclusive and competency-based approach for faculty eligibility and recruitment, addressing the growing need for teaching personnel while maintaining academic and professional standards.
The initiative is expected to significantly augment undergraduate medical capacity, increase the availability of specialist doctors, and enable the introduction of new medical specialties across government institutions, thereby strengthening India’s overall healthcare system.