Cabinet Approves Phase 3 of Centrally Sponsored Scheme to Upgrade Govt Medical Institutions

New Delhi: The Union Cabinet, chaired by Prime Minister Narendra Modi, has approved Phase-III of the Centrally Sponsored Scheme (CSS) to strengthen and upgrade existing government medical institutions. 

The decision aims to add 5,000 postgraduate (PG) seats and 5,023 undergraduate (MBBS) seats across the country by 2028-29, addressing the growing demand for doctors and specialists in India.

Increased Investment in Medical Education

The government has fixed an enhanced cost ceiling of Rs 1.5 crore per seat to expand PG and UG capacity in state-run and centrally run institutions. The total financial outlay for the schemes is Rs 15,034.50 crore, of which the central share will be Rs 10,303.20 crore and the state share Rs 4,731.30 crore. The schemes will run from 2025 to 2029.

Boost to Healthcare Capacity

The initiative is expected to significantly improve the availability of doctors and specialists by creating more opportunities for medical education. The new PG seats will also support the introduction of additional specialties, enhancing tertiary healthcare capacity in government institutions. The scheme will use existing infrastructure for expansion, making it a cost-effective solution.

Key Benefits

The scheme is expected to benefit in the following ways:

• More opportunities for students to pursue medical education within India
• Improved access to quality healthcare, particularly in underserved rural and remote areas
• Steady supply of specialists to meet critical health needs
• Balanced regional distribution of healthcare resources
• Promotion of India as a global hub for affordable healthcare services

Employment Generation

The expansion is also expected to create direct and indirect employment opportunities. Doctors, faculty members, paramedical staff, researchers, administrators, and support staff will benefit as new seats and departments are added. This will further contribute to the socio-economic development of the country.

Strengthening the Health System

With these measures, the government aims to strengthen the resilience of India’s healthcare system to tackle both existing and emerging health challenges. The balanced expansion of medical seats across states and union territories will ensure equitable healthcare access for all citizens.

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