**Executive Summary**
The Union Budget 2026-27, presented by the Finance Minister, includes "Biopharma Shakti" (Strategy for Healthcare Advancement Through Knowledge, Technology and Innovation) with an outlay of ₹10,000 crores over the next 5 years. The budget proposes initiatives for health care advancement, including the creation of regional medical hubs, expansion of allied health professionals, and improvements to traditional medicine facilities and mental health institutions. Key dates include the budget presentation date of February 1, 2026.
**Key Points / Main Content**
* **Biopharma Shakti Initiative:**
* Aims to develop India as a global biopharma manufacturing hub with an outlay of ₹10,000 crores over five years.
* Will build an ecosystem for domestic production of biologics and biosimilars.
* Includes a Biopharma focused network with 3 new National Institutes of Pharmaceutical Education and Research & upgrading 7 existing ones.
* To create a network of over 1000 accredited India Clinical Trials sites.
* **Allied Health Professionals (AHPs):**
* Existing AHP institutions will be upgraded.
* 100,000 new AHPs to be added over the next 5 years in 10 selected disciplines.
* **Care Ecosystem:**
* A strong Care Ecosystem for geriatric and allied care services will be built.
* 1.5 lakh caregivers to be trained in the coming year.
* **Medical Hubs:**
* A Scheme to support States in establishing five Regional Medical Hubs in partnership with the private sector.
* These hubs will serve as integrated healthcare complexes.
* **Ayurveda and Traditional Medicine:**
* 3 new All India Institutes of Ayurveda to be set up.
* AYUSH pharmacies and drug testing labs to be upgraded.
* The WHO Global Traditional Medicine Centre in Jamnagar to be upgraded.
* **Mental Health:**
* National Mental Health Institutes in Ranchi and Tezpur to be upgraded as Regional Apex Institutions.
* **Emergency Care:**
* Emergency and Trauma Care Centres to be established to increase the emergency capacity of district hospitals by 50%.
**Impact Analysis**
**Stakeholders: Allied Health Professionals (AHPs)**
* **Impact**: Existing AHPs will have access to upgraded institutions. New professionals will be trained and added to the workforce.
* **Action Required**: Engage with upgraded institutions for further education. Aspiring professionals should apply for training programs.
**Stakeholders: Caregivers**
* **Impact**: Increased training opportunities for caregivers.
* **Action Required**: Apply for and complete the training programs being developed.
**Stakeholders: State Governments**
* **Impact**: Opportunity to establish Regional Medical Hubs in partnership with the private sector.
* **Action Required**: Engage with the central government to participate in the scheme and establish the hubs.
**Stakeholders: Ayurveda and Traditional Medicine Sector**
* **Impact**: Enhanced research and training opportunities, improved facilities for pharmacies and drug testing.
* **Action Required**: Utilize upgraded facilities and engage in new research initiatives.
**Stakeholders: Mental Health Sector**
* **Impact**: Upgraded facilities at Ranchi and Tezpur, increasing regional capacity.
* **Action Required**: Prepare for and participate in the upgrade process.
**Stakeholders: District Hospitals**
* **Impact**: Increased emergency capacity through new trauma care centres.
* **Action Required**: Collaborate to ensure the effective establishment and operation of the new trauma care centers.
Key Entities Referenced
WHO Global Traditional Medicine Centre: The WHO center in Jamnagar will be upgraded to bolster evidence-based research, training and awareness for traditional medicine.
Biopharma SHAKTI: Strategy for Healthcare Advancement Through Knowledge, Technology and Innovation, proposed in the Union Budget 2026-27 to develop India as a global Biopharma manufacturing hub.
Union Budget 2026-27: Annual financial statement presented by the Finance Minister.
All India Institutes of Ayurveda: Proposal to set up three new Ayurveda institutes to meet growing demand for traditional medicine.
NIMHANS: A new institute will be set up along the lines of NIMHANS and national mental health institutes in Ranchi and Tezpur will be upgraded.
Ministry of Finance
BIOPHARMA SHAKTI (STRATEGY FOR
HEALTHCARE ADVANCEMENT THROUGH
KNOWLEDGE, TECHNOLOGY AND INNOVATION)
PROPOSED IN THE UNION BBUDGET 2026-27
EXISTING ALLIED HEALTH PROFESSIONALS (AHPs)
INSTITUTIONS TO BE UPGRADED AND 100,000 NEW AHPs
TO BE ADDED OVER THE NEXT 5 YEARS
CARE ECOSYSTEM FOR GERIATRIC AND ALLIED CARE
SERVICES TO BE BUILT, 1.5 LAKH CAREGIVERS TO BE
TRAINED IN COMING YEARS
SCHEME TO SUPPORT STATES IN ESTABLISHING FIVE
REGIONAL MEDICAL HUBS IN PARTNERSHIP WITH THE
PRIVATE SECTOR PROPOSED
3 NEW ALL INDIA INSTITUTES OF AYURVEDA TO BE SET UP
AYUSH PHARMACIES AND DRUG TESTING LABS TO BE
UPGRADED
THE WHO GLOBAL TRADITIONAL MEDICINE CENTRE IN
JAMNAGAR TO BE UPGRADED
NATIONAL MENTAL HEALTH INSTITUTES IN RANCHI AND
TEZPUR TO BE UPGRADED AS REGIONAL APEX
INSTITUTIONS
EMERGENCY AND TRAUMA CARE CENTRES TO BE
ESTABLISHED TO INCREASE THE EMERGENCY CAPACITY
OF DISTRICT HOSPITALS BY 50%
प्रव तथ: 01 FEB 2026 1:03PM by PIB DelhiThe Union Minister for Finance and Corporate Affairs, Smt. Nirmala Sitharaman, presented the Union
Budget 2026-27 in Parliament today. In her speech, the Finance Minister said that the government is
inspired by 3 Kartavyas: (1) to accelerate and sustain economic growth; (2) to fulfill aspirations and build
the capacity of the population; (3) to ensure that every family, community, region and sector has access to
resources. Health emerges as an important component of all the three Kartavyas in the Union Budget.
To develop India as a global Biopharma manufacturing hub, the Union Budget proposes the Biopharma
SHAKTI (Strategy For Healthcare Advancement Through Knowledge, Technology And Innovation) with
an outlay of ₹ 10,000 crores over the next 5 years. This will build the ecosystem for domestic production
of biologics and biosimilars.
For the creation of a new range of skilled career pathways for the youth, the Finance Minister proposed
interventions in multiple sectors including the Health sector. These are as follows:
(1) Existing institutions for Allied Health Professionals (AHPs) will be upgraded and new AHP
Institutions established in private and Government sectors. This will cover 10 selected disciplines,
including optometry, radiology, anesthesia, OT Technology, Applied Psychology and Behavioural Health
and the addition of 100,000 AHPs over the next 5 years.
(2) The Finance Minister in her speech stated that a strong Care Ecosystem, covering geriatric and allied
care services will be built. A variety of NSQF-aligned programmes will be developed to train multi-skilled
caregivers combining core care and allied skills, such as, wellness, yoga and operation of medical and
assistive devices. Further, in the coming year, 1.5 lakh caregivers will be trained.
(3) To promote India as a hub for medical tourism services, the Union Budget proposes to launch a
Scheme to support States in establishing five Regional Medical Hubs, in partnership with the private
sector. These Hubs will serve as integrated healthcare complexes that combine medical, educational andresearch facilities. They will have AYUSH Centres, Medical Value Tourism Facilitation Centres and
infrastructure for diagnostics, post-care and rehabilitation. These Hubs will provide diverse job
opportunities for health professionals including doctors and AHPs.
The Finance Minister, in her speech noted that the Ancient Indian yoga, already respected in several parts
of the world, was given mass global recognition when Hon’ble PM took it to the UN. Further, post-
COVID, Ayurveda gained a similar global acceptance and recognition. To meet this growing global
demand, a few more steps were announced.
The Finance Minister proposed to: (i) set up 3 new All India Institutes of Ayurveda; (ii) upgrade AYUSH
pharmacies and Drug Testing Labs for higher standards of certification ecosystem, and make available
more skilled personnel; (iii) upgrade the WHO Global Traditional Medicine Centre in Jamnagar to bolster
evidence-based research, training and awareness for traditional medicine.
The Finance Minister also noted the lack of national institutes for mental healthcare in north India.
Therefore, the Union Budget announced the setting up of a NIMHANS-2 and the upgrading of National
Mental Health Institutes in Ranchi and Tezpur as Regional Apex Institutions. Further, the emergency
capacities of District Hospitals will be strengthened and increased by 50% by establishing Emergency and
Trauma Care Centres.
****
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