Budget 2026-27: Mental Health & Cancer Drug Focus

New Delhi, Feb 1 (PTI) From mental health infrastructure and regional medical hubs to biopharma manufacturing, caregiver training and cheaper cancer medicines, Delhi-based doctors and healthcare leaders on Sunday welcomed the measures listed in Union Budget 2026-27.

They said these will strengthen access, affordability and long-term capacity in the healthcare system.

The Union Budget has raised allocation for the healthcare sector by 10 per cent to Rs 1,06,530.42 crore.

As part of its focus on mental health, the Budget proposed widening access to specialised care, including through the establishment of NIMHANS (National Institute of Mental Health and Neurosciences) 2.0.

Welcoming the announcements, Dr Samir Parikh, Chairperson of Mental Health Programme at Fortis Healthcare and Adayu Mindfulness, said, "Mental health has for too long remained at the margins of public discourse, despite its profound influence on productivity, families and the social fabric of our nation."

He said the recognition accorded for it in the Budget, particularly the proposal to widen access to specialised care, signalled a thoughtful and necessary recalibration of national priorities.

The Budget also proposed the establishment of five regional medical and medical tourism hubs in partnership with the private sector, integrating clinical care, education, research, AYUSH and post-treatment rehabilitation.

Reflecting on this proposal, Abhay Soi, Chairman and Managing Director of Max Healthcare, said, "The proposal to establish regional medical hubs is a timely and strategic step towards positioning India as a global destination for medical value travel."

Explaining the broader impact of the initiative, he said that by integrating clinical care, education, research, AYUSH and post-treatment rehabilitation, the initiative addresses "the entire continuum of care that international and domestic patients increasingly seek."


The Budget also announced a Rs 10,000-crore Biopharma Shakti initiative over five years to strengthen domestic biopharma manufacturing and improve healthcare affordability.

Welcoming this move, Dr Manisha Arora, Director of Internal Medicine at CK Birla Hospital, said, "The Finance Minister's proposal of Biopharma Shakti with an outlay of Rs 10,000 crore over five years is a major step toward strengthening India's biopharma ecosystem."

The initiative would have a direct impact on treatment affordability, Dr Arora said, adding that a key impact would be the expansion of biosimilars, which are cost-effective alternatives to complex biologic medicines.

The Budget also simplified the customs regime by rationalising exemptions and waiving basic customs duty on 17 essential cancer drugs, a move aimed at making life-saving medicines more affordable and easier to access for patients.

Hailing the step, Dr Mandeep Singh Malhotra, Director of Surgical Oncology at CK Birla Hospital, said, "The exemption of basic customs duty on 17 essential cancer drugs, along with the inclusion of seven additional rare diseases under duty-free personal imports, will significantly reduce the financial burden on patients who already face prolonged and intensive treatment journeys."

Improving affordability and easing access to life-saving therapies that are not manufactured domestically can help ensure timely treatment and better clinical outcomes, Dr Malhotra added.

Commenting on the overall healthcare thrust of the Budget, Dr Ashutosh Raghuvanshi, Managing Director and CEO, Fortis Healthcare, said, "The Union Budget 2026-27 sends a strong and timely signal that healthcare is central to India's growth and resilience."

The Budget further announced the training of 1.5 lakh multi-skilled caregivers and the expansion of emergency and trauma care centres across district hospitals.

Welcoming this focus on capacity building, Dr Kanika Batra Modi, Assistant Director and Clinical Lead, Gynaecological Oncologist, Max Institute of Cancer Care, said the caregiver training would significantly strengthen maternal and women's healthcare support systems, particularly in Tier II and III cities and rural areas. PTI SGV RUK

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