Health sector gets Rs 19,306 cr in 2026–27 Budget

- The allocation sees 9.5% increase over revised estimates, accounting for 5.81% of the total Budget and ranking fourth among depts
- Major allocations include Rs 9,380.73 cr for medical education, Rs 4,000 cr for Dr NTR Vaidya Seva Trust, Rs 2,819.31 cr for govt medical colleges, and Rs 600 cr for drug procurement
- Rs 838 cr earmarked under PM-ABHIM — up nearly 99% — to build critical care blocks, village clinics and public health labs, alongside funds for emergency services, EHS and tribal multi-speciality hospitals
Vijayawada: The state government allocated`19,306.04 crore to the health sector in the 2026–27 financial year, marking a 9.5 per cent increase (Rs 1,669 crore) over the revised estimates of Rs 17,637.24 crore for 2025–26, health minister Y Satya Kumar Yadav said on Saturday.
Speaking to media at Assembly, the minister noted that the allocation accounts for 5.81 per cent of the total Budget and ranks fourth among all departments, after education, BC welfare, panchayat raj and rural development.
Among major departmental allocations, medical education has received Rs 9,380.73 crore, followed by health and family welfare at Rs 5,352.62 crore, public health (DPH) Rs 2,582.66 crore, Directorate of Secondary Health (DSH) Rs 1,549.11 crore, and AYUSH Rs 385.25 crore.
Under key schemes, Rs 4,000 crore has been earmarked for the Dr NTR Vaidya Seva Trust. Government medical colleges and teaching hospitals have been allotted Rs 2,819.31 crore for development, while Rs 600 crore has been set aside for drug procurement. Emergency services 108 and 104 have been allocated Rs 222.24 crore and Rs 128.89 crore respectively.
The Employee Health Scheme (EHS) received Rs 180 crore. Diagnostic services in rural and urban primary health centres have been allocated`127.83 crore, and`110 crore has been earmarked for developing multi-speciality hospitals in tribal areas. The government has also revived the NTR Baby Kit scheme with an allocation of`51.15 crore.
Under the Prime Minister Ayushman Bharat Health Infrastructure Mission (PM-ABHIM), Rs 838 crore has been allocated, an increase of 98.87 per cent over the revised estimate of Rs 421.38 crore this year. The funds will support construction of critical care blocks, village health clinics and public health laboratories.
Welcoming the Budget, the minister said it prioritises irrigation, education, healthcare, agriculture, rural development and infrastructure, and will strengthen welfare delivery and capital expenditure across the state.











