The allocation was in line with Medical Council of India stipulations and an effort to increase number of medical students, Health and Family Welfare minister K C Veeramani told the state assembly.
He said Rs 31.76 crore would be allocated to construct new buildings for government hospitals.
Under the 'Hospital on Wheels' scheme, 100 vehicles will be purchased at a cost of Rs seven crore. Also, 20 new primary health centres would be opened across the state, while dental clinics would be started in 50 PHCs at a cost of Rs 1.50 crore, the minister said.
To cater to tribal population, the government would appoint welfare consultants in 10 state-run hospitals in districts having a good chunk of adivasi population, he said.
Earlier, giving statistics on health Indicators, Veeramani said Tamil Nadu ranks second lowest state as regard to infant mortality rate (IMR).
"The level of IMR is 22 per 1,000 births as per the Sample Registration System survey (2011)...Government of Tamil Nadu is committed to reduce IMR to below 13 by the year 2017," he said, adding, various efforts were on in this regard.
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