Budget 2026: Why more medical seats alone can't fix India's healthcare

As medical seats expand, experts urge Budget 2026 to prioritise faculty hiring, better training and infrastructure to secure India's healthcare workforce

Ahead of the Union Budget 2026, healthcare experts note that growth in medical education must be matched by stronger faculty, training quality and infrastructure to ensure a resilient future healthcare workforce. While thousands of new medical seats are being added, doctors and policy specialists warn that the system is already under strain due to faculty shortages, uneven training standards and limited clinical exposure.

 

Dr Sabine Kapasi, UN advisor and global health strategist, stresses that expanding medical seats without investing in faculty and training quality risks weakening India’s future healthcare workforce. “If India wants safe, skilled and confident doctors, it must invest in teachers, mentorship and training systems with the same urgency as seat expansion,” she says.

 

A deep faculty shortage hurting training quality

India is facing a serious and well-documented shortage of medical faculty, with direct consequences for both undergraduate and postgraduate training. RTI data from 11 All India Institute of Medical Sciences (Aiims) institutions across different states show that nearly 1,600 of the 4,099 sanctioned faculty posts remain vacant, making up around 39 per cent of the total.

 

The situation is particularly concerning in high-demand clinical specialities. Aiims Delhi alone has 524 vacant faculty positions across medicine, surgery, paediatrics, anaesthesia, neurology and emergency care, despite being sanctioned for 1,306 faculty members. Newer institutions are struggling even more, with Aiims Jodhpur reporting 46.7 per cent vacancies and Aiims Gorakhpur 45.5 per cent.

 

“These shortages translate into reduced bedside teaching, overburdened supervisors, limited guidance for postgraduate students and inadequate clinical exposure for interns and residents,” Dr Kapasi notes. “You cannot produce competent doctors without adequate teachers.”  ALSO READ | Union Budget 2026-27: Here're key challenges in financial services sector

Why Budget 2026 must prioritise medical teachers

There is a growing consensus that the Union Budget must place medical faculty at the heart of healthcare spending. Public health expenditure has risen from 1.28 per cent of gross domestic product (GDP) in 2018–19 to 1.9 per cent in 2023–24, but this remains far below the 2.5 per cent target outlined in the National Health Policy 2017.

 

Despite incremental increases, the overall share of the Union Budget allocated to health has hovered around 2 per cent for nearly a decade. At the same time, estimates from NITI Aayog and the National Health Accounts indicate that government medical faculty salaries are 30 to 50 per cent lower than those in the private sector.

 

“This pay gap leads to high attrition, unfilled posts and a loss of experienced teachers,” Dr Kapasi says. “Without targeted funding for competitive remuneration, career progression and structured skill development, the quality of medical education will continue to suffer.”

Are current faculty–student norms enough?

India now has the largest number of medical colleges in the world, yet it still falls short of the WHO-recommended doctor-to-population ratio of 1:1000, says Dr Kapasi. Inspections by the National Medical Commission have repeatedly flagged issues such as inadequate faculty strength, poor infrastructure, insufficient clinical material and weak student–teacher interaction.

 

Experts argue that existing norms focus on minimum numerical requirements rather than training outcomes. They fail to account for:

• Competency-based medical education
• Rising patient loads in teaching hospitals
• The need for structured mentorship
• Integration of simulation-based learning

 

“Medical education today is far more complex than it was two decades ago,” says Dr Kapasi. “Training standards must reflect that reality.”  ALSO READ | Micro fertiliser industry seeks uniform 5% GST ahead of upcoming Budget

How better training can improve clinical readiness

Structured mentorship and simulation-based learning are increasingly seen as critical to preparing young doctors for real-world practice. Medical education studies suggest that simulation-based training can reduce clinical errors by 20 to 40 per cent, while significantly improving procedural skills and clinical decision-making.

 

However, access remains limited. A study published in Archives of Pathology and Laboratory Medicine found that only 198 accredited laboratory and simulation facilities are available across 555 government medical colleges in India.

 

“Continuous faculty training does not just improve technical skills,” Dr Kapasi explains. “It strengthens ethical judgement, communication and confidence — qualities that matter deeply in patient care.”

Budget reforms to help future-proof medical education

Health policy experts recommend that 10 to 15 per cent of medical education funding be earmarked specifically for:

• Hiring and retaining qualified faculty
• Building simulation and skills labs
• Continuous professional development

 

While the National Medical Commission has announced plans to add 75,000 new medical seats over the next five years, experts caution against expanding capacity without parallel investment in teachers.

 

“If seat expansion is not linked to faculty development, India risks producing graduates who are undertrained for complex clinical environments,” Dr Kapasi warns.

Strengthening infrastructure beyond metros

Industry leaders echo the need for a more balanced approach.

 

Aman Puri, founder of Steadfast Nutrition, highlights that a majority of India’s population lives in rural areas and smaller cities, where public medical infrastructure remains inadequate. “Healthcare professionals are in short supply, and ratios of doctors, nurses and beds remain poor. Increasing healthcare expenditure as a percentage of GDP is no longer optional,” he says.

 

As Budget 2026 approaches, experts agree on one thing - India’s healthcare ambitions depend not just on producing more doctors, but on training them well. Investing in medical teachers today may be the most cost-effective way to secure a healthier future tomorrow.   

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This report is for informational purposes only and is not a substitute for professional medical advice.