National Medical Commission Clears For-Profit Medical Colleges Under PPP

In a major move to boost medical education in India , the National Medical Commission (NMC) has decided to allow private, for-profit companies to set up medical colleges under the Public-Private Partnership (PPP) model .

Previously, only charitable trusts and non-profit organisations registered under Section 8 of the Companies Act were eligible to establish medical colleges. According to the NMC, these restrictions limited private investment and slowed the growth of medical education infrastructure. The latest decision removes these barriers, enabling corporate entities to participate in the sector.

The announcement was made b y NMC Chairman Dr Abhijit Chandra Kant Sheth during a meeting at Dr NTR University of Health Sciences , Vijayawada . He said the new policy is expected to help increase the number of medical colleges and seats across the country by attracting greater private participation.

Dr Sheth said the PPP model would allow governments to collaborate with both non-profit institutions and private companies to run medical colleges. He pointed out that similar models have already been implemented successfully in states such as Gujarat . However, he clarified that state governments would have full authority to decide whether or not to adopt the PPP approach.

Later, the NMC chairman met Andhra Pradesh Chief Minister N Chandrababu Naidu to discuss plans for expanding medical education and upgrading teaching hospitals in the state. He said partnerships between government hospitals and private institutions could improve patient care by offering better free or subsidised treatment.

Dr Sheth also said that the NMC would continue to strictly monitor quality standards through accreditation and regulatory mechanisms. He added that the Commission is considering the inclusion of clinical research, artificial intelligence (AI), and digital healthcare in the medical curriculum to prepare students for future healthcare needs.