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India's Health Budget 2026: A Biopharma Revolution
16 Feb
Summary
- Budget aims to transform India into a biologics and biosimilars hub.
- Biopharma SHAKTI initiative receives ₹10,000 crore over five years.
- Focus on preventive care, mental health, and emergency services.

Union Budget 2026 signals a major pivot in India's health policy, focusing on building a full stack for an innovation-led, patient-centered health economy. The government aims to elevate India from a generics-first market to a credible hub for biologics and biosimilars.
This strategic direction aligns with the growing burden of non-communicable diseases, which now account for over 57 percent of all deaths in India. The budget reinforces a shift towards prevention and early intervention, addressing lifestyle-driven health risks.
A headline announcement, Biopharma SHAKTI, with an outlay of ₹10,000 crore over five years, will enhance domestic manufacturing capabilities in the biopharma sector. This initiative seeks to move India up the pharmaceutical value chain towards complex therapies.
To improve service delivery, the budget proposes the establishment of NIMHANS-2 in North India and expands emergency and trauma care capacity. It also focuses on increasing the skilled health workforce by adding 100,000 Allied Health Professionals.
The budget reinforces India's integrative healthcare vision by establishing five Regional Medical Hubs and strengthening AYUSH, including new All India Institutes of Ayurveda and an enhanced WHO Global Traditional Medicine Centre.
If execution matches intent, patients can expect lower drug prices for select therapies, hospitals improved operating performance, and India can become a credible hub for innovation and advanced healthcare delivery, contributing to a healthier and more resilient nation.




