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Tuesday, January 20, 2026 2:21 AM

NMC Clears Path for For-Profit Firms to Establish Medical Colleges

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The National Medical Commission (NMC) has officially revised its regulations to allow for-profit companies to set up medical colleges in India, marking a significant shift from the earlier framework that restricted such institutions to non-profit Section 8 companies.

Announcing the change, NMC Chairman Abhijat Chandrakant Sheth said the decision was taken at a recent board meeting and removes the clause that limited eligibility to non-profit entities. The revised policy now enables both non-profit and for-profit organisations to establish medical colleges, particularly under the Public-Private Partnership (PPP) model.

Speaking at a press briefing at Dr NTR University of Health Sciences in Vijayawada, Sheth said the move is intended to improve the utilisation of resources in medical education by encouraging collaboration between public authorities and private players. He added that PPP-based medical institutions are already functioning effectively in states such as Gujarat.

Sheth noted that while the PPP model will be implemented at the discretion of state governments, hospitals operating under such arrangements will remain under state oversight. As a result, patients will continue to receive treatment either free of cost or at subsidised rates.

To maintain academic and institutional standards, the NMC has developed its own accreditation framework and Standard Operating Procedures (SOPs). The commission’s broader objective, Sheth said, is to expand access to quality medical education for the general population while aligning with global benchmarks.

Highlighting ongoing reforms, he said the NMC is continuously updating its policies to reflect evolving needs in healthcare education. As part of these efforts, clinical research has been made mandatory, with increased emphasis on artificial intelligence, digital healthcare, and emerging medical technologies to future-proof medical training in India.

Source: PTI

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