Finance Minister Nirmala Sitharaman, in her address to Parliament in her budget proposals for the fiscal year 2027, said these hubs will combine medical, educational and research facilities.
“The tourism sector has the potential to play a major role in creating employment, generating foreign exchange earnings and expanding the local economy,” Sitharaman said in her budget speech in Parliament on Sunday.
The proposed Regional Medical Hubs will mainly include AYUSH Centers and Medical Value Tourism Facilitation Centres, and provide infrastructure for diagnostics, aftercare and rehabilitation.
Besides medical tourism, the budget also outlined measures to strengthen the broader tourism ecosystem.
In this regard, Sitharaman proposed setting up a National Institute of Hospitality by upgrading the existing National Council for Hotel Management and Catering Technology.
The Budget proposes a plan to upskill 10,000 guides across 20 iconic tourist spots through a standardized, high-quality training of 12 weeks in a hybrid mode, in collaboration with an Indian Institute of Management.
In addition, a National Destination Digital Knowledge Grid will be established to digitally document all important places – cultural, spiritual and heritage.
Under the proposals, India will also develop environmentally sustainable trekking and hiking experiences. These include mountain trails in Himachal Pradesh, Uttarakhand and Jammu & Kashmir; Araku Valley in the Eastern Ghats; and Podhigai Malai in the Western Ghats.
Turtle trails will be developed along important nesting sites in coastal areas of Odisha, Karnataka and Kerala, while bird watching trails will be developed along Pulikat Lake in Andhra Pradesh and Tamil Nadu.
Under heritage and cultural tourism, the budget proposes to develop 15 archaeological sites, including Lothal, Dholavira, Rakhigarhi, Adichanallur, Sarnath, Hastinapur and Leh Palace, into vibrant, experiential cultural destinations.
Excavated landscapes will be opened to the public through curated walkways, and immersive storytelling skills and technologies will be introduced.
At the regional level, Sitharaman proposed the establishment of five tourist destinations in the five Purvodaya states.
In the northeastern region, she proposed launching a Buddhist circuit development plan, covering the preservation of temples and monasteries, pilgrim interpretation centers, connectivity and pilgrim facilities.
Budgetary allocation
The demands for grants from the Ministry of Tourism in the budget estimates for the financial year 2026-2027 showed that the allocation for tourism infrastructure, including Swadesh Darshan and Pilgrimage Rejuvenation and Spiritual, Heritage Augmentation Drive, was placed at ₹ 2,236.50 crore, compared to ₹ 2,230.03 crore in the budget estimates for the financial year. 2025-2026.
As per the grant requirements, the total budgetary allocation of the Ministry of Tourism in BE FY27 was estimated at ₹2,438.40 crore, compared to ₹2,541.06 crore in BE FY26.
Published on February 1, 2026
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