Kerala Budget 2025: Health sector gets Rs 2,915 crore allocation, prioritizes cancer care

Thiruvananthapuram: In a move to boost healthcare services and improve access to treatment for its citizens, Kerala’s Finance Minister, KN Balagopal presented the state budget on Friday. The Kerala government has committed Rs. 2,915.49 crore for medical and public health services, reflecting an increase of Rs. 97.96 crore over the previous year. 

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A key initiative in the budget is the expansion of specialized treatment facilities. The state government plans to offer advanced care for non-communicable diseases such as hypertension, cardiac disorders, and strokes, particularly for patients from economically disadvantaged families.

A total of Rs.45 crore has been allocated for the establishment of CATH labs at medical colleges in Alappuzha, Kozhikode, and Ernakulam. Additionally, ₹10 crore will be spent on setting up a Cath Lab at the Heart Foundation in Trivandrum Medical College. Another ₹3 crore has been earmarked for upgrading Cath labs in major hospitals.

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Speaking to TNIE, Dr Rajeev Jayadevan, an Indian Medical Association representative, welcomed the emphasis on stroke units and cath labs. He said, “The focus of this budget is commendable. Prioritizing stroke units and cath labs is a valuable initiative that can save lives through early intervention. Allocating funds for ambulance operations will facilitate quicker and safer patient transfers.”

To further bolster cancer treatment infrastructure, the budget allocates Rs.152.5 crore for cancer detection and treatment. This includes Rs. 35 crore for the Malabar Cancer Centre, ₹18 crore for the Cochin Cancer Centre, Rs. 75 crore for the Regional Cancer Centre (RCC) in Thiruvananthapuram, and Rs. 24.5 crore for cancer treatment across government hospitals. Notably, ₹28 crore has been set aside for the construction of a 14-story building at the RCC, which will expand its capacity to provide comprehensive cancer care services.

A total of Rs. 23.30 crore has been allocated for establishing early cancer detection and treatment facilities, while an additional Rs. 22 crore from the RCC plan share is designated to offer advanced cancer care for women and children. Furthermore, ₹80 crore has been earmarked to fund the operational expenses of 335 advanced life-support '108' ambulances under the Kerala Emergency Medical Services Project.

One of the most ambitious announcements in the budget is the establishment of stroke care units across Kerala. With an increased allocation of Rs. 21 crore, stroke care units will be set up in major hospitals, including Ernakulam, Thrissur, and Kannur Medical Colleges, as well as several district-level hospitals. This initiative will make Kerala the first Indian state to have stroke care units in all district hospitals.

Speaking to TNIE, Dr Sunil P K, president of the Kerala Government Medical Officers’ Association said, “It is good that the state government has set aside funds for the development of dialysis units, stroke units, and palliative care grids at certain government hospitals. That can benefit the common people as they can seek treatment at these hospitals at a lower cost. Also, the priority given for early detection and treatment of cancer is appreciable and a need of the hour.”

Dialysis facilities are being further expanded, with Rs.13.98 crore allocated for the operation of 105 dialysis units under the Health Department. Kerala is working towards becoming the first Indian state to establish dialysis units in all district, general, and taluk headquarters hospitals.

Other Key Allocations In the Budget

According to the news reports, the Kerala government has also outlined several other important allocations:

• ₹12 crore for the prevention of communicable diseases

• ₹8 crore for setting up infertility clinics and modern laboratories in Women and Children hospitals

• ₹2.4 crore for newborn screening programs to diagnose inborn disorders like congenital hypothyroidism and G6PD deficiency

• ₹5 crore for NABL accreditation, ISO certification, and the first phase of the administrative block construction at the chemical examiner's laboratory

• ₹7.34 crore for the Thiruvananthapuram and Shornur centres of the Institute for Cognitive and Communicative Neuro Science (ICCONS)

• ₹25 crore as the state’s share for the PM Ayushman Bharat Health Infrastructure Mission (PM-ABHIM)

• ₹27.60 crore for the e-health program

• ₹50.93 crore for 130 hospitals, 818 dispensaries, and 24 sub-centres under the Department of Indian Systems of Medicine

• ₹15 crore for the National Ayush Mission and medicinal plants mission

• ₹43.72 crore for Ayurveda Medical Education schemes

• ₹2 crore for the International Ayurveda Research Institute

• ₹23.54 crore for the Homoeopathy Department

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Strengthening Health Insurance

The Karunya Aarogya Suraksha Padhathi (KASP), Kerala’s flagship health insurance scheme, remains central to the state's healthcare strategy. The scheme provides insurance coverage of up to Rs. 5 lakh per family for 41.99 lakh families in Kerala. The budget includes a provision of Rs. 700 crore for KASP, including sub-schemes like Aarogya Kiranam for free treatment of children under 18, Thalolam for children with life-threatening diseases, and Sruthi Tharangam for children with hearing impairments.