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Assam Cabinet clears ₹1,650 crore for schools, medical college

The Assam Cabinet has approved over Rs 1,650 crore for a new Guwahati medical college and 100 schools, underlining the government’s renewed focus on healthcare and education infrastructure.

News Arena Network - Guwahati - UPDATED: January 2, 2026, 02:59 PM - 2 min read

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The Assam Cabinet on January 1 approved capital expenditure exceeding Rs 1,650 crore for education and healthcare, clearing major investments for a new medical college in Guwahati and the construction of 100 schools across the state.

 

The Council of Ministers sanctioned Rs 1,201.16 crore for setting up a medical college anchored around Mahendra Mohan Choudhury Hospital, alongside the development of the Kalapahar campus in Guwahati. The project is intended to significantly augment tertiary healthcare capacity in the state capital while addressing the growing demand for undergraduate and postgraduate medical education.

 

The proposed institution is expected to ease pressure on existing government medical colleges in Assam and strengthen referral services for patients from lower Assam districts, many of whom currently travel long distances for specialised treatment.

 

In a parallel decision, the Cabinet approved Rs 455 crore for the construction of 100 schools across Assam, aimed at strengthening basic education infrastructure. The initiative is designed to improve access to quality schooling in rural, remote and underserved regions, while addressing classroom shortages and ageing infrastructure.

 

The approvals come as part of the state government’s sustained push to expand public sector investment in social infrastructure. Over the past few years, Assam has focused on increasing the number of medical colleges, district hospitals and educational institutions as part of a broader strategy to improve human development indicators and reduce dependence on facilities outside the state.

 

Also read: Assam govt rolls out student aid, Bihu gift scheme

 

The Guwahati medical college project builds on earlier healthcare initiatives, including the upgrading of district hospitals into teaching institutions and the expansion of specialised services in government-run facilities. The state has also invested in new nursing colleges and paramedical institutes to address workforce shortages in the healthcare sector.

 

Similarly, the schools initiative follows recent Cabinet decisions to modernise classrooms, strengthen teacher recruitment and introduce digital learning facilities in government schools. Education officials have repeatedly underlined the need for improved physical infrastructure to support enrolment growth and reduce dropout rates, particularly at the secondary level.

 

Thursday’s meeting marked the first Cabinet sitting of the New Year, signalling the government’s intention to prioritise health and education spending in 2026. The decisions are expected to have a long-term impact on service delivery, particularly in fast-growing urban centres such as Guwahati and in rural districts with limited access to public facilities.

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