Among the key reforms introduced in Budget 2026, union finance minister Nirmala Sitharaman has stated the government will be working to launch another site for the National Institute of Mental Health and Neuro Sciences in North India.
This move, as per Sitharaman, comes due to the lack of mental health institutions in North India. Follow LIVE updates here
Along with NIMHANS 2, the government will also be upgrading the National Mental Health Institutes in Ranchi and Tezpur.
As per Dr. Rashmi Ardey, Director Programme (Health) at Smile Foundation, the Union Budget 2026-27 “reinforces a people-first healthcare agenda rooted in capacity building and last-mile delivery.”
“The focus on expanding the allied health workforce, targeting 100,000 professionals over five years, along with training 1.5 lakh caregivers under NSQF-aligned pathways, and the 50% expansion of district Emergency and Trauma Care Centres, including through NIMHANS-2 and upgraded mental health institutes, is timely. Translating these reforms into outcomes will require strong community mobilisation and grassroots engagement. We look forward to support such initiatives in order to deliver measurable health gains for families and communities,” she added.
Mental health, social media addiction get mention in ES 2026-27
In the Economic Survey 2026, which was presented earlier this week, mental health was flagged as a major issue, imposing a direct challenge on India's public health.
{{/usCountry}}In the Economic Survey 2026, which was presented earlier this week, mental health was flagged as a major issue, imposing a direct challenge on India's public health.
{{/usCountry}}The Economic Survey also noted a high prevalence of social media addiction among the age group of 15–24 year old.
Citing multiple studies, the survey noted a rise in anxiety, depression, low self-esteem and cyberbullying-related stress.
The survey also emphasised on growing digital addiction among children and adolescents. Rising screen time, it said, has been affecting academic performance, productivity and sleep, and also eroding social connections.
What is NIMHANS?
The National Institute of Mental Health and Neuro-Sciences (NIMHANS) is a medical institution in Bengaluru. Since its foundation, NIMHANS has served as the apex centre for mental health education and neuroscience research in India.
Initially started as the Bangalore Lunatic Asylum in 1847, the institution underwent changes in 1925 and was renamed Government Mental Hospital.
In 1974, the institution was established as NIMHANS and was brought under the wing of the Ministry of Health and Family Welfare.