The Union Cabinet has approved establishment of two new All India Institute of Medical Sciences (AIIMS) at Madurai, Tamil Nadu at a cost of Rs 1,264 crore and Bibinagar, Telangana at a cost of Rs 1,028 crore.  The AIIMS will be set up under Pradhan MantriSwasthya Suraksha Yojana (PMSSY).

Setting up of new AIIMS would not only transform health education and training but also address the shortfall of health care professionals in the region. The establishment of new AIIMS will serve the dual purpose of providing super-specialty health care to the population while also help create a large pool of doctors and other health workers in this region that can be available for primary and secondary level institutions / facilities being created under National Health Mission (NHM).

Construction of new AIIMS is fully funded by the Central Government. The proposed institution shall have a hospital with capacity of 750 beds which will include Emergency / Trauma Beds, AYUSH Beds, Private Beds and ICU Specialty and Super Specialty beds.