Corporate Medical Colleges: Govt Proposal falls flat, finds no takers till now

New Delhi: The corporate league seems to have done a hands up on investing in starting of new medical college projects with the government's announcement of admissions being restricted to qualifying of the National Eligibility Entrance Test (NEET) by students. Despite the Health Ministry having eased norms of starting a medical college through non profit making trusts, it has yet to receive a response from corporate houses. The last date of application for opening a medical college stands as 7th July

The idea behind the government easing the non profit trust organizations being allowed to open medical colleges had been to initiate transparency in medical education, as a large number of corporate houses own medical colleges through their non profit making organizations. However, the introduction of NEET and subsequent fixation of fees seems to be acting as a deterrent for many to start a medical college.

"As every medical college has to admit only NEET qualified students, there is no scope for profit-making corporate houses to admit students by charging 'exploitative' capitation fee. When the clause was eased, it was seen as a 'business opportunity' for corporate establishments and anticipating no great financial returns, they might have thought to do away with their plans," a ministry official told Millenium Post.

The official went on to confirm that uptil now, the Health Ministry has not received even a single proposal from the corporate houses of the country.

"As of now, no such proposal has come from any corporate houses, but we will wait until July 7 to make it official as it is the last date to apply for opening a medical college by business establishments," the official added.

The relaxation in norms of setting up medical college was brought about to combat doctor shortage in the country and attract big business houses to make investments in starting of new medial colleges. Medical Dialogues had reported last year that Private for-profit Companies were given permission to apply for opening medical colleges across the country, after the General Body of Medical Council of India has passed a resolution, permitting the same

Read more at Medical Dialogues: MCI gives a go ahead to Corporate Medical Colleges

The daily adds that currently, out of the 466 medical colleges in the country, presently, 300 colleges are run by private investors. These make available 64,670 seats as against the required 1 lakh medical practitioners per year. The country is faces a paucity of about 6 lakh doctors.