Keeping the focus on improving rural health care, Finance Minister P Chidambaram on Friday increased allocation for the National Rural Health Mission and provided more than Rs 500 crore (Rs 5 billion) for medical research in the country.

The total allocation for the health sector was increased from Rs 14,500 crore (Rs 145 billion) last year to Rs 16,968 crore (Rs 169.68 billion) this year.

The allocation for the National Rural Health Mission has been increased to Rs 12,050 crore (Rs 120.5 billion), Chidamabaram said while presenting the Budget.

"NRHM is the key instrument of intervention by the central government," he said.

The goal is to establish a fully functional community owned, decentralised health delivery system. A total of 462,000 Associated Social Health Activists and link workers have been trained and are in place, he said.

The finance minister further stated that the National Aids Control Organisation would be provided Rs 993 crore (Rs 9.93 billion). On the other hand an amount of Rs 1,042 crore (Rs 10.42 billion) will be provided for polio eradication programme in 2008-09.

A separate Rs 531.75 crore (Rs 5.32 billion) has been allocated for medical research.

Allocation for the Pulse Polio Immunication Programme was also increased to Rs 552.41 crore (Rs 5.52 billion).