NITI Aayog has recommended introducing interstate licence portability for healthcare professionals, which could enable doctors, nurses and allied health workers registered in one state to practise in another without undergoing repeated registration procedures or securing No Objection Certificates (NOCs).
In its report, India’s Services Sector: Insights on Regulatory Regime in Professional Services, NITI Aayog proposed creating a national licence registry backed by Mutual Recognition Agreements (MRAs) between state councils. Such a framework would allow state councils to recognise registrations issued by one another, reducing duplication and making professional mobility easier.
The report suggested an automatic approval mechanism to simplify licensing across states. At present, registration is largely managed by state medical, nursing and allied healthcare councils, while national regulatory bodies focus on oversight and standard-setting. A unified system for interstate licence portability, however, is still not in place.
NITI Aayog highlighted Maharashtra as an example of the current challenges, where doctors registered in other states may have to submit a fresh application and obtain an NOC from their original state council before practising.
According to the report, such administrative barriers restrict workforce mobility and flexibility, potentially affecting healthcare access in areas facing shortages of medical and allied health professionals.
The think tank also recommended faster implementation of the National Exit Test (NExT) to establish a standardised assessment of medical graduates and create a transparent, merit-based licensing system. It said NExT could also enhance the recognition of Indian medical graduates in India and abroad.
NITI Aayog further called for the complete implementation of the National Commission for Allied and Healthcare Professions Act, 2021. It noted that implementation at the state level remains incomplete, with only 26 states and Union Territories having constituted the required State Allied and Healthcare Councils as of 2025.
The report also recommended pursuing MRAs with other countries to support the international mobility of healthcare professionals and simplifying licensing procedures for qualified overseas practitioners.