Pakistan’s medical education regulators and private sector representatives have agreed to put a hard ceiling on how much profit private medical and dental colleges can make, fixing the maximum permissible profit at 20 percent of revenue under a new fee framework.
The agreement was reached between the Pakistan Medical and Dental Council (PMDC) and the Pakistan Association of Private Medical and Dental Institutions (PAMI) as part of a broader settlement to regulate tuition fees for MBBS and BDS programs.
Under the arrangement, annual tuition has been capped at Rs. 1.8 million, and private institutions will not be allowed to charge more than this amount without formal approval.
For the 2025–26 session, colleges can raise tuition by up to 5 percent, while future revisions will be tied to the Consumer Price Index (CPI).
The deal was finalized after deliberations by a committee chaired by the Deputy Prime Minister, which reviewed the fee rationalization exercise carried out by PMDC.
The process included scrutiny of audited financial statements, cost-per-student data, stakeholder input, and legal review, before reaffirming the tuition cap and the associated regulatory framework.
Importantly, the cap applies to tuition and excludes additional charges such as examination fees, university fees, hostel charges, and transport costs, as well as certain mandatory payments linked to regulatory and registration requirements.
The agreement also sets out a pathway for institutions seeking higher fees. Colleges may apply to PMDC for a conditional increase beyond Rs. 1.8 million up to a maximum of Rs. 2.5 million, but the request must be supported by audited accounts.
The document states that bank statements or tax returns are not required for this specific purpose. It also adds that any disputes related to fee determinations will be addressed by a fee committee that includes PAMI representation, with the committee’s decision treated as final.
To strengthen enforcement, the agreement notes that any tuition charged above the cap without approval will be considered unauthorized and can lead to regulatory action.
Following the reaffirmation of the cap and the enforcement mechanism, PAMI has agreed to withdraw its petition pending before the Islamabad High Court.
PMDC, meanwhile, will continue to implement the tuition ceiling and ensure compliance across private medical and dental institutions, with both sides framing the move as a step toward protecting students while maintaining transparency and accountability in medical and dental education.

The hard truth.
UK is making laws to limit Entry of IMGs in their teaching hospitals due to excess of IMGs in the system.
USA is very expensive and very competitive.
Pakistan has poor masses who barely afford to visit private hospitals. For the rich people there are already enough hospitals.
Overall growth in Pakistan is 2% annually and it cannot support new ventures. You are buying an expensive degree like opening 5 star hotel in a poor lacality where finding a customer is a hard job.
My advice is do only private MBBS if you can afford it 4 times.
Selling property to pay the fees is no longer beneficial and may actually be real loss.😅😅😝
cap applies to TUITION
Additional charges such as examination fees, university fees, hostel charges, and transport costs, as well as certain mandatory payments linked to regulatory and registration requirements can be charged as high as colleges want
In conclusion nothing changed.