The state government had proposed 114 acres in Lalganj tehsil in Rae Bareli district but the central government asked for land in the town. Rae Bareli is the parliamentary constituency of Congress chief Sonia Gandhi.
The chief minister late Sunday gave an official nod for an AIIMS in Rae Bareli town, officials said.
At a recent meeting with the chief minister here, union Health Minister Ghulam Nabi Azad had requested Akhilesh Yadav to consider Rae Bareli town for the AIIMS campus.
The chief minister said the decision to allot land in the city was taken so that people don't face difficulties in reaching the institution.
The chief minister said that he had written to the union health and family welfare minister May 17, 2012 requesting him to also establish AIIMS campuses in Poorvanchal, Bundelkhand and Ruhelkhand regions.
He added that his government would allocate land on priority for setting up of more such institutes.