In September, 1968 the permanent building of the Gauhati Medical College under process of construction was inaugurated by the then Governor of Assam Mr. B.K.Nehru. On 20th September,1968 the then Chief Minister of Assam Mr. B.P. Chaliha laid the foundation stone of the hospital by the side of the college main building at Narakachal hill. The then Medical Minister Mr. Chatrasing Teron hoisted a flag in the permanent hospital site. However, this construction had to be abandoned because of the presence of large rocks. As stone breaking and clearing would incur massive expenditure the State Govt. decided to shift the hospital construction to the foot hill of Narakachal. The foundation stone was laid down on 15th August, 1975 by Shri Sarat Ch.Sinha, the then Chief Minister of Assam. National Building Construction Corporation (NBCC) was entrusted with the responsibility for construction of the hospital building. The new hospital at its permanent site at the Narakachal foot hill started functioning since 1984.

The Gauhati Medical College was inspected by Medical Council of India on every first examination of the first batch, that is, the first, second and final MBBS held in 1962, 1964 and 1965 respectively. There were inspections also by the Gauhati University, to which GMC is affiliated, in 1961, 1964 and 1968. Dr. C.S. Patel, President of the Medical Council of India inspected the GMC from 15th to 18th March, 1966. He was so impressed with the progress of the Institution and permitted to start Post Graduate courses in GMC. In February, 1969 Post Graduate started in Anatomy, Physiology, Biochemistry, Pathology, Pharmacology, Community Medicine, Medicine, Surgery, Ophthalmology and Otorhinolaryngology. General Medical Council of U.K. recognized the bachelors degree of this college in 1969, thereby enabling the graduates to pursue higher studies in that country.