Scott Morrison's government has set aside $331 million in Tuesday's federal budget for new and revised listings on the Pharmaceutical Benefits Scheme.
Being listed on the scheme means drugs are subsidised by the federal government.
Treasurer Josh Frydenberg says medications for kidney, bladder, liver and skin cancer are among those to be listed in the coming years.
A drug for people with acute leukaemia - Besponsa - will be subsidised from the start of May.
That means people who use it will pay as little as $6.50 per script, compared to $120,000 a course.
The subsidies are among a series of healthcare spends in the budget, as health shapes up as a key battleground for the next federal election due in just weeks.
The government is also spending $461 on a youth mental health and suicide prevention strategy.
"It is a nation tragedy that we lose so many people to suicide and that so many people live a life of quiet desperation," Treasurer Josh Frydenberg has told parliament.
The plan will include 30 new headspace centres, which provide support to struggling young people.
But a health measure is also one of the budget's biggest savings.
The government expects to save the budget $296 million over four years by expanding a scheme aimed at getting more doctors to rural and regional areas where they are needed.
The savings are set to come through efficiencies, with the cash to be reinvested into other health initiatives.
