Multimodal AI has demonstrated superior performance over unimodal approaches by leveraging diverse data sources for more comprehensive analysis. However, applying this effectiveness in healthcare is challenging due to the limited availability of public datasets. Federated learning presents an exciting solution, allowing the use of extensive databases from hospitals and health centers without centralizing sensitive data, thus maintaining privacy and security. Yet, research in multimodal federated learning, particularly in scenarios with missing modalities a common issue in healthcare datasets remains scarce, highlighting a critical area for future exploration. Toward this, we propose a novel method for multimodal federated learning with missing modalities. Our contribution lies in a novel cross-modal data augmentation by retrieval, leveraging the small publicly available dataset to fill the missing modalities in the clients. Our method learns the parameters in a federated manner, ensuring privacy protection and improving performance in multiple challenging multimodal benchmarks in the medical domain, surpassing several competitive baselines. Code Available: https://github.com/bhattarailab/CAR-MFL
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