In medical image processing, magnetic resonance imaging (MRI) and computed tomography (CT) modalities are widely used to extract soft and hard tissue information, respectively. However, with the help of a single modality, it is very challenging to extract the required pathological features to identify suspicious tissue details. Several medical image fusion methods have attempted to combine complementary information from MRI and CT to address the issue mentioned earlier over the past few decades. However, existing methods have their advantages and drawbacks. In this work, we propose a new multimodal medical image fusion approach based on variational mode decomposition (VMD) and local energy maxima (LEM). With the help of VMD, we decompose source images into several intrinsic mode functions (IMFs) to effectively extract edge details by avoiding boundary distortions. LEM is employed to carefully combine the IMFs based on the local information, which plays a crucial role in the fused image quality by preserving the appropriate spatial information. The proposed method’s performance is evaluated using various subjective and objective measures. The experimental analysis shows that the proposed method gives promising results compared to other existing and well-received fusion methods.