“ANALYSIS OF PUBLIC HEALTH SPENDING IN INDIA”

Syllabus:

  • GS-2 :Public health and expenditure by government . its impact and challenges therein. 

Focus :

  • This article critically examines the trends in public health spending in India, shedding light on recent increases attributed to the States rather than the Union government.
  • It analyzes the impact of the COVID-19 pandemic on spending patterns, explores shifts in resource allocation, and discusses the implications for healthcare infrastructure and services.
Source - Ministry of Health and family welfare

Introduction:

  • Historically low public spending on health in India.
  • Recent claims of an increase in spending, but the attribution to the Union government is debatable.
  • Overview of the data points to be discussed.

Current Scenario of Public Health Spending:

Historical Spending Trends:

  • India’s public health spending has traditionally remained around 1% of GDP.
  • Comparison with other countries shows India’s spending to be significantly lower.

Recent Increase in Spending:

  • Claims of India inching close to 2% of GDP spending on health care.
  • Much of the rise attributed to the States rather than the Centre.

Role of States vs. Union Government:

  • Post-pandemic, States have continued to increase spending, while the Centre’s spending has decreased.
  • Union Health Ministry transferring lower shares of resources to States.
  • Centre cutting the budget for the National Health Mission while disproportionately increasing spending on government-funded health insurance schemes.

Analysis of Per Capita Public Spending-Comparison with Other Countries:

  • Chart 1 illustrates per capita public spending on health in India compared to other nations.
  • Bhutan and Sri Lanka spending significantly more than India.
  • BRICS nations spending 14-15 times more than India.

Impact of COVID-19 Pandemic:

Increase in Spending During Pandemic:

  • Notable rise in public spending on health during the COVID-19 pandemic.
  • States and Union Territories sustaining the increase post-pandemic.

Resource Constraints and Commendable State Efforts:

  • Despite resource constraints, States have managed to sustain increased spending.
  • Recognition of the commendable efforts by States in this regard.

Decrease in Centre’s Spending Post-Pandemic:

  • Union government’s spending on health as a percentage of GDP decreasing post-pandemic.
  • Shift in focus observed towards other areas or schemes rather than core health expenditure.

Allocation and Utilization of Resources:

Changes in Resource Allocation:

  • Shift observed in resource allocation, with increased focus on health insurance schemes.
  • Reduction in budget allocation for core health missions.
AYUSHMAN BHARAT YOJANA:

  • Ayushman Bharat, launched in 2018, is one of the world’s largest government-funded healthcare schemes.
  • Aimed at providing health coverage to over 500 million vulnerable Indians, it comprises two main components: Health and Wellness Centers (HWCs) and Pradhan Mantri Jan Arogya Yojana (PMJAY).
  • Pradhan Mantri Jan Arogya Yojana (PMJAY):PMJAY, often referred to as the Ayushman Bharat National Health Protection Scheme, offers health insurance coverage to eligible beneficiaries.
  • It provides coverage of up to Rs. 5 lakh per family per year for secondary and tertiary care hospitalization across empaneled public and private hospitals.
  • Coverage and Eligibility:PMJAY covers a wide range of medical and surgical treatments, including pre-existing conditions.Eligibility is determined based on socio-economic factors, with families identified through the Socio-Economic Caste Census (SECC) data.
  • Expansion of Health and Wellness Centers (HWCs):Ayushman Bharat aims to establish 150,000 Health and Wellness Centers (HWCs) across the country by upgrading existing primary health centers and sub-centers.

Impact on Health Infrastructure:

  • Examination of the impact of altered resource allocation on health infrastructure and services.
  • Potential implications on healthcare accessibility and quality.

Need for Balanced Allocation:

  • Discussion on the importance of a balanced allocation of resources for comprehensive healthcare.
  • Emphasis on addressing both preventive and curative aspects of healthcare.

Conclusion:

  • Recap of key points regarding public health spending in India.
  • Recognition of the significant role played by States in increasing spending.
  • Call for a balanced approach in resource allocation to ensure effective healthcare delivery.

Source:The Hindu


Mains Practice Question :

GS-3

“Discuss the trends in public health spending in India, with a focus on recent changes post-COVID-19 pandemic. Evaluate the roles of the Union government and States in shaping these trends, and analyze the implications of altered resource allocation on healthcare infrastructure and services.” (250 words)