Health Spending In 2018 Budget May Hike By 11% In New Budget
The budget may bring in more funds for the health sector, expects health minister JP Nadda.
This budget India can expect more from the government. Though JP Nadda feels that a minimum investment of 10 billion dollars is required to boost up the sector, the realistic scenario is the medical sector can expect a funding of around 8.2 billion dollars. As per reliable sources and documents, though the government rejected the Minister’s suggestion of large amount of investment for disease control, it is actually increasing its investment in the sector by 11%.
Prime Minister Narendra Modi had committed last year to increase the overall investment in the health sector to 2.5% by 2025; the present the rate stands at 1.15%, which is one of the lowest proportions as per the global scenario. With the present funding one of the officials of the ministry states that there is no use of putting such target which such less funding. Neither the finance ministry nor the health ministry made any comment on the investment made.
Shamika Ravi, a director at the Brookings India said that if the country fails to make enough investment in the health sector it can lead to low productivity and ultimately low GDP growth in the long run. She also advised the government to invest more in the health sector to be able to achieve its target by 2025.
Last year, as its effort to bring more transparency in the health sector and made health care readily available to the citizens the government had put capping on the price of some medical devices. This initiative had increased the screening of non-communicable diseases among the poorer sections of the society.
One of the officials went ahead to say that it was even difficult to get an approval of 11% and initially the finance ministry has allocated just a hike of 5% in the sector.