Health takes centre stage, finally

By Suneeta Reddy

This Budget confirms the government’s big and bold vision for India’s healthcare needs. It is acknowledgement of the fact that only a healthy India can become the world’s fifth largest economy. Three steps announced in the Budget need to be unreservedly applauded.

1) World’s largest healthcare scheme: It is indeed heartening that 40 per cent of India’s population will be covered under this insurance scheme. The payor problem demanded urgent attention and the government has paid heed. If the Flagship National Health Protection Scheme to cover 10 crore poor and vulnerable families with up to Rs 5 lakh per family per year for secondary and tertiary care hospitalisation is properly implemented and monitored, we would have taken an important step in creating a Swasth Bharat.


Effectively this initiative which amounts to $800 billion tops even the US’ Medicaid programme which amounts to $550 billion. Now is the time for the private sector to partner with the government in building an economically viable product.

2) The intention to upgrade 24 district hospitals into new government medical colleges and the announcement to spend Rs 1,200 crore to set up 1.5 lakh health and wellness centres providing comprehensive healthcare - NCDs, maternal and child services, free drugs and diagnostics, will strengthen healthcare substantially.

One of the biggest challenges that hampers India’s growth is of skilled manpower. Medical education most certainly needs a fillip, for the country to align itself to the healthcare needs of tomorrow. Upgrading existing district hospitals in the country to create 24 new government hospitals is a welcome step. This would ensure that there is at least one medical college for every three parliamentary constituencies and at least one government medical college in each state of the country.

3) The standard deduction of Rs 40,000 for salaried employees and pensioners in lieu of transport and medical expenses will provide welcome relief. The increase in deduction for health insurance premiums and critical illnesses for senior citizens shows that the government has taken cognisance of the needs of an ageing population.

We see a new era in healthcare and we are greatly excited with the possibilities this presents.

(Suneeta Reddy is Managing Director at Apollo Hospitals. Views are personal)