Large investors in healthcare could affect affordability: CPI(M)'s Shailaja

The Left Democratic Front (LDF) will prioritise expanding public healthcare access if it retains power in Kerala after the April 9 assembly election, CPI(M) leader and former health minister KK Shailaja said.

The LDF, which is seeking a third consecutive term that would be unprecedented in the state’s history, would build on interventions made during its previous tenures, said Shailaja, the Left Front candidate for Peravoor constituency in Kannur district.

"We focused on improving the public health sector, creating 13,000 posts between 2016 and 2020, upgrading infrastructure, and converting primary health centres into family health centres," she told ET while on campaign trail. "The idea was to make advanced facilities available to common people."


Kerala's public healthcare utilisation has risen significantly over the past decade, with estimates suggesting an increase from roughly one-third of the population in 2016 to over 40% now, she said. While this signals improved trust in government facilities, it has stretched capacity, making further investment a political and administrative priority.

Shailaja said the next phase would involve addressing staffing shortages and streamlining referrals, with minor ailments treated at lower-tier facilities while medical colleges focus on specialised care and research.

She also flagged emerging risks from the private healthcare ecosystem, particularly the increasing presence of global investment firms such as Blackstone and KKR in hospital chains.

PE firms—typically high-risk, high-return investors—have invested nearly $700 million in Kerala’s healthcare space over the last few years.

"When large investors enter, there is a concern that affordability will be impacted over time," said Shailaja, who was the state health minister from 2016 to 2021. “Access to subsidised care may reduce, and it could become restricted to wealthier sections,” she said, adding that broader regulatory oversight from the Centre would be crucial.

Often referred to as the architect of Kerala’s Covid response that was highly effective during the first wave, Shailaja is pitted in a tight contest in Peravoor, where her main opponent is state Congress president and three-time MLA Sunny Joseph. She was the last LDF candidate to win the seat, in 2006, before losing it to Joseph five years later.

She won the 2021 assembly election from Mattannur, also in Kannur district, with a majority of more than 60,000 votes. The CPI(M) shifted her this time to a tougher constituency, saying she could defeat the state Congress chief.

While the 69-year-old is a popular candidate, her defeat in the 2024 Lok Sabha elections to Congress' Shafi Parambil in Vadakara by over 100,000 votes, possible anti-incumbency against the LDF and a strong opponent in Joseph have added to the perception that it would be a tough fight for her this time.

In the constituency, Shailaja refers to gaps in regional development, from lack of sports infrastructure to underutilised tourism potential, as part of a broader campaign narrative linking local aspirations with state-level policy priorities.

Suresh PP (45), who works at a clothing store in Peravoor’s Iritty, a hill town about 40 km from Kannur, said anti-incumbency sentiment favouring the UDF has improved Sunny’s prospects, with many voters seeing him as a likely ministerial face from the region if the alliance comes to power.