Lok Sabha Question No. 3444 (UNSTARRED), answered on 2022-08-05
Subject: Health Expenditure
Ministry: HEALTH AND FAMILY WELFARE
Asked by: T.R.V.S. Ramesh, Bhartruhari Mahtab, Shyam Yadav Singh

## GOVERNMENT OF INDIA MINISTRY OF HEALTH AND FAMILY WELFARE DEPARTMENT OF HEALTH AND FAMILY WELFARE

## LOK SABHA UNSTARRED QUESTION NO.  3444 TO BE ANSWERED ON 05 TH AUGUST, 2022

## HEALTH EXPENDITURE

## 3444: SHRI T.R.V.S. RAMESH: SHRI BHARTRUHARI MAHTAB: SHRI SHYAM SINGH YADAV:

Will the Minister of HEALTH AND FAMILY WELFARE be pleased to state:

- (a) whether the National Health Policy 2017 envisaged that the health expenditure by the Union Government would go up to 2.5 per cent of GDP by 2025 and if so, the details thereof;
- (b) the details of health expenditure as a percentage of GDP during each of the last three years and the current year;
- (c) whether as per the Economic Survey 2020-21, increased public health spending can reduce out of pocket expenditure from 65 per cent to 35 percent and if so, the details thereof;
- (d) whether out-of-pocket expenditure on health in the country is one of the highest across the world  and  if  so,  the  details  thereof  along  with  details  of  necessary  steps  taken  by  the Government to bring down out-of- pocket expenditure on health in the country; and
- (e) whether the Government proposes to increase spending on health in order to meet its targets and if so, the details thereof?

## ANSWER THE MINISTER OF STATE IN THE MINISTRY OF HEALTH AND FAMILY WELFARE (DR. BHARATI PRAVIN PAWAR)

(a)  to (e): The National Health Policy (NHP) formulated in 2017 envisages to provide universal access to good quality healthcare services through increasing access, increasing affordability by lowering the cost of healthcare delivery and equity. The policy envisages as its goal the attainment of the highest possible level of health and well-being for all at all ages, through a preventive and promotive  healthcare  orientation  in  all  developmental  policies,  and  universal  access  to  good quality  healthcare  services  without  anyone  having  to  face  financial  hardship  as  a  consequence. The NHP also envisages raising health expenditure by Government to 2.5% of GDP by 2025.

As per the National Health Account (NHA)  Estimates, the Government Health Expenditure (GHE) as % of GDP is as under:

| Year    | GHE as %of GDP   |
|---------|------------------|
| 2013-14 | 1.15%            |
| 2014-15 | 1.13%            |
| 2015-16 | 1.18%            |
| 2016-17 | 1.20%            |
| 2017-18 | 1.35%            |

According to NHA estimates for India for 2017-18, the Out of pocket expenditure (OOPE) as percentage of Total Health Expenditure (THE) is 48.8%. OOPE on health as percentage of THE in  the  country  for  the  years  2015-16,  2016-17  and  2017-18  are  60.6%,  58.7  %.  and  48.8% respectively and therefore there is declining trend in OOPE as percentage of THE.

Department of Health & Family Welfare has been making consistent efforts to increase public health spending.  The budget allocation  for Department of Health  &  Family Welfare has increased significantly from Rs. 47,353 crore in 2017-18 (BE) to Rs. Rs.83,000 crores in 2022-23 (BE), which is an increase of 75.3%.

The Central Govt. has taken several initiatives for supplementing the efforts of the State for  providing  quality  and  affordable  healthcare  services  to  the  people.  Under  National  Health Mission,  financial  and  technical  support  is  provided  to  States/UTs  to  provide  accessible, affordable and quality healthcare, especially to the poor and vulnerable sections of the population, in both urban and rural areas.

The Government has launched four mission mode projects, namely PM-Ayushman Bharat Health  Infrastructure  Mission  (PM-ABHIM),  Ayushman  Bharat  Health  &  Wellness  Centres (ABHWCs), Pradhan Mantri Jan Arogya Yojana (PMJAY) and Ayushman Bharat Digital Mission (ABDM). PM-ABHIM, with an outlay of Rs. 64,180 crore, was launched to develop the capacities of  primary,  secondary,  and  tertiary  healthcare  systems,  strengthen  existing  national  institutions and create new institutions to cater to detection and cure of new and emerging  diseases. Under ABHWCs, Comprehensive Primary healthcare by strengthening Sub Health Centres (SHCs) and Primary Health Centres (PHCs) are facilitated.  PMJAY provides health coverage of Rs.5.00 lakh per family per year to around 10.74 crore poor and vulnerable families for secondary and tertiary care.  ABDM  is  aimed  at  developing  the  backbone  necessary  to  support  the  integrated  digital health infrastructure of the country.