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Healthcare Sector in India

Healthcare sector in India is expected to grow to reach a size of $50 billion by 2025- Government .

How much does India spend on healthcare?
  • In 2020-21, India spent 1.8% of its gross domestic product (GDP) on healthcare.
  • With ‘health and well-being’ one of the six pillars of the Union Budget 2021-22,the government has committed approximately 2.5-3% of GDP now.
  • Data shows that India has 1.4 beds per 1,000 people, 1 doctor per 1,445 people, and 1.7 nurses per 1,000 people.
  • According to the World Health Organization (WHO), India ranks 184 out of 191 countries in health spending.
  • The US spends over 16% of its total GDP on healthcare, while Japan, Canada, Germany etc. spend over 10% of their GDP on healthcare.
Challenges associated with India’s healthcare sector:
  • Low Budget Spending: India’s public expenditure on healthcare is only 2.1% of GDP in 2021-22 while Japan, Canada and France spend about 10% of their GDP on public healthcare.
  • Unequal distribution: India’s health care system is concentrated in urban areas with very little presence in the rural areas where majority of the population lives.
  • Lack of Medical Research: In India, R&D and cutting-edge technology-led new projects receive little attention.
  • Low doctor-patient ratio: The doctor patient ratio in India is about 1:1500 much higher than the WHO norm of one doctor for every 1,000 people.
  • Lack of Affordability: The contribution of private sector in healthcare expenditure in India is around 80 percent while the rest 20 percent is contributed by Public Sector.
    • The private sector also provides for 58 percent of the hospitals and 81 percent of the doctors in India.
Measures required in Health Sector
  • Improving infrastructure: There is an urgent need to improve the infrastructure of public hospitals, which are overburden as a result of India’s large population.
  • Focus on private hospitals: The government should encourage private hospitals because they make a significant contribution.
    • Because the difficulties are severe and cannot be tackle just by the government, the private sector must also engage.
  • Increased efficiency: To improve the sector’s capabilities and efficiency, more medical personnel must be hired.
  • Utilization of technology: In order to connect the dots in the health system, technology must be used.
    • Medical gadgets in hospitals and clinics, mobile health apps, wearables, and sensors are only a few examples of technology that should be include in this area.
  • Awareness: People should be made aware of the importance of early detection and prevention. It would also assist them in reducing their out-of-pocket expenses.
Govt of India Initiatives to improve healthcare sector in the country:
  • Pradhan Mantri-Ayushman Bharat Health Infrastructure Mission (PM-ABHIM): it aims to strengthen India’s health infrastructure and improve the country’s primary, secondary and tertiary care services.
  • Ayushman Bharat : Follows a two- pronged approach by Creation of health and wellness centres to bring health care closer to homes.
  • formulation of a Pradhan Mantri Jan Arogya Yojana (PMJAY) to protect poor and vulnerable families against financial risk arising out of health episodes.
  • Ayushman Bharat Digital Mission: aims to connect the digital health solutions of hospitals across the country. Under this, every citizen will now get a digital health ID and their health record will be digitally protect.
  • National Ayush Mission: it is a centrally sponsored scheme for the  development of traditional medicines
  • Pradhan Mantri Swasthya Suraksha Yojana (PMSSY):aims to correct regional imbalances in the availability of affordable/reliable tertiary healthcare services and also to augment facilities for quality medical education in the country.

Also read : Janani Suraksha Yojana

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