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Exposing the mirage of ‘Modicare’: Jan Swasthya Abhiyan

Statement by JAN SWASTHYA ABHIYAN

The Union Budget 2018-19 makes tall claims, with no clear road map for the health sector, one that is sensitive to the needs of the poor and the vulnerable population of India.

The allocations for Ministry of Health and Family Welfare (MoHFW) (including for AYUSH) have increased from Budget Estimate of Rs. 50,281 crore in 2017-18 Rs. 56,226 crore in 2018-19.

However, from 2017-18 (Revised Estimate) the increase is much lower, a mere Rs. 1374 crore, or just about 2.5 percent. This is a decline in real terms if we account for inflation, and Union Budget allocations for the health sector have stagnated at 0.3 percent of Gross Domestic Product (GDP). The 2017 target of National Health Policy (NHP) is 2.5 percent of GDP as health expenditure by the Government (both Centre and States) by 2025. However, with central allocations stagnating at the current 0.3 percent of GDP, it would not be possible to achieve this target.

The ‘Modicare’ mirage

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