Despite tall claims, India’s per capita healthcare expenditure remains near-stagnant: Report

A latest analysis by a health accounting body has found that India’s per capita healthcare expenditure at constant prices has remained near-stagnant despite increases in government spending and decreases in household spending on healthcare over a six-year period,

The National Health Accounts (NHA) report has shown that out of every Rs 100 spent on health in India, around Rs 48.2 is borne by households directly. It has said that the amount spent is lower than what it was 15 years ago, but is still significantly higher than the global figure. The burden is twice as high in some states compared to others, shows an analysis of data from the National Health Accounts Estimates for India (2018-19) released on Monday, as media reports.

India’s per capita total healthcare expenditure has changed little over that period, rising from Rs 3,174 in 2013-14 to Rs 3,503 in 2016-17 and declining to Rs 3,314 in 2018-19. The total healthcare expenditure in terms of GDP declined from 4 per cent in 2013-14 to 3.2 per cent in 2018-19, shows the report released by the Union health ministry on Monday.

Current health expenditure covers hospital stays and cost of medicines. Capital health expenditure covers activities, including construction of new hospitals, purchase of equipment and expenditure on medical education. More than 90 per cent of the total health expenditure is current health expenditure, according to a Business Standard report.

As per the report, the government’s share of total health expenditure increased to 40.6 per cent in 2018-19 from 28.6 per cent in 2013-14. Its share of per capita health expenditure rose from Rs 1,042 to Rs 1,815.

“At constant prices, the country’s per capita healthcare expenditure is nearly the same, actually lower,” said Indrani Gupta, professor and specialist in health economics at the Institute of Economic Growth, New Delhi.

There are significant differences statewise. Uttar Pradesh (71.3 per cent), West Bengal (68.7 per cent) and Kerala (68.6 per cent) had people spending the most out of pocket as a percentage of total health expenditure. Some states had less than half this figure, reported the paper.

The NHA report provides detailed and disaggregated information on expenditure incurred within the health sector of a country. – INDIA NEWS STREAM