₹10,000 crore allocated for public health insurance scheme: Nadda
India has allocated ₹10,000 crore for its public health programme aimed at providing insurance cover to about half the population, Union health minister JP Nadda said on Thursday, labelling it the largest such scheme in the world.
Prime Minister Narendra Modi’s government, which has dubbed the scheme “Modicare”, announced during the Union Budget in February the programme would provide 10 crore families, or about 50 crore poor people, with a health cover of ₹5 lakh per year for treatment of serious ailments.
The budget had made an allocation of ₹2,000 crore for the scheme for 2018-19, but officials had said more funds would be made available as the programme was rolled out.
“It’s a historic step and a bold decision. It will be the largest public funded health protection scheme in the world,” Nadda said at a news briefing.
The measures are PM Modi’s latest attempt to reform a public health system that faces a shortage of hospitals and doctors.
The government has also in recent years capped prices of critical drugs and medical devices and increased health funding.
Still, India spends only about 1% of its GDP on public health, among the world’s lowest, and the health ministry estimates such funding leads to “catastrophic” expenses that push 7 % of the population into poverty each year.
“This will give underprivileged families the financial support required when faced with illnesses requiring hospitalization,” Nadda said.
NEW DELHI: This will give underprivileged families the financial support required when faced with illnesses requiring hospitalisation. JP NADDA, Union health minister