Government health spending at 1.4% of GDP, 80% shortfall in rural specialist doctors

The Standing Committee on Health and Family Welfare examined the adequacy, efficiency, and inclusiveness of India's healthcare system in both public and private sectors to address issues of affordability and accessibility for citizens.

Ministry of Health and Family Welfare; the general public, particularly those in rural areas, patients relying on private healthcare, and beneficiaries of government health schemes like AB-PMJAY.

• Committee flagged that government health expenditure of 1.4% of GDP is inadequate compared to the 2.5% target set by the National Health Policy, 2017, and recommended a time-bound roadmap to reach 2.5% and then 5% over five years.
• Committee noted that 30% of the demographic lacks structured financial health protection and recommended introducing a voluntary contributory insurance model for them.
• Committee recommended expanding Ayushman Bharat- Pradhan Mantri Jan Arogya Yojana (AB-PMJAY) coverage to include outpatient consultations, diagnostic tests, and medicines, and increasing the annual family coverage limit from Rs 5 lakh to Rs 10 lakh.
• Committee recommended establishing Jan Aushadhi Kendras (government-run generic medicine pharmacies) in all district hospitals, community health centres, and private hospitals under government schemes, and enforcing price controls on life-saving and over-the-counter drugs.
• Committee identified an imbalance in health allocations (51% to primary care vs. 28% secondary and 11% tertiary) and low public sector bed density (0.79 per 1,000 population), recommending expanded capital investment and a dedicated Healthcare Capital Expenditure Fund.
• Committee flagged over-commercialization and excessive billing in the private sector, recommending a legally binding framework to standardize rates for common procedures, essential treatments, and diagnostic tests, and mandating nationwide adoption of the Clinical Establishments Act, 2010.
• Committee noted an 80% shortfall of specialist physicians in rural community health centres despite a 151% increase in MBBS seats, and recommended a geographically responsive deployment policy and state-level Health Recruitment Boards.
• Committee identified gaps in neonatal and senior citizen care, recommending national policies for senior care, extending AB-PMJAY to all children under five, and mandating local governments to allocate a fixed budget percentage for senior citizen care.

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