Big push for health in FY22 Budget: Official

Coming against the backdrop of Covid-19, the Budget for 2021-22 is likely to have a substantial increase in the allocation for health services and infrastructure.

Along with other stakeholders, the 15th Finance Commission is said to have suggested an enhanced expenditure on health to the government.

N K Singh, the Chairman of the 15th Finance Commission, which submitted the report to the government, has suggested the need for raising public spending on health infrastructure.

Days after submitting the report, Singh had suggested that the government’s endeavour should be to enhance public spending on health to 2.5% of the GDP from the current figure of less than 1%.

“The Budget will have a special focus on the infrastructure sector. Health infrastructure is top on the government’s mind. There would be a substantial increase. The government is pushing for a bigger public-private-partnership model for the health care sector,” an official told DH.

The official said the seriousness of the government towards healthcare can be gauged from the fact that it has made an off-budget announcement of Rs 900 crore to the Department of Biotechnology for Covid-19 vaccine research.

The cost of vaccine and distribution expenses will be made separately once the vaccine is available, the official said.

The Finance Commission’s report is yet to be made public. Finance Minister Nirmala Sitharaman is expected to present the report in Parliament along with the Budget.

Singh has also pitched for a larger private sector role in erecting a solid health infrastructure in the country.