Finance minister Nirmala Sitharaman on Saturday announced an outlay of about Rs 69,000 crore for the health sector in the 2020-2021 fiscal, with Rs 6,400 crore earmarked for the Centre’s flagship health insurance scheme, Prime Minister Jan Arogya Yojana (PMJAY).
While presenting the Union budget 2020-21 in the Parliament, Sitharaman said that presently, under PMJAY there are more than 20,000 empanelled hospitals.
Dr Sunil Rao, chief operating officer, Sahyadri Hospitals, Pune, said, “The increase in allocation is a welcome move. The finance minister announced that the expansion will be done by setting up more hospitals in the tier-II and III cities under the public-private-partnership (PPP) route. Proceeds from taxes on medical devices would be used for development of hospitals. The government will provide viability gap funding for the process. This will be a boon for patients in smaller cities and rural areas. This announcement will also help develop the much needed infrastructure in far-flung areas and encourage private participation.”
Dr Rajesh Kapse, chief executive officer, HV Desai Eye Hospital, said that the increase in allocation of healthcare budget will be beneficial to the people at large. “The expansion of Ayushman Bharat scheme will be a boon for the patients from the economically weaker sections of the society and will be a definite step in the direction of making health care accessible and equitable” he said.