Chart of the Week: Will an increased budget priority translate to better healthcare in India?
Health industry players have been disappointed at the soft approach.
Healthcare has been an increasing priority for the Asian country, demonstrated by the rising coveraged it has received from the nation’s budget.
However, BMI Research said that while health industry stakeholders have welcomed the increased priority given to healthcare in the budget, they have criticised the lack of an integrated approach to tackle the growing healthcare crisis in the country.
BMI Research said this includes the rising incidence of non-communicable diseases, the woefully inadequate healthcare infrastructure in rural areas and the acute shortage of medical personnel.
“Given that the main thrust of the government's healthcare policy seems to be greater participation by the private sector, the industry had been hoping for more tax breaks and investment incentives,” BMI Research said.
Meanwhile, BMI Research said outstanding demands from the healthcare industry include exemption of healthcare services from general sales tax, an increase in tax holiday for establishing healthcare facilities from the current period of five to ten years in non-metros, an increase in tax exemption on preventive health checkups and the setting up of a healthcare infrastructure fund, as well as a medical innovation fund.