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Expensive healthcare will drive more people into poverty
Expensive healthcare is a common problem, be it a developed or a developing nation. And India is certainly not an exception. The National Health Policy formed in 1983 during Indira Gandhi’s regime had committed to make health services available to all by 2000. But a successful healthcare system remains a distant dream even in 2010. This not only shows how poor India is when it comes to implementing policies, but also proves that India lacks commitments towards such issues. Ironically, our nation's failure in healthcare is becoming a costly affair for India's poor.
The World Health Organisation in a recent report revealed that “over 100 million people worldwide are plunged into poverty every year by illness or expensive medical bills.” With poor public healthcare system in 33 low or middle income nations, individuals pay 50 per cent of their total healthcare expenditure from their own income. However, it is the worst in India where individuals pay 75 per cent of the health spending from their own pockets. The rise in expenditure is creating more problems for the poor. As per a Planning Commission paper, the rising healthcare expense is a major reason behind driving people into poverty. As per the latest available data, around 39 million people plunged into poverty due to out-of-pocket payments for the expensive health care in 2004-05. Moreover, 20-40 per cent of money is spent on expensive but unnecessary drugs, hospital-related inefficiency and poor use of skilled professionals’ time.
Solutions? There is enough scope to increase public expenditure. Budget outlay for health care in the Union Budget 2010-11 has increased to $4.82 billion. UPA-1 promised to increase the public health spending up to 3 per cent of the GDP under the Common Minimum Programme. It remained abysmally low with 0.9 per cent compared to America’s 15.3 per cent. Not much has been achieved on this front. WHO ranked India 171 out of 175 in terms of public health spending in 2007-08. Moreover, the annual per capita health spending is as low as Rs.320 which is nothing compared to $7,290 of US, followed by Canada with $3,895; France $3,601; UK $2,992; Japan $2,581. The insurance industry is growing in double digits at 20 per cent but the proportion of people insured is very low. Though private hospitals and drug patents are increasing, a stable and easily accessible healthcare system is impossible unless the public sector comes forward more boldly! Isn't it simple enough for the government to see?
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Expensive healthcare will drive more people into poverty
Expensive healthcare is a common problem, be it a developed or a developing nation. And India is certainly not an exception. The National Health Policy formed in 1983 during Indira Gandhi’s regime had committed to make health services available to all by 2000. But a successful healthcare system remains a distant dream even in 2010. This not only shows how poor India is when it comes to implementing policies, but also proves that India lacks commitments towards such issues. Ironically, our nation's failure in healthcare is becoming a costly affair for India's poor.
The World Health Organisation in a recent report revealed that “over 100 million people worldwide are plunged into poverty every year by illness or expensive medical bills.” With poor public healthcare system in 33 low or middle income nations, individuals pay 50 per cent of their total healthcare expenditure from their own income. However, it is the worst in India where individuals pay 75 per cent of the health spending from their own pockets. The rise in expenditure is creating more problems for the poor. As per a Planning Commission paper, the rising healthcare expense is a major reason behind driving people into poverty. As per the latest available data, around 39 million people plunged into poverty due to out-of-pocket payments for the expensive health care in 2004-05. Moreover, 20-40 per cent of money is spent on expensive but unnecessary drugs, hospital-related inefficiency and poor use of skilled professionals’ time.
Solutions? There is enough scope to increase public expenditure. Budget outlay for health care in the Union Budget 2010-11 has increased to $4.82 billion. UPA-1 promised to increase the public health spending up to 3 per cent of the GDP under the Common Minimum Programme. It remained abysmally low with 0.9 per cent compared to America’s 15.3 per cent. Not much has been achieved on this front. WHO ranked India 171 out of 175 in terms of public health spending in 2007-08. Moreover, the annual per capita health spending is as low as Rs.320 which is nothing compared to $7,290 of US, followed by Canada with $3,895; France $3,601; UK $2,992; Japan $2,581. The insurance industry is growing in double digits at 20 per cent but the proportion of people insured is very low. Though private hospitals and drug patents are increasing, a stable and easily accessible healthcare system is impossible unless the public sector comes forward more boldly! Isn't it simple enough for the government to see?
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2 comments:
If we are serious about reducing poverty in the United States, we will need to deepen and widen health care reform, rather than flee from this continuing challenge as many politicians are now doing.
Health Care A Costly Affair For Aam Aadmi Getting a speciality care was far out of the scope of a common man. Now there seems to be a complete deviation from the ancient concept of hospital which provided help and care to the diseased and needy, hospitals were considered as temples of love and care.
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