According to an India Spend analysis of two recent studies by The Lancet, a British medical journal, Indians were the 6th biggest private spenders on health in the low-middle income group of 50 nations in year 2014.
Data about Private Spending on Health:
With 6% private expenditure on health, India along with Bangladesh, stood at 6th position among the biggest out-of-pocket spenders. This marks 37.45% difference from global average of 28.15%.
- Average out-of-pocket health expenditure for South Asia region comprising Bangladesh, Bhutan, India, Nepal and Pakistan stood at 4%.
- At 6%, the average for BRICS nations (Brazil, Russia, India, China and South Africa) too was lower than India.
Spending on Public Health:
In India spending on Public Health was 3% of total health spending in 2014. Indian Government ranked 147 among 184 countries on this parameter.
- The Global average for the same was 55% for 2014.
- Among the 50 lower-middle-income countries, India ranked 39th, as the average for these countries was 2%.
- In South Asia region comprising Bangladesh, Bhutan, India, Nepal; Bhutan had highest spending on Public Health, which accounted for 70.7% of total health spending.
- Average for BRICS nations (Brazil, Russia, India, China and South Africa) was 47% on this parameter.
Observations from Lance study across 184 nations from 1995-2014:
- There is no specific correlation between economic development and total health spending, as substantial variation among countries exists.
- Government spending on health in low-income countries needs to be hiked, as private per capita health spending in these countries will not grow as per requirement.
- As announced in new National Health Policy, released in March 2017, Indian Govt aims to increase health spending to 2.5% of GDP. It is to be noted that the World Health Organisation (WHO) has recommended spending 5% of GDP.