This special report examines the expectations for the healthcare sector in the upcoming Union Budget following the Economic Survey’s findings. The report highlights that ‘India’s public health spending, as a proportion to the GDP, is currently lower than both Bhutan and Nepal’, standing at just 1.84% when considering only public expenditure. Key concerns raised include the rising rates of obesity across all age groups, with suggestions to increase taxes on junk food and ultra-processed items to curb metabolic disorders. Additionally, the survey red-flags the impact of digital addiction on the mental health and academic performance of children, advocating for social media reforms and ‘digital balance’. Experts call for increasing public health spending to at least 2.5% of the GDP to improve diagnostics and critical care in underserved areas using AI and technology. The report also references former IMF chief Gita Gopinath’s warnings regarding the economic damage caused by air pollution, emphasizing that sustained health spending reduces out-of-pocket expenses for citizens.
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