Syllabus: Issues relating to development and management of Social Sector/Services relating to Health.
Overall Budgetary Allocation
- Union Budget 2026 allocated over ₹1.05 lakh crore to health sector.
- Allocation marks nearly 10% increase over previous year’s revised estimates.
- Health spending forms 1.9% of total government expenditure.
- It accounts for only 0.26% of GDP, below expectations.
- Budget fell short of being a landmark expansion in health funding.
Major Flagship Announcements
- Biopharma SHAKTI Initiative
- Government launched ₹10,000 crore Biopharma SHAKTI scheme.
- Aims to make India a hub for biologics and biosimilars manufacturing.
- Programme planned for implementation over next five years.
- Clinical Research Infrastructure
- Nationwide network of 1,000 accredited clinical trial sites proposed.
- Focus on strengthening long-neglected research and development ecosystem.
Institutional Expansion and Capacity Building
- Three new National Institutes of Pharmaceutical Education and Research announced.
- Seven existing institutes to be modernised and upgraded.
- Second NIMHANS campus to be established in north India.
- Two national mental health institutes to be upgraded.
Human Resource Development in Health
- Target to train one lakh allied health professionals in five years.
- Additional 1.5 lakh elderly care workers to be trained.
- Initiative aligns with India’s transition towards an ageing population.
Affordability and Patient Support Measures
- Customs duty exempted on 17 cancer medicines.
- Relief extended to treatments for rare diseases.
- Tax collected at source on medical remittances cut from 5% to 2%.
- Measures aim to improve affordability for patients and families.
Key Concerns and Criticism
- Health spending target of 2.5% of GDP remains unmet.
- Commitment made under National Health Policy 2017.
- Allocation for National Health Mission reduced.
- Despite strong utilisation, funding cuts drew criticism.
Federal and Implementation Concerns
- Fiscal devolution enabled States to spend more on health.
- However, declining Central share may create uneven outcomes.
- Risk of regional disparities in healthcare access and quality.