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Policy seeks to raise health spend to 2.5% of GDP

The policy envisions increasing life expectancy to 70 years from 67.5 years

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Veena Mani New Delhi
Last Updated : Mar 17 2017 | 12:48 AM IST
Setting ambitious targets, the central government on Thursday unveiled the National Health Policy, which entails raising public expenditure on health to 2.5 per cent of gross domestic product (GDP) from the current two per cent and introducing yoga more widely in schools and workplaces.

The policy, cleared by the Cabinet on Wednesday, envisions increasing life expectancy to 70 years from 67.5 years, and proposes free diagnostics and drugs at all public hospitals. The policy envisions setting up public health management cadres in every state. 

It seeks to empower patients by setting up tribunals where an aggrieved person can seek redress of grievances over treatment, Union Health Minister J P Nadda said, while giving an overview of the policy in both the Lok Sabha and the Rajya Sabha.

Nadda said the policy aimed at reducing the under-five mortality rate to 23 (per 1,000 births) by 2025 and the maternal mortality rate to 100 (per 100,000 live births) by 2020. 

The policy sought to move health care from “sick care to wellness”, with a thrust on prevention and health promotion, the minister said.

The policy also seeks to eliminate leprosy by 2018, kala-azar by 2017 and lymphatic filariasis in endemic pockets by 2017.

States are the key link in the policy, which pushes for primary health care to be comprehensive and universal. 

The policy seeks to ensure improved access and affordability of secondary and tertiary care services through a combination of public hospitals and accredited non-government health care providers. 

The Centre will use budgetary support to fund the procurement of drugs and setting up health centres. Sixty per cent of the funding will come from the Centre and the states must pitch in with 40 per cent. However, the Centre will provide funding only to states that raise demands. 

Poonam Muttreja, executive director of the Population Foundation of India, said the policy could lead to an expansion of services by private players in urban areas.

An executive with Apollo Health and Lifestyle, the wholly-owned subsidiary of Apollo Hospitals, said, “There is no market in rural areas. It will be a loss-making venture if we get into it.” Vikram Vuppula, chief executive officer of dialysis provider NephroPlus, said the extent of private investment would depend on whether the government opted for empanelment or used the public-private partnership mode.

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