Due to the coronavirus pandemic, the sector which is the biggest talking point this year is healthcare. The pandemic completely exposed India’s underfunded healthcare system. Critical patients all over the country were struggling to get ICU beds. Some lost their lives as the ambulances catering to the public of the state were less, while some died outside the hospitals waiting to get admitted. The pandemic exposed fundamental problems plaguing the Indian healthcare system, be it infrastructure, manpower, etc. Here’s the healthcare industry welcomed the government’s increased allocation for the healthcare sector and said that the move will provide access to medical care for all in the country, Budget presented by FM NirmalaSitharaman rolls out a 2.46 lakh crore healthcare budget for “rebuilding India that’s a 137 % spike from last year’s allocation under AatmanirbharSwasth Bharat Yojana. The budget adopts a holistic approach towards healthcare much needed hike in healthcare will make our country health and safe budget has seen a phenomenal increase in outlay for the healthcare sector with a focus on addressing the key issues facing India today.
The government encouraging new developments paradigm with a heightened investment towards healthcare infrastructure.The requisite focus for a stronger public health system, along with appropriate support for sustenance as well as the expansion of private healthcare infrastructure.
In addition to the National Health Mission, with whom Ziqitza Healthcare works in association with to provide quality pre-medical care to the people of states. The government has increased the spends on primary, secondary and tertiary healthcare.
Amitabh Jaipuria, MD & CEO, Ziqitza Healthcare Ltd says budget 2021 is a Budget of hope towards realizing India’s growth aspirations, strengthening the healthcare system, Ziqitza is happy to know this year’s budget is pragmatic, positive, and committed to the healthcare sector which needed a deliberate boost post unprecedented virus outbreak last year. It is commendable that the government has put healthcare on the forefront, putting the focus on curative and preventive health and wellbeing. The proposals would make quality healthcare accessible and affordable, besides standardizing healthcare infrastructure across the country.
Ziqitza is currently operating Ambulances, Medical Helplines, Mobile Medical Units, and Corporate Wellness Solutions across Mumbai, Bihar, Kerala, West Bengal, Gujarat, Rajasthan, Karnataka, Punjab, Odisha, MP, and Jharkhand. Ziqitza Rajasthan has operated 108 ambulances in Rajasthan free for the public to ensure healthcare is accessible to all.
Here are the budget 2021 highlights to make it easier for you.
- Part A – Policy Statements
- Health
- Infra
- Inclusive development
- Human capital
- Innovation and Research
- Minimum Govt and max governance
Synopsis
In the backdrop of the numerous challenges that the finance minister faced, the Union Budget presented by her on Feb 01 is path-breaking to quite an extent. The FM continued on the Govt.’s prudent path avoiding populism.
The effort is clearly attempting to spur the economic growth on a faster path by upping spending on schemes/areas which have a multiplier effect. The Budget’s task was to push the long-term growth trajectory up. A virtuous spending cycle may be triggered by these provisions that could lift the rate of growth for the economy and businesses. No material changes to direct or indirect tax rates or provisions are welcome from a taxpayer perspective who seeks stability in the tax regime. Raising taxes to fund expenditure would have invalidated the expansionary effect of the spending. The deficit target of 6.8 per cent for 2021-22 (way higher than most forecasts) and the target reduction of fiscal deficit to below 4.5 per cent only in 2025-26 is perhaps as bold as the expansionary fiscal policy can get. The previous target of 3% fiscal deficit (laid out in FRBM Act) now seems to have been abandoned. However, a significant portion of an increase in spending comes from taking on the food subsidy bill on the Budget instead of financing FCI (Food Corporation of India) via the NSSF (National Small Savings Fund) (impact 0.56% of GDP in FY20).
Healthcare / Pharma to the National Health Mission
- 17000 rural and 11000 urban health and wellness centers will be set up. and create new institutions, to cater to detection and cure of new and emerging diseases. It will help pharma, healthcare & diagnostic companies.
- The Budget outlay for Health and Wellbeing is pegged at Rs 2,23,846 crores as against Rs 94,452 crores with a sharp increase of 137% over the previous year. Expenditure on health and family welfare has been increased from Rs 65,012cr to Rs 71,269cr.
- A positive development for pharma and healthcare sector. Key beneficiaries from our coverage. HCG, Apollo Hospitals, Alkem Labs, Sun Pharma, Sanofi India Govt. has provided Rs 35000cr for Covid-19 vaccine in the budget and remain committed to providing further funds if required. Positive for Healthcare and logistics Sector.