Budget 2018: The Centre today announced the world’s largest government-funded healthcare programme, aimed at benefiting 10 crore poor families by providing coverage of up to Rs 5 lakh per family per year for secondary and tertiary care hospitalisation. The National Health Protection Scheme, announced by Finance Minister Arun Jaitley in his Budget for 2018-19, will cover approximately 50 crore people.

Presenting his fifth straight budget in the Lok Sabha, Jaitley said the government will set up 24 new government medical colleges and hospitals by upgrading existing district hospitals in the country. Noting that only a “swasth Bharat” (healthy India) can be a “samriddha Bharat” (prosperous India), Jaitley said India cannot realise its demographic dividend without its citizens being healthy.

“We will launch a flagship National Health Protection Scheme to cover over 10 crore poor and vulnerable families (approximately 50 crore beneficiaries) providing coverage up to Rs 5 lakh rupees per family per year for secondary and tertiary care hospitalisation.

“This will be the world’s largest government funded health care programme. Adequate funds will be provided for
smooth implementation of this programme,” the finance minister said while presenting the budget for 2018-19. Jaitley said his government has decided to take health protection to a “more aspirational level” and observed that several state governments have also implemented or supplemented health protection schemes with varying coverage plans.

The present Rashtriya Swasthya Bima Yojana (RSBY) provides annual coverage of only Rs 30,000 to poor families. Lakhs of families in India have to borrow or sell assets to receive indoor treatment in hospitals, he said, emphasising that his government is seriously concerned about such poor and vulnerable families.

To further enhance accessibility of quality medical education and health care, the government will set up 24 new government medical colleges and hospitals by upgrading existing district hospitals in the country, the finance minister announced. “This would ensure that there is at least one medical college for every three parliamentary constituencies and at least one government medical college in each state of the country,” he said.