Calling it a ‘mixed bag’, the health sector has welcomed the increased allocation for healthcare under various development heads.
Fortis Healthcare Limited executive chairman Malvinder Mohan Singh said: “Higher budgetary funds for building infrastructure for medical education is a welcome step.”
“Specifically, the announcement to set up All India Institutes of Medical Sciences in Bengal, Andhra Pradesh, Purvanchal and Jharkhand, with the eventual intent to cover all States, will go some distance in bridging the supply-demand gap for qualified medical personnel.I would say it is a prudent Budget,” he said.
Stating that the Budget has brought in good news for the insurance sector with the government clearly stating its intent to raise the current Foreign Direct Investment cap of 26 per cent to 49 per cent via the Foreign Investment Promotion Board route, Apollo Munich Health Insurance chief executive officer Antony Jacob said: “An enhanced flow of foreign capital and international expertise will result in accelerating overall development of the insurance industry through increased access to international insurance products, distribution channels and world-class business practices. It should have a positive impact in boosting overall growth of the Indian insurance sector, and more so for the fast growing health insurance sector.”
Sanjay Banerjee, chair of AdvaMed, an association of medical device manufacturers, noted: “While no specific concessions on VAT, customs duty or R and D grants were announced in the Budget for the medical device industry, we are heartened by the emphasis on insurance, health research centres, AIIMS and medical colleges, single-window customs and clearer taxation.”
Praising the hike in excise duty on cigarettes from 11 per cent to 72 per cent, Delhi Medical Association’s Anil Bansal said: “The proposed allocation for new AIIMS is welcome, so is the increased allocation for major Central hospitals, but we expected more from the government.”
Adding that the government had sent a out a clear signal that it can take tough decisions to discourage anything that degrades health of the common man, Health Care at Home medical services head Gaurav Thukral said: “The government should have, however, spelt out more initiatives to encourage the private sector’s participation in the healthcare industry, which is important to improve India’s healthcare scenario.”
