‘Move Health to Concurrent List’

Health should be shifted to the Concurrent list under the Constitution, and a developmental finance institution (DFI) dedicated to healthcare investments set up, Fifteenth Finance Commission Chairman N.K. Singh said recently.

Enhancing spending:

  • Making a case for enhancing government spending on health to 2.5% of GDP by 2025, Mr. Singh said primary healthcare should be a fundamental commitment of all States in particular and should be allocated at least two-thirds of such spending.
  • Bringing health into the Concurrent list would give the Centre greater flexibility to enact regulatory changes and reinforce the obligation of all stakeholders towards providing better healthcare.
  • Addressing the NATHEALTH summit, he said the health sector was in dire need of a DFI similar to the one being set up to stimulate infrastructure investments.
  • Such a DFI would increase healthcare access in tier-2 and tier-3 cities and also come in with technical assistance that ensures proper usage of funds.
  • He also emphasised the importance of universalising healthcare insurance as a large section of the society still remained uncovered.
  • While the PMJAY covers the bottom two income quintiles, commercial insurance largely covers top-income quintile, thereby creating a ‘missing middle’ class in between.
  • This refers to people in the middle two income quintiles, where the population is not rich enough to afford commercial insurance and not poor enough to be covered under government-sponsored health insurance schemes.

SOURCE: THE HINDU ,THE ECONOMIC TIMES,MINT

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