Modi promises free health coverage for half a billion – but can he deliver?


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The ambitious "Modicare" program, unveiled in the federal budget earlier this year and launched this weekend, is designed to provide 100 million "poor and vulnerable" families, some 500 million people, free of charge. . hospital treatment costs of up to 500,000 rupees ($ 7,800) per year.

"Such an initiative is unprecedented in scale and scope," Modi said Sunday. "This shows our unwavering commitment to creating a healthy India."

But while the project has sparked hope for better treatment among the poorest in India, critics say the announcement was scheduled to spark a pre-election rally and questioned Modi's ability to keep his promise. .

The research unit Capital Economics said the funds for Modicare are "prohibitive", observing that only 200 billion rupees, or 0.2% of GDP, were allocated each year.

"Better health care provision can bring many benefits, both from an economic point of view and on a larger scale," Capital Economics said in a note on August 17. "But we doubt that Modicare will have much impact."

India spends only about 1% of its GDP on public health.

If the program is fully utilized, it would cost nearly $ 780 billion, a huge sum for the Indian economy of $ 2.4 trillion.

Access to health care is a major problem in India. Public hospitals are few and often underfunded and understaffed. The health care issue is expected to feature prominently in the forthcoming national elections in India, which are expected to take place before May 2019.

India has a little more than one million registered doctors and less than 15,000 public hospitals for its 1.3 billion inhabitants, according to government data released last year.

But despite the obstacles, the program has also been applauded by senior health officials.

"This will change the game," said Dr. KK Aggarwal, former president of the Indian Medical Association, to CNN. "Health is a fundamental right and the state has the responsibility to look after the health of people who can not afford it."

Total health expenditure in India averaged $ 267 per person in 2014 – the latest year for which data are available – compared to $ 9,403 in the United States, $ 3,377 in Great Britain and $ 731 in China.

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Many Indians have no choice but to use private hospitals, where treatment is unaffordable for someone earning an average annual salary of less than $ 2,000.

The government is already trying to bring health care closer to Indians in rural areas by establishing 150,000 health and wellness centers, a separate program with a budget of $ 190 million.

Reconciling Modicare was "an ambitious and laudable goal," said Rajiv Lall and Vivek Dehejia, of the IDFC Institute think tank, in a column for Mint Online. This program covers only treatment costs

"Modicare does not extend to primary health care, which we believe is the weakest link in India's public health supply," they said.

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