HIGHLIGHTS:
- NITI Aayog published a paper titled “Reimagining Healthcare in India using Blended Finance
- According to the survey, nearly 65% of all hospital in India serves half of the population
- COVID-19 epidemic fueled the growth of India’s home healthcare business
Recently, the NITI Aayog published a paper titled “Reimagining Healthcare in India using Blended Finance.”According to the NITI Aayog report, India spends the least on healthcare among the BRICS countries.
The report’s main findings
According to the survey, nearly 65% of all hospital in India serves half of the population in Uttar Pradesh, Karnataka, Tamil Nadu, Maharashtra, West Bengal, Telangana, and Kerala
The remaining 50% of India’s population, who live in the remaining 21 states and 8 Union Territories (UTs), have access to 35% of hospital beds.
It was stated that the number of beds must be expanded by at least 30% to ensure that individuals have equitable access to healthcare facilities.
In India, the hospital sector contributes for 80% of the entire healthcare market. It was worth USD 61.79 billion in the 2017 fiscal year, and by 2023, it is expected to be worth USD 132 billion.
Pradhan Mantri Jan Arogya Yojana (PM-JAY)
According to the report, PM-JAY has the potential to improve India’s health insurance penetration from 34% to 50%. This would contribute to a rise in the need for in-patient care.
Market size of telemedicine
According to the report, the COVID-19 epidemic fueled the growth of India’s home healthcare business. Telemedicine options are emerging as a simple alternative to the social isolation that has become the norm.
Market size of telemedicine
As of 2019, India’s telemedicine market was worth USD 830 million. By 2025, it is estimated to reach USD 5.5 billion. During the period 2020-25, it is expected to increase at a CAGR of 31%. Prior to the pandemic, it was predicted that more than USD 500 billion in private finance would need to be mobilized each year to satisfy India’s 2030 sustainable development goals. In order to address access, affordability, and quality healthcare, a business-as-usual scenario is anticipated to require USD 256 billion by 2034.
What is blended finance, and how does it work?
Blended finance is a kind of financing in which public and philanthropic catalytic funding is used to mobilize additional private sector investment in order to achieve social goals and outcomes.
