This Is How The Interim Budget 2019 Will Impact The Indian Healthcare Industry

Finance Minister, Piyush Goyal presented the Interim Budget 2019. The session started with a speech recounting all the major initiatives taken by Modi’s government in the last 4 years.

According to Goyal, India is emerging as one of the fastest growing economy, currently being the 6^th largest economy worldwide. He also mentioned that India is now back on track where the nation is marching towards a ‘New India’ by 2022.

Focusing on people, progress, and prosperity, the Interim Budget 2019 is all set to bring transformation in the Indian business industry as well.

Mentioned below are few highlights of the Union Budget 2019 that are going to work in favor of the health and wellness industry.

Setting Up of 22^nd AIIMS in Haryana

The rapid growth of the Indian healthcare industry is no more a hidden thing. In fact, India is eventually becoming a healthcare hub, offering quality treatments to people from across the globe.

Goyal announced that the 22^nd AIIMS will be set up in Haryana soon, after having 21 AIIMS in India that are successfully operating.

This initiative is believed to generate healthcare job and business opportunities in various regions including Haryana, allowing healthcare investors to make big in this industry.

Benefiting the Poor by Reducing Medicine Cost

The government had taken major steps towards enhancing the medical condition of the poor segments of India. Along with the government initiative, several private healthcare firms came up with ideas towards providing quality treatment while reducing the medicine cost.

Goyal explained that lakhs of poor people have benefited from the reduced cost of medicine that is contributing to a healthy India. Thus, pharmaceutical business owners could utilize this chance for introducing quality and effective medicines coming at minimal pricing.

Also, existing and new pharmaceutical business owners could work on their offerings by providing medicines that could cater to all the sections of our population, benefiting the country as well as the business.

Ayushman Bharat: The World’s Largest Healthcare Programme

While the Indian healthcare industry was reshaping its existence, PM Modi launched Ayushman Bharat that emerged as the world’s largest healthcare programme. This initiative successfully provided medical treatments to nearly 50 crore people, making it a huge success, resulting in transforming the Indian healthcare market.

Since the Indian population is so big, the government will require additional help from the private firms to make this initiative successful. As the scheme covers large population, it will be lending services from the private healthcare providers that will result in encouraging of the production of more affordable healthcare medicines and tools.

Expert’s Reaction on Interim Budget 2019

Vikram Shah, Chairman & Managing Director, Shalby Limited says, “This is a commendable Budget with all the right intentions. It has several announcements that can be a game changer for the Indian economy and society in the years ahead. Three major provisions have been announced – direct income support to 12 crore farmers, pension scheme for poor workers in the unorganized sector, and full income tax rebate till an income of Rs 5 lakhs. These, along with the prevailing low inflation rate, will increase liquidity with the middle and poorer sections of the society in both rural and urban areas.”

“It will leave people with more money to spend on basic necessities of life such as food and healthcare. The ongoing Swachh Bharat Mission, 98% sanitation coverage in rural areas, and schemes like Ayushman Bharat and free LPG connections are positively impacting healthcare parameters of the society. It is heartening that the Government has declared a “Healthy India” as part of its future vision for the country. Its stated goal of working towards a distress-free healthcare system and a functional and comprehensive wellness system for all Indians is welcome.”

“I however feel that the Government should have taken some positive steps towards increasing the public healthcare expenditure as percentage of GDP from beyond a mere 1%, and announced some incentives to enable the spread of modern healthcare system and hospitals beyond the cities to smaller towns and villages. The Government should have also reduced import duty on implants to make joint replacements affordable to the masses.”