Recently, The Union Ministry of Health and Family Welfare released the National Health Account (NHA) estimates for the fiscal years 2020-21 and 2021-22.

National Health Account Estimates

• The reports are the 8th and 9th editions of NHA estimates for 2020-21 and 2021-22.
• The reports provide a detailed view of healthcare spending in India.

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Key Findings of NHA Estimates for 2020-21 and 2021-22

• Government Health Expenditure (GHE) Growth

  • Government spending on healthcare has steadily increased.
  • GHE as a share of GDP rose from 1.13% (2014-15) to 1.84% (2021-22).
  • GHE as part of General Government Expenditure (GGE) grew from 3.94% to 6.12% in the same period.
  • In per capita terms, GHE tripled from Rs. 1,108 (2014-15) to Rs. 3,169 (2021-22).
  • Between 2020-21 and 2021-22, GHE increased by 37% due to the COVID-19 response.

• Decline in Out-of-Pocket Expenditure (OOPE)

  • OOPE decreased from 62.6% of Total Health Expenditure (THE) in 2014-15 to 39.4% in 2021-22.
  • This decline reflects increased public spending, reducing the financial burden on households.

• Increase in Government Share in Total Health Expenditure

• • Government’s share in THE increased from 29% (2014-15) to 48% (2021-22).
    • This indicates growing reliance on public health services.

  • Total Health Expenditure (THE) in 2020-21 and 2021-22

    • THE in 2020-21 was Rs. 7,39,327 crores, representing 3.73% of GDP.
    • In 2021-22, THE rose to Rs. 9,04,461 crores, or 3.83% of GDP.

• Growth in Social Security Expenditure (SSE) on Health

• • SSE on health rose from 5.7% of THE (2014-15) to 8.7% (2021-22).
    • This growth reduces the financial risks for individuals accessing healthcare.

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• • Current Health Expenditure (CHE) accounted for 89.73% in 2020-21 and 87.32% in 2021-22.
  • Capital expenditure in healthcare grew from Rs. 75,910 crores in 2020-21 to Rs. 1,14,701 crores in 2021-22.

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