Nadda sought a 'bare minimum' budget of nearly $10 billion for 2018-19, which is 33% higher than last year
Union budget 2018
India is poised to raise its public health spending by 11 per cent in the annual budget next month, after rejecting Health Minister JP Nadda's demand for a much bigger increase to ramp up disease control, according to government sources and documents.
Nadda sought a "bare minimum" budget of nearly $10 billion for 2018-19, which is 33 per cent higher than last year, in a letter to the finance minister on Nov. 26, which Reuters has reviewed.
Nadda argued the funds were needed for expanding vaccination coverage, free drugs distribution, and also to ward off a growing threat of non-communicable diseases, such as cancer and diabetes, which killed 6 million people in India in 2016.
His request was not approved: the health budget is expected to rise by 11 per cent to $8.2 billion, three government officials told Reuters. They declined to be named or be identified further as the discussions were confidential.
Prime Minister Narendra Modi's government last year set a target of raising annual health spending to 2.5 percent of India's GDP by 2025, from 1.15 percent now - one of the lowest proportions in the world.
The health budget this year will put that pledge at risk.
"What's the point of having a (2025) GDP target? With this funding, it still looks like a herculean task," said one of the officials interviewed.
The finance ministry declined to comment, while the health ministry did not respond to requests seeking comment. The budget for the financial year ending March 2019 will be presented on Feb. 1.
Shamika Ravi, a member of Modi's economic advisory council, said she wasn't privy to the final budget numbers, but described an $8.2 billion annual health budget as "not sufficient".
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