Health experts have urged the government to introduce tax-funded Universal Health Care and enhance resources at government hospitals in the upcoming Union Budget 2026. They emphasized the lack of funds in public health care institutions to adequately serve a large number of patients and recommended expanding PMJAY to cover outpatient care. Dr. Vinay Aggarwal, past National President of the Indian Medical Association, advocated for tax-funded Universal Health Care with a basic health package for all citizens and increasing public health allocation to 2.5-5% of GDP.
A recent report by The Lancet Commission highlighted the importance of the public sector healthcare system in achieving universal health coverage. The report pointed out structural weaknesses in India’s health system, such as fragmented governance, poor coordination across care levels, and gaps in quality and equity. It emphasized the need for India to move towards universal health care through integrated programs to enhance accountability and service continuity.
The study emphasized the importance of a facility-centered healthcare delivery approach over patient-centered care, stressing the need for strong referral systems and integration between primary, secondary, and tertiary services. Aditya Banerjee, a Member at Medical Technology Association of India (MTaI), highlighted the necessity of shifting public procurement criteria towards long-term value rather than solely focusing on upfront costs. This shift is crucial for improving patient outcomes and avoiding unsustainable healthcare budgets seen in many developed economies.
