01 March 2011
By Nozia Sayyed
20% rise in healthcare allocation not adequate, below WHO recommendations: experts
The 10% rise in service tax for pathological services and diagnostics tests will further increase the cost of health care, just as private hospitals with more than 25 beds will have to pay more now in service taxes. Dr Anant Phadke, coordinator and member at the NGO Sathi-Cehat (Centre for Enquiry into Health and Allied Themes). said the allocation for health care is 1.2 % of the GDR although the United Progressive Alliance (UPA) had promised that the government’s health care expenditure would increase to 2% to 3% of the GDP.
For this to happen, the central governmnent’s health expenditure needs to increase at least by Rs10,000 crore every year. Compared to this, the lncrease of Rs4.589 crore is too small to meet expectations.
Phadke said a lot needs to be done to provide health care services to the poor.