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LATEST NEWS UPDATES | Health account numbers that require closer scrutiny -Indranil

Health account numbers that require closer scrutiny -Indranil

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published Published on Dec 8, 2021   modified Modified on Dec 8, 2021

-The Hindu

The reduction of out-of-pocket expenditure that the NHA highlights is essentially due to a decline in utilisation of care

Low public spending on health in India has meant that people depend heavily on their own means to access health care. It causes rich-poor, rural-urban, gender and caste-based divides in access to health care, pushes people to poverty, and forces them to incur debt or sell assets. As a result, our health outcomes are worse than in many neighbouring countries.

In this context, the National Health Accounts (NHA) report for 2017-18 is being celebrated widely as it shows that total public spending on health as a percentage of GDP has increased to a historic high of 1.35% of GDP, finally breaking through the 1%-1.2% mark of GDP. Out-of-pocket expenditure as a share of total health expenditure has come down to less than 50%. An increase in public spending and decline in out-of-pocket expenditure, if actually realised, are welcome steps forward to achieve greater financial protection. However, the NHA numbers need to be carefully scrutinised before jumping to conclusions.

The NHA capture spending on health by various sources, and track the schemes through which these funds are channelised to various providers in a given time period for a given geography. Multiple data sources are combined to produce the estimates. Out-of-pocket expenditure, the biggest part of NHA estimates is captured using "Household Social Consumption in India: Health" survey of National Sample Survey Organisation. Public spending on health by various departments of the Union and State governments, major urban local bodies, and social security schemes are captured from Budgets. Various sources are also used to capture insurance premiums, expenditure estimates from firms, non-governmental organisations and foreign entities.

Various sources are also used to capture insurance premiums, expenditure estimates from firms, non-governmental organisations and foreign entities.

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The Hindu, 8 December,2021, https://www.thehindu.com/opinion/op-ed/health-account-numbers-that-require-closer-scrutiny/article37889514.ece


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