Budget 2025: Healthcare Experts Seek Special Focus On Innovation And Accessibility

Budget 2025: In the union budget 2025, the government gave a push to the sector but this year industry experts look forward to even more support from the government

Budget 2025: Debojyoti Dhar, Co-founder and Director, Leucine Rich Bio highlighted that the Healthtech and Diagnostics sector is hopeful for measures that accelerate innovation and accessibility in the upcoming budget

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The healthcare system is one of the most crucial aspects of every country and every government puts a special focus on it. As the budget announcement for the financial year 2025-26 is all set to take place on February 1, 2025, the industry experts are looking forward to what all new initiatives and schemes the government has in store for the sector.

In the union budget 2025, the government gave a push to the sector but this year industry experts look forward to even more support from the government. PN Arora, CMD, Yashoda Super Speciality Hospitals, Kaushambi, said, “As one of India’s largest sectors, both in terms of revenue and employment, the healthcare sector has witnessed unprecedented growth. Ahead of the forthcoming budget, we expect the government to reduce input GST on healthcare services. Besides, recent reports highlight the significant discrepancy between premiums collected and claims paid by insurance companies underscoring the urgent need for reform in India’s healthcare sector.”

“We expect the government to focus on the concern and take certain measures to bridge this gap. Further, increased funding for public health facilities, along with incentives for private-sector collaboration, can improve access to quality care. A focused approach toward enhancing infrastructure in underserved areas will ensure better healthcare outcomes for all citizens,” Arora added.

More Focus On Mental Health

Manun Thakur, Founder and CEO of Veda Rehabilitation and Wellness, said, “According to a recent report by Deloitte India, “Poor mental health in employees is causing Indian companies a loss of over $14 Billion (INR 1,19,000 crores) annually” - Investing in mental health is crucial for not only enhancing productivity but enhancing overall happiness across sectors. The Union Budget for 2024-25 allocated approximately Rs 90,659 crore to the healthcare sector, a modest increase of 2 per cent from the previous fiscal year. However, only about 1 per cent of this allocation is dedicated to mental health initiatives, with Rs 850 crore for the National Institute of Mental Health and Neurosciences (NIMHANS), Rs 60 crore for the Lokopriya Gopinath Bordoloi Regional Institute of Mental Health, and Rs 90 crore for the National Tele-Mental Health Programme (TELE Manas).”

Thakur noted that despite these allocations, there remains a significant need for increased funding and awareness, particularly concerning postpartum depression. Approximately 22 per cent of new mothers in India experience postpartum depression, yet many remain unaware of their condition.

“By allocating more resources to mental health services and launching targeted awareness campaigns about conditions like postpartum depression, the government can directly improve national well-being. Such investments would not only enhance individual quality of life but also contribute to a more productive and prosperous society,” Thakur said.

Push To Innovation And Accessibility

Debojyoti Dhar, Co-founder and Director, Leucine Rich Bio highlighted that the Healthtech and Diagnostics sector is hopeful for measures that accelerate innovation and accessibility in the upcoming budget. 

“Strengthening policies around digital health infrastructure, encouraging Research & development in diagnostics, and providing tax incentives for companies investing in advanced technologies like genomics and microbiome-based solutions can revolutionize healthcare delivery. Additionally, promoting public-private partnerships and contributing to diagnostic tests for underserved populations will ensure that innovative health solutions reach every corner of the country. A visionary budget can position India as a global leader in personalized and preventive healthcare,” Dhar opined.