The Union Health Ministry has recently released the National Health Accounts Estimates for India 2020-21 and 2021-22
- These estimates provide a detailed analysis of health expenditure patterns in India, showcasing improvements in government health spending and reductions in Out-of-Pocket Expenditure (OOPE).
Key Highlights
- Improved Methodology: Over the past nine years, the methodology for NHA estimates has been refined, resulting in more accurate accounts of the government’s health expenditure.
- Decline in Out-of-Pocket Expenditure: The OOPE as a share of Total Health Expenditure (THE) has decreased significantly from 64.2% in 2013-14 to 39.4% in 2021-22.
- Government Health Expenditure (GHE) Growth:
- GHE as a percentage of GDP has increased from 1.13% in 2014-15 to 1.84% in 2021-22.
- The share of GHE in THE rose from 29.0% in 2014-15 to 48.0% in 2021-22.
- Per Capita Government Spending: Per capita government spending on healthcare has tripled from ₹1,108 in 2014-15 to ₹3,169 in 2021-22.
Government Initiatives Impacting Health Expenditure
- Ayushman Bharat PMJAY: Contributed to savings of over ₹1 lakh crore, positively impacting the NHA estimates.
- Free Dialysis Scheme: Benefited 25 lakh people since its launch in 2015-16.
Framework and Methodology
- System of Health Accounts (SHA), 2011: The estimates are based on this globally accepted framework, enabling international comparisons.
| Parameter | 2014-15 | 2021-22 | Remarks |
| Government Health Expenditure (GHE) | 29% of THE | 48% of THE | |
| GHE’s share in GDP | 1.13% | 1.84% | |
| Per capita GHE | ₹1,108 | ₹3,169 | |
| Out-of-Pocket Expenditure (OOPE) | 62.6% | 39.4% | Reduction in OOPE reflects government efforts towards financial protection and Universal Health Coverage. |
| Social Security Expenditure (SSE) | 5.7% of THE | 8.7% of THE | SSE includes government-funded health insurance, medical reimbursement for government employees, and social health insurance programs. |
Key Definitions
- Out-of-Pocket Expenditure (OOPE): Payments made by individuals at the point of receiving healthcare services. The reduction in OOPE reflects the government’s efforts toward financial protection and Universal Health Coverage (UHC).
- Social Security Expenditure (SSE): Includes government-funded health insurance, medical reimbursements for government employees, and social health insurance programs.
About National Health Accounts (NHA) Estimates
- Purpose: The estimates provide a systematic description of the financial flows in India’s health system by various sources, detailing how healthcare is funded and utilized.
- Released Annually: By the Union Ministry of Health & Family Welfare.
- Framework: Based on the globally accepted ‘System of Health Accounts (SHA), 2011’, allowing for inter-country comparisons.
- Purpose of NHA Estimates: To systematically describe financial flows within India’s health system, covering-
- Sources of health funding
- Spending patterns
- Nature of healthcare services used
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Frequently Asked Question:
What are the National Health Accounts estimates?
National Health Accounts estimates provide detailed financial insights into India’s healthcare system, focusing on sources of health funding and expenditure patterns.
How much has the Government Health Expenditure (GHE) increased by 2021-22?
GHE has increased to 1.84% of GDP and constitutes 48% of total health expenditure in 2021-22.
What is the significance of the reduction in Out-of-Pocket Expenditure (OOPE)?
The reduction in OOPE from 64.2% in 2013-14 to 39.4% in 2021-22 shows improved financial protection for individuals in India.
What framework is used for calculating the NHA estimates?
The estimates are based on the globally accepted System of Health Accounts (SHA), 2011, ensuring international comparability.
What impact has Ayushman Bharat PMJAY had on health expenditure?
Ayushman Bharat PMJAY has led to savings exceeding ₹1 lakh crore, contributing to reduced OOPE and better healthcare access.