Finance Commission holds meeting with World Bank, NITI Aayog, HLG on health sector

The 15th Finance Commission on Tuesday held a detailed meeting with representatives of the World Bank, Niti Aayog and member of its High-level Group (HLG) to discuss the health sector. The meeting was chaired by NK Singh.

Dr Junaid Ahmad, Country Director, Muhammad Ali Pate, Global Director, and other senior officials represented the World Bank. Dr Randeep Guleria, Director, AIIMS, Dr VK Paul, Member Niti Aayog, Dr Indu Bhushan, CEO, Ayushman Bharat also attended the meeting.

In the meeting, Dr Junaid Ahmad stated that the World Bank has been involved in India's health sector for a long time. Recently, the World Bank granted a billion-dollar loan to the Government of India to fight the pandemic. It has been engaged in state-level health programs by aiding district hospitals and also completed a 20-year long partnership with India in the area of HIV.

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Dr Junaid Ahmad highlighted the importance of engaging in Centrally sponsored schemes such as the Samgra Shiksha Abhiyan, in which the World Bank partnered with five States of India. The World Bank said there is scope for providing service by using innovation, technology, strengthening institutions, coordinating and empowering states.

To ensure a better quality of spending on health system, the World Bank said there is a need to improve budget execution, resource allocation from states to districts should reflect population need, fragmentation of health schemes must be reduced and a gradual shift to demand-side financing modalities.

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'Need to increase expenditure on health sector'

Dr Paul, member, NITI Aayog emphasised on the importance of local bodies in providing health care services. He said that 65 per cent of public spending on health sector comes from state governments while 35 per cent comes from the Union government. He said there is a need to increase the overall expenditure on the sector.

Dr Guleria, Director, AIIMS, said public-private partnership should be encouraged in the health sector. Dr Indu Bhushan stressed the need to cover the ‘missing’ population in PM-JAY scheme. He stated that private hospitals also require help as they are facing a decline in revenues and rising cost.

Chairman NK Singh reiterated the Finance Minister's plan to increase the budgetary expenditure for the Health Ministry in its announcement of the special package for the country’s economy.

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(With inputs from agency)

(Image: 15th FC, India/Twitter)