Magnitude of Health Expenditure in India: A Reflection of Ayushman Bharat Pradhan Mantri Jan Arogya Yojana (AB-PMJAY)

Abstract

The health expenditure has been measured in India using National Health Accounts (NHA) Estimates for India from 2013-24 to 2021-22. The study also measured the changes in sources of financing health expenditure and break up of average medical expenditure for hospitalization in India by using two quinquennial rounds conducted by National Sample Survey Organization (NSSO). This study has also focused on the impact of Ayushman Bharat-Pradhan Mantri Jan Arogya Yojana (AB-PMJAY), the world’s largest Government funded health insurance scheme, on various types of health expenditures such as expenditure on revenue of healthcare financing schemes, expenditure on health care providers, expenditure on health care functions, sources of financing healthcare expenditure. The analysis shows that from 2013-14 to 2021-22 there was remarkable changes in expenditure on revenues of healthcare financing schemes as expenditure by household revenues has declined by 22.34 percent from 70.9 percent in 2013-14 to 50.55 percent in 2021-22 due to increase in share of health expenditure by both Union and State Governments.