Budget 2024: Focus on early childhood development and maternal health

The integration of maternal and child healthcare schemes into a cohesive program

Finance Minister Nirmala Sitharaman unveiled the interim budget for 2024, emphasising India’s triumph over COVID-19 challenges and the establishment of foundations for a self-reliant nation.

Key highlights for the healthcare sector include:

• Incentivising cervical cancer vaccinations for girls aged 9-14

• Extending Ayushman Bharat coverage to ASHA and Anganwadi workers

• Establishment of additional medical colleges within existing hospital infrastructure. A dedicated committee will examine related issues and provide recommendations.

• The integration of maternal and child healthcare schemes into a cohesive program

• Upgradation of Anganwadi centres under ‘Saksham Anganwadi’ and Poshan 2.0 will be expedited to improve nutrition delivery, early childhood care, and development.

• The newly designed ‘U-Win’ platform for managing immunisation and intensification of Mission Indradhanush will be rolled expeditiously throughout the country.

Expert views:

In FM’s interim budget speech, the extension of healthcare coverage under the Ayushman Bharat scheme to ASHA workers, Anganwadi Workers, and Helpers showcases a holistic and inclusive approach, strengthening the backbone of India’s healthcare system. We commend the government’s visionary steps to fortify the healthcare infrastructure by establishing more medical colleges and leveraging existing hospital facilities. The creation of a dedicated committee to address related issues is a strategic move that aligns with our shared commitment to continuous improvement.

The initiative to provide Cervical Cancer Vaccination for girls aged 9 to 14 is a commendable stride in preventive healthcare, reflecting a foresighted approach to tackling significant health concerns. AHPI, as a healthcare sector body, aligns with the government’s mission to combat diseases and enhance community well-being.

The budget’s focus on maternal and child healthcare, particularly the upgradation of Anganwadi centers under ‘Saksham Anganwadi and Poshan 2.0’, is pivotal for advancing nutrition delivery and early childhood care. AHPI stands ready to actively contribute to the realisation of these impactful healthcare initiatives, promoting a healthier and resilient India.

The expeditious rollout of the newly designed U-WIN platform for immunisation management and intensified efforts of Mission Indradhanush are welcome advancements that will positively impact healthcare delivery throughout the country.

-Dr Girdhar Gyaani, Founder Director, AHPI

The government’s commitment to enhancing the healthcare infrastructure through the establishment of more medical colleges, and utilising existing hospital infrastructure, is a commendable step towards bolstering the nation’s healthcare capacity. We applaud the creation of a dedicated committee to address related issues, foreseeing positive outcomes from their recommendations.

The initiative to provide Cervical Cancer Vaccination for girls aged 9 to 14 is a significant stride in preventive healthcare, addressing a crucial health concern. It aligns with our shared mission to combat prevalent diseases and promote community well-being.

Furthermore, the budget’s focus on maternal and child healthcare, including the upgradation of Anganwadi centers under ‘Saksham Anganwadi and Poshan 2.0’, is a pivotal move for enhancing nutrition delivery and early childhood care. The extension of healthcare coverage under the Ayushman Bharat scheme to ASHA workers, Anganwadi Workers, and Helpers reflects a comprehensive approach to healthcare, fostering resilience in India’s healthcare system. Ujala Cygnus Hospitals stands ready to actively contribute to the realisation of these impactful healthcare initiatives.

-Probal Ghoshal, Executive Chairman, Ujala Cygnus Group of Hospitals

I applaud the comprehensive and inclusive approach outlined in the Union Budget 2024-25. The commitment to establishing more medical colleges by utilising existing hospital infrastructure demonstrates a forward-thinking strategy to enhance healthcare accessibility.

The initiative to encourage cervical cancer vaccination for girls aged 9 to 14 is a proactive step towards preventive healthcare, aligning with our mission to prioritise public health. The consolidation of various schemes under a comprehensive maternal and child health program is a welcome move that promotes synergy in implementation, ensuring improved nutrition delivery and early childhood care.

The expedited upgradation of anganwadi centers under ‘Saksham Anganwadi and Poshan 2.0’ is crucial for advancing nutrition and developmental support. The introduction of the U-WIN platform for managing immunisation and the intensified efforts of Mission Indradhanush reflect a commitment to bolstering public health infrastructure nationwide.

Extending healthcare cover under the Ayushman Bharat scheme to all ASHA workers, Anganwadi Workers, and Helpers is a recognition of their invaluable contribution to community health. This step not only safeguards their well-being but also strengthens the foundation of our healthcare system.

Overall, it is a progressive budget, and the Union Budget’s focus on healthcare initiatives aligns with our commitment to providing quality healthcare services. We are eager to actively contribute to the realisation of these initiatives, fostering a healthier and more resilient nation.

-Abhishek Kapoor, CEO, Regency Hospital

Expanding health coverage to ASHA and Anganwadi workers, unifying maternal and child health schemes, and upgrading Anganwadi centres demonstrate a commendable commitment to public health and early childhood development. We believe these initiatives will have a lasting impact on the lives of countless individuals and families.

-Shaina Ganapathy, Head – Community Outreach Initiatives for Embassy Group

This fiscal year’s interim budget, which covers a wide range of areas and lays out specific actions to be carried out, is a demonstration of the government’s progressive thinking. We applaud the government’s dedication to bolstering the healthcare industry, with a particular emphasis on building a strong system for today’s contemporary India.

It is very appreciated that girls between the ages of 9 and 14 will now receive cervical cancer vaccinations in schools, as stated by Hon. Finance Minister Nirmala Seetharaman. By focusing on nutrition delivery as a component of early childhood care and development, Saksham Anganwadi and Poshan 2.0 will contribute to the creation of a healthy community.  With the kind of components being combined to make health the most reliable foundation of Atmanirbhar Bharat, the Indian government is providing strong assistance to the healthcare industry. We anticipate some more encouraging announcements with the planned outline in the coming months, which will help the industry grow even more and thrive in a more improved manner.

-Dr Narendra Vankar, Founder and CEO, Quantum CorpHealth

The government’s commitment to providing vaccines for the prevention of cervical cancer to girls aged between 9 and 14 years, administered through schools, is a commendable step towards prioritising preventive healthcare over curative measures. This signifies a crucial paradigm shift in healthcare strategy, and we hope it serves as a precedent for addressing preventive aspects in the context of various other diseases. The emphasis on prevention echoes a proactive and holistic approach to healthcare, aligning with our aspirations for a healthier and more resilient society. We anticipate that these initiatives will not only transform the biotech landscape but also set the stage for a broader reevaluation of healthcare priorities in the nation.

-Dr Debojyoti Dhar, Co-founder & Director, Leucine Rich Bio

The emphasis on nutritional enhancement is further underscored by the commendable upgrade of Anganwadi centres through the “Saksham Anganwadi and Poshan 2.0” initiative, aiming to enhance nutrition delivery and foster early childhood care and development. In addition, the allocation of 43 crore loans, totaling 22.5 lakh crore under the PM Mudra Yojana, is a significant victory in supporting the entrepreneurial aspirations of our youth. This substantial financial backing aligns with the government’s commitment to fostering economic empowerment and innovation. Moreover, the announcement of a vaccination drive for young girls to prevent cervical cancer deserves appreciation. This proactive healthcare measure demonstrates a commitment to the well-being of the population, particularly in terms of preventive healthcare initiatives.

-Nupuur Patil, Nupuur Patil Fitness, Nutritionist

The interim Budget 2024 has significant implications for the healthcare industry. While presenting the budget, the Finance Minister shared that the government plans to set up more medical colleges by utilizing the existing medical infra under various departments.

Furthermore, the budget addressed the importance of research and development in the healthcare sector, aiming to encourage innovation and the development of new medical technologies. Increased funding for healthcare education and training programs is also evident, indicating a focus on building a skilled healthcare workforce.

The Prime Minister’s Mudra Yojana has approved 43 crore loans, totaling Rs 22.5 lakh crore, to support the entrepreneurial ambitions of the youth. Initiatives such as the Fund of Funds, Startup India, and the Startup Credit Guarantee Schemes are playing a crucial role in aiding our young entrepreneurs. A fund of Rs. 1 lakh crore will be established through a 50-year interest-free loan to promote tech-savvy growth. This corpus aims to provide long-term financing with extended tenors and minimal to no interest rates. Such measures will incentivise private sectors to significantly amplify research and innovation, particularly in emerging domains, thereby greatly benefiting the medtech industry.

The overall impact of the interim Budget 2024 on the healthcare industry is aimed at strengthening the foundation of the sector, promoting innovation, and ensuring better healthcare access for all segments of the population.

-Deepak Sharma, Co-founder and CEO, MedLern

I am optimistic about the Union Budget 2024-25. The emphasis on infrastructure financing, incentivising R&D, and regulatory policies for health startups aligns with our vision at CORE Diagnostics. We believe that these measures will foster innovation, enhance accessibility, and ultimately improve patient outcomes in the healthcare sector. We look forward to seeing the positive impact of these policies on the diagnostics industry and the healthcare sector as a whole. This Interim Budget was neutral for the diagnostics industry, we hope for the favourable budget in the Final budget.

-Ashish Singhal, CFO & Company Secretary, CORE Diagnostics

The FY 2024-25 interim budget, announced by our Hon’ble Finance Minister, heralds a transformative phase for all industries, including Health-tech. The allocation of 50-year interest-free loans for technology-supported startups is commendable, poised to inspire youth, fostering innovation for groundbreaking healthcare solutions. The re-emphasis on ‘Anusandhan’ reflects a push for high-level strategic research, reinforcing the pharmaceutical industry’s commitment to tailored treatments for India’s diverse population. Further, the decision to expand medical educational institutions using existing hospital infrastructure underscores the government’s dedication to a skilled healthcare workforce, strengthening our healthcare system. The budget’s focus on maternal and early childhood healthcare, backed by new schemes, also promises improved outcomes. 

-Dr Harshit Jain, Founder & Global CEO, Doceree

Recognising the need for providing Universal Health Care, the interim Union Budget 2024-25 extended the Ayushman Bharat scheme to cover nearly over three million ASHAs and Anganwadi workers. In a noteworthy move, the budget also unveiled a roadmap for addressing long-term capacity building by investing in healthcare infrastructure, and converting existing hospitals into medical and nursing colleges. This will go a long way towards addressing the skill shortage in the healthcare industry and create millions of jobs. These initiatives align with our commitment to provide comprehensive health coverage across all our hospitals.

-Viren Shetty, Executive Vice Chairman, Narayana Health

The paramount importance lies in capacity building within the realm of public health. A robust focus, particularly through the creation of more medical colleges in the country, is crucial. Assessing the practicality of integrating various healthcare programs and ensuring seamless implementation underscores the critical need for adequate resources. While acknowledging the positive aspects of the government’s initiatives, a cautious approach is urged to avoid disruptions in ongoing healthcare efforts. Integrating several schemes into one flagship program may create a gap in delivery systems. From a strategic perspective, the creation of additional medical colleges emerges as a key component in enhancing the overall capacity of the healthcare system, aligning with a future-oriented vision for a strengthened and resilient health infrastructure.

–Sugandh Ahluwalia, Chief Strategy Officer, Indian Spinal Injuries Centre, New Delhi

Union Budget has given a boost to research and innovations with a corpus of Rs 1 lakh crore for long-term financing and refinancing. This is a welcome step. However, the government has not touched import duties in the interim provisions, we can expect this in the full budget by the next government.  The tax rationalisation would be necessary to gear up for an aspirational $50 billion medtech economy. The heavy import duties on medical equipment affect operational costs. The medtech industry was expecting a reduction of import duties, creating a win-win situation for both manufacturers and large hospitals.

–Prashant Arer, India Head, Enbio Group AG

The integration of nutrition delivery, early childhood care schemes, and other health programs into a comprehensive program is a holistic approach. We welcome such a move but stress the need for effective coordination among different departments to ensure seamless service delivery. Interdepartmental collaboration will be key to success. The government’s proactive approach to addressing the healthcare sector’s needs is commendable. Going forward, we need to have such innovative policies that not only strengthen the sector but also ensure affordable and quality healthcare for the 1.4 billion citizens.

–Dr Anand Bansal, Medical Director, Sri Balaji Action Medical Institute

We commend the visionary policies outlined in the interim budget, which will steer our nation towards a healthier future. We laud the administration’s effort towards establishing more medical colleges by leveraging the existing hospital infrastructure, aiming to empower the ambitious youth population who aspire to serve the country through healthcare services. Moreover, the introduction of the U-Win Platform for the immunisation drives is a strategic move towards achieving comprehensive vaccination coverage and ensuring that every citizen receives timely essential vaccinations. The noteworthy extension of Ayushman Bharat cover to Anganwadi and Asha workers also reflects a strong commitment to the well-being of the healthcare workers who tirelessly contribute to the community’s health. In essence, this budget signals a holistic approach to healthcare services, addressing immediate needs while laying the foundation for a robust healthcare system in the coming years.

-Koji Wada, Managing Director, FUJIFILM India

Given the Government’s perspective of keeping the interim budget an on-account vote, the Finance Minister did not dwell into any specifics, leaving the changes for the full budget post elections. While she spoke of the past performance, as far as the Health Science Sector is concerned, there was some perspectives on things to come in future.

There was a commitment to focus on setting up medical colleges in existing hospitals, focus on women healthcare with encouragement of cervical cancer vaccination for young girls, maternal and childcare related schemes for improved nutrition delivery, early childhood care and development etc. The focus on research and innovation was given a further boost by announcing a one lakh crore corpus for providing interest free loan for a long duration for research and innovation for private sector.  Also the cover under Ayushman Bharat Scheme has been extended to cover ASHA workers, Anganwadi workers and helpers.

On the tax front, the expectation of extension of concessional tax regime of 15 per cent for manufacturing facilities beyond 31 March 2024 remained unmet.

While we will look at the full budget in July for more details, what is also positive is that there is increase in outlay on Health for FY 2024-25 versus the revised estimates for FY 2023-24. So overall the budget continues the path for growth of healthcare and access in India.

–Hitesh Sharma, Partner, Life Sciences Leader-Tax, EY India

The Finance Minister’s extension of Ayushman Bharat coverage to Anganwadi and Asha workers is a commendable move, prioritising the well-being of healthcare frontline workers. The consolidation of maternal and child healthcare schemes into a comprehensive program streamlines efforts for better outcomes. Committing to raise the Lakhpati Didi scheme target to Rs 3 crore reflects dedication to women’s economic empowerment. The emphasis on tech-savvy youth and innovation as a linchpin for national development is encouraging.

At Medulance, the launch of our Healthcare Academy aligns with the government’s vision, focusing on uplifting healthcare standards, creating employment opportunities through training and upskilling. We launched the academy in collaboration with the children of Robin Hood Army with an aim to raise awareness about the significance of our commitment to ensure quick access to essential medical services, making healthcare universally accessible, equitable, and sustainable. The Medulance healthcare academy is a commitment to set a benchmark for excellence, professionalism, and compassion. Our vision is to be the trusted guardian of health, fostering a safer and healthier society for all.

–Pranav Bajaj, Co-Founder, Medulance Healthcare

The healthcare sector has found prominence in the Interim Budget, with policy announcements aimed at empowering youth and facilitating inclusive development. These include setting up of more medical colleges by utilising existing hospital infrastructure to provide greater opportunity to the youth. This should help to develop the talent pool for the sector and capitalise on growing requirements. Other noteworthy announcements reflect a progressive approach touching upon important aspects like preventive vaccination against cervical cancer and increasing focus on maternal and child health care including nutrition together with effective use of technology. Overall, good policy intent for the sector.

-Joydeep Ghosh, partner, industry leader—life science & health care, Deloitte Touche Tohmatsu India LLP

The budget has retained Healthcare as one of its vital points, though allocation to the healthcare sector is not very clear. The budget clearly focuses on improving healthcare for women and children, emphasising on important areas, viz cervical cancer. It is appreciated that there is a recognition of using existing infrastructure for various purposes i.e. medical colleges and U-WIN platform for managing immunisation and intensified efforts of Mission Indradhanush (that aims to achieve the Sustainable Development Goal of ending preventable child deaths). This would ensure expedited implementation and is a step towards achieving more with less. Further, extending Ayushman Bharat Scheme to ASHA workers, Anganwadi Workers and Helpers  demonstrate the care for caregivers. In pharma space, in line with the Green Agenda, Bio-pharma has been specifically called out by the Hon’ble Finance Minister. While there are efforts being taken by the industry players in this space, it would be exciting to see the scheme towards bio-manufacturing for the purposes of bio-pharmaceuticals.

-Shuchi Ray, Partner, Deloitte India

This budget signifies a monumental leap for India’s healthcare, strategically prioritizing preventive measures and comprehensive access. The emphasis on cervical cancer vaccination for young girls and extending the Ayushman Bharat scheme to frontline workers reveals a visionary commitment to public health. The move to establish more medical colleges within existing infrastructure addresses a critical workforce shortage. Besides, focusing on establishing medical colleges, investing in the latest technology and innovation will play a critical role in equitable access to health.

Consolidating maternal and child healthcare schemes demonstrates a cohesive strategy for our nation’s vulnerable populations. The rapid enhancement of Anganwadi centers and the introduction of the U-Win platform for managing immunisation and intensification of Mission Indradhanush across the country underscore India’s tech-driven evolution in healthcare delivery.

As the global pharmacy to the world, India has a unique opportunity that should be leveraged by strengthening and harmonising its regulatory compliance ecosystem with the rest of the globe.

-Aman Gupta, Managing Partner-Health Practise Asia, SPAG