Government expenditure on health in India has nearly tripled over the past decade to Rs 3.85 lakh crore in 2022-23, signalling a steady strengthening of public financing for healthcare and a visible easing of the burden on households, according to the latest National Health Accounts (NHA) estimates released by the Union Health Ministry. The tenth NHA report for 2022-23 shows that government health expenditure has increased from about Rs 1.30 lakh crore in 2013-14, reflecting sustained higher allocations for health at both the Union and state levels and a clear policy push toward universal health coverage and financial protection.
As a share of GDP, government health expenditure has risen from around 1.15 per cent in 2013-14 to 1.43 per cent in 2022-23 on the earlier GDP series, and stands at 1.48 per cent when calculated using the revised series with 2022-23 as the base year, as highlighted in the PIB note. The Health Ministry has underlined that health is also claiming a higher share of the overall government budget, with government health expenditure as a proportion of total government expenditure increasing over the decade, indicating that health is gradually being prioritised within public spending.
The NHA data points to a marked decline in the reliance on out-of-pocket spending, historically one of the biggest sources of financial hardship for Indian households. Out-of-pocket expenditure as a share of total health expenditure has fallen from about 64 per cent in 2013-14 to roughly 43 per cent in 2022-23, while the government’s contribution has increased to around 44 per cent of total health spending in the same period. Per capita government health spending has also risen significantly, roughly 2.5- 2.7 times over the decade, reflecting expanded public provisioning through schemes, programmes and free or subsidised services.
The official communication emphasises that increased government spending has been accompanied by a strategic focus on primary healthcare, with allocations for primary care more than doubling over the reference period. Health policy experts say that while the latest NHA numbers capture meaningful progress in public financing and a reduction in household burden, India will still need to continue raising the health share in total government expenditure and improve the efficiency of spending to move closer to the global benchmark of robust, equitable universal health coverage.
