Let the private parties give 40% of the treatment at subsidised costs, and the rest at market rates by way of cross subsidising expenses. The private parties will make money, the long queue of patients standing in undignified misery will disappear. Healthcare facilities will come up, at cheaper costs than if the entire deal were given to private players.
That will reduce the risk of expenses for families and for insurance companies. In fact, insurance companies could be persuaded to take up stakes in the out-patient-department (OPD) facilities, so that diagnostics could permit them to introduce premiums based on preventive treatment.
Simultaneously increase the number of medical seats – and seats for nursing and paramedics — so that the numbers double each year for the next five years. That will ensure that the blackmarket in medical education vanishes.
India could begin attracting students from overseas and earn precious foreign exchange. Moreover, every foreign student is like a long-stay tourist, who also contributes to the rest of the economy. The student travels, entertains and celebrates, making purchases from local suppliers. India benefits. Blackmarketeers lose.
By not doing this, the government appears to be protecting the interests of education blackmarketeers and actually make this country weaker. Not surprisingly, India’s HCI is the lowest in this neighbourhood (with the sole exception of Pakistan). Even Bangladesh invites some 500 students from India to study medicine there.
Handled well, this could allow medical tourism to flourish as well.
One more thing – if India produces more doctors and nurses than the domestic demand, they can become part of India’s manpower exports which bring in remittances.
Are India’s policymakers that dumb? Can they stop eulogising political leaders and instead get down to drafting sensible policies?
The government utter failure to strengthen India – Atma Nirbhar is only a slogan without education and health – should not be concealed. India’s policymakers will never learn how to make India strong, unless analysts point out to the basic flaws in their approach towards economic reform. If the policymakers genuinely believe in Atma Nirbharta (self reliance), please begin with education and health.
Unfortunately, these two sectors are the primary major failings of this budget. More on other shortcomings in the next part of this article.
The author is consulting editor with FPJ