Union Budget 2025: Experts Laud Healthcare Reforms, Emphasise Accessibility and Affordability
The Union Budget 2025 has been widely praised by healthcare leaders for its significant reforms aimed at strengthening India’s healthcare infrastructure, improving affordability, and fostering innovation. Dr. Girdhar Gyani, Director General of the Association of Healthcare Providers India (AHPI), welcomed the government’s focus on nutrition and preventive healthcare, emphasizing that a well-nourished population forms the foundation of a strong healthcare system. He also lauded the announcement of daycare cancer centers in all district hospitals over the next three years, with 200 centers set to be established in FY 2025-26 alone, enabling timely diagnosis and treatment, particularly in underserved regions.
Mr. Probal Ghosal, Chairman and Co-founder of Ujala Cygnus Group of Hospitals, echoed similar sentiments, highlighting that the initiative to establish district-level daycare cancer centers will bring oncology services closer to patients, ensuring early diagnosis and timely treatment. He also emphasized the government’s decision to exempt basic customs duty on 36 life-saving drugs, alongside expanded patient assistance programs and concessional duties on bulk drugs, which will reduce drug manufacturing costs and alleviate financial burdens for patients battling cancer, rare diseases, and chronic conditions.
Beyond cancer care, Ghosal also praised the focus on rural healthcare infrastructure, particularly the expansion of broadband connectivity in government secondary schools and primary health centers (PHCs). This, he noted, will enhance digital health services such as telemedicine and remote consultations, extending quality healthcare access to even the most remote parts of the country.
Strengthening Medical Education and Public-Private Partnerships
Abhishek Kapoor, CEO of Regency Health, described the budget as a pivotal moment for India's healthcare sector, particularly highlighting the expansion of 10,000 medical seats this year, with a long-term goal of 75,000 additional seats in the next five years. This move, he said, directly tackles the shortage of healthcare professionals, while the establishment of 200 cancer centers addresses the urgent need for accessible cancer care.
He also noted that the government’s allocation of ₹1.5 lakh crore for public-private partnerships (PPP) signals a strong commitment to improving healthcare infrastructure. Additionally, initiatives like "Heal in India," featuring streamlined visa norms, position India as a global healthcare hub, boosting medical tourism. The establishment of an AI Centre of Excellence for Education and customs duty reductions on life-saving medicines further strengthen healthcare affordability and innovation.
Mr. Vikram Thaploo, CEO of Telehealth at Apollo Hospitals, highlighted similar themes, praising the integration of digital healthcare through broadband expansion in rural PHCs. He noted that public-private partnerships and medical tourism incentives will bolster India’s standing as a global leader in healthcare. He also emphasized the budget’s push for AI-driven innovation and making life-saving medicines more affordable through customs duty exemptions.
Inclusion of Gig Workers and Strengthening Universal Healthcare
Kamal Narayan Omer, CEO of IHW Council, commended the government for its inclusive approach to healthcare, particularly through the inclusion of gig workers under the PM Jan Arogya Yojana (PM-JAY). This move ensures that nearly 1 crore platform workers receive essential healthcare benefits, marking a significant step toward universal health coverage.
Omer also applauded the government’s push for medical tourism through the Heal in India initiative, along with visa norm streamlining, which will strengthen India’s position in advanced medical care. The focus on preventive healthcare, nutrition, and affordability of critical treatments makes this budget a strong step toward a more resilient and accessible healthcare ecosystem.
A Forward-Looking Healthcare Roadmap
Overall, the Union Budget 2025 has been hailed for its bold and progressive approach, addressing key challenges in cancer care, medical education, digital healthcare, and affordability of life-saving treatments. Experts unanimously agree that public-private collaboration, AI-driven innovation, and increased accessibility will drive India’s healthcare system toward a stronger and more inclusive future. However, stakeholders also emphasize the need for state governments to complement these efforts through dedicated incentives and funding, particularly in oncology services.