Use medical tourists' money to treat poor Indians: Panel
A parliamentary panel in India has recommended that corporate hospitals implement a cross-subsidization model to fund healthcare for the poor using revenue from medical tourists. The proposal suggests linking government incentives to investments in underserved rural and tier-2/3 regions.
Why it matters
This policy proposal addresses the growing disparity in healthcare access between affluent and economically weaker sections of society in India.
NEW DELHI: Revenue earned from foreign patients and affluent Indians should help fund the treatment of poorer patients, the parliamentary standing committee on health and family welfare has recommended, proposing that corporate hospitals adopt a cross-subsidisation model to make advanced healthcare more affordable.The panel - headed by Samajwadi Party MP Ram Gopal Yadav - said hospitals that benefit from govt concessions such as subsidised land, tax incentives and 100% foreign direct investment (FDI) should earmark part of the revenue generated from medical tourism and high-paying patients to provide advanced tertiary care to economically weaker Indians.The recommendation is part of the committee's report on affordability and accessibility of healthcare, which noted that India's corporate hospital sector has recorded strong growth driven by high-value procedures, rising medical tourism and increasing revenue per occupied bed.
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