Interim Budget 2024: Analysing Focus on Healthcare and Education over a Decade

While presenting the Interim Budget 2024, Union Finance Minister Nirmala Sitharaman outlined the government's commitment to strengthening the healthcare system.

While presenting the Interim Budget 2024, Union Finance Minister Nirmala Sitharaman outlined the government's commitment to strengthening the healthcare system. She proposed the establishment of more medical colleges and utilising existing hospital infrastructure. A dedicated committee will be formed to examine issues and provide recommendations.

One notable announcement was the encouragement of cervical cancer vaccination for girls aged 9-14. The Budget aims to streamline various maternal and child care schemes into a comprehensive program, with a focus on upgrading Anganwadi centres under "Saksham Anganwadi and Poshan 2.0" for improved nutrition delivery and early childhood care.

Under Ayushman Bharat, healthcare coverage will be extended to include ASHA workers, Anganwadi workers, and helpers. The U-WIN platform for managing immunisation and Mission Indradhanush will be rolled out nationwide.

HEALTH ALLOCATIONS OVER THE YEARS

According to the Centre for Monitoring Indian Economy, the percentage of GDP devoted to healthcare in FY14 was 0.26, and it remained relatively stable over the next three fiscal years, hovering around 0.25 per cent. However, a noticeable uptick occurred in FY18, where the allocation rose to 0.31 per cent.

FY19 and FY20 maintained high levels with 0.29 per cent and 0.32 per cent of GDP respectively allocated to healthcare. FY21, however, saw a substantial spike, reaching 0.41 per cent — the highest percentage in the decade. The subsequent fiscal years, FY22 and FY23, witnessed a partial decline, settling at 0.36 per cent and 0.29 per cent respectively. In FY 24, the revised estimate for healthcare is 0.27 per cent of the GDP.

EDUCATION INITIATIVES OVER THE YEARS

Sitharaman unveiled some key initiatives in the Interim Budget. The Skill India Mission's success was underscored, having trained 1.4 crore youth, reskilled 54 lakh individuals, and established 3,000 new Industrial Training Institutes. The expansion of higher learning institutions marked a significant achievement, with the establishment of seven IITs, 16 IIITs, seven IIMs, 15 AIIMS, and 390 universities.

The noteworthy surge of twenty-eight per cent in female enrolment in higher education over the last decade, particularly in STEM courses, reflects the government's commitment to fostering inclusivity and empowerment within the education sector.

Over the past decade, education spending as a percentage of GDP has witnessed fluctuations. In FY14, it represented 0.63 per cent of the GDP. However, a downward trend followed in subsequent years, reaching 0.34 per cent in FY22. FY23 saw a slight increase to 0.37 per cent but for FY24, education is 0.36 per cent of the GDP according to the revised estimate.

Published By:
Ashutosh Acharya
Published On:
Feb 1, 2024