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The Economic Survey 2023-24 highlights a decline in out-of-pocket expenditure on health as a percentage of total health expenditure from 64.2% in FY14 to **48.2%** in FY19 . Let's elaborate on this finding: Decline in Out-of-Pocket Expenditure on Health 1. Background: Out-of-Pocket Expenditure (OOPE): OOPE refers to the direct payments made by individuals to healthcare providers at the time of service use. High OOPE is often indicative of inadequate public healthcare financing and can lead to financial hardship for households. 2. Key Statistics: - In FY14, out-of-pocket expenditure constituted 64.2% of total health expenditure in India. - By FY19, this percentage had reduced to 48.2%. 3. Contributing Factors: Increased Public Health Spending: The government has increased its spending on public health services, aiming to provide more comprehensive and accessible healthcare to the population. This includes investments in primary health centers, district hospitals, and specialized health schemes. Health Insurance Schemes: Initiatives like Ayushman Bharat - Pradhan Mantri Jan Arogya Yojana (PMJAY) have been instrumental in reducing OOPE. PMJAY provides health coverage to millions of vulnerable families, covering a wide range of medical services and reducing the financial burden of healthcare. Subsidized Medications and Treatments: Programs aimed at providing subsidized medications and treatments for chronic diseases have helped lower the cost of healthcare for individuals. Awareness and Preventive Care: Increased awareness about preventive healthcare and early diagnosis has led to a reduction in the need for more expensive treatments later on. Government campaigns and community health programs have contributed to this shift.
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