As India heads into the Union Budget for FY 2026 27, the government has an opportunity to further accelerate healthcare reforms by increasing public health expenditure to 2.5-3 per cent of GDP, said Gautam Khanna, CEO, P.D. Hinduja Hospital & Medical Research Centre, Mumbai.
Acknowledging the government’s sustained investment in strengthening India’s healthcare system over recent years, Khanna said higher budgetary allocation is essential to bridge infrastructure gaps, address the shortage of skilled healthcare professionals and improve the delivery of quality care across the country.
He emphasised the need for increased investment in strengthening district hospitals and expanding secondary and tertiary healthcare facilities. Greater focus on preventive care and early diagnostics in Tier 2, Tier 3 and rural regions, he said, would be critical in reducing regional healthcare disparities.
Highlighting India’s rapidly growing geriatric population, Khanna called for greater emphasis on geriatric care, including chronic disease management and age-appropriate healthcare infrastructure to meet the evolving needs of senior citizens.
Beyond higher public spending, he stressed the importance of access to long-term and affordable financing, along with a simplified tax framework, to enable scale and ensure long-term sustainability of the healthcare sector. Such measures, he noted, would support much-needed infrastructure expansion.
Khanna also urged the government to streamline the Ayushman Bharat scheme through broader procedure coverage, easier hospital empanelment and rationalised reimbursement timelines to unlock its full potential.
A holistic approach in the upcoming budget, he said, would help build a robust, inclusive and future-ready healthcare system for India.
