Looking beyond the Horizon - Modern Medicare

Looking beyond the Horizon

Micky Neelam Kachhap | 11 June, 2008 | 07:01 PM

The future needs of Indian healthcare delivery will be led by the demographic changes, transition from communicable to lifestyle diseases and ambitious economic growth aspirations, fi nds out Micky Neelam Kachhap

Health is a matter of state as itefl ects the quality of life of the citizens and impacts its economic growth. Therefore it is imperative for the healthcare deliverers to understand the changing need of its customers and adapt to this evolving environment. A lot of structural changes are expected to revolutionise the way health is delivered today. Further, it is fairly evident that the future of healthcare delivery in India will be led by the demographic changes, transition from communicable to lifestyle diseases and ambitious economic growth aspirations. However, the state of healthcare delivery in India is far from adequate. Plagued by weak infrastructure and several infi rmities the system refl ects a frail picture. Although a lot has been said about developing the present health system to meet the demands of the people, an obvious gap still exists. Nevertheless, India has the potential to be at the forefront of modern healthcare, given its strong base in quality health care professionals and consistent support from the private sector. India has the opportunity to harness these strengths to deliver quality health care not only for its people but to larger geographical regions as well The present snapshotHealthcare system in India has improved considerably in the last several decades. In just over fi ve decades, life expectancy of Indians has doubled, and the infant mortality rate halved. However, during the same period, India’s birth rate has declined by only 25 per cent. A look at the delivery sector wouldshow that an extensive network of government healthcare facilities both in rural and urban areas is an achievement in itself. Yet, its performance requires much improvement in comparison with other emerging economies, including most comparable nations in the region. On the contrary, the unorganised private sector has also developed to a noticeable extent. Major healthcare providers like Apollo, Fortis, Wockhardt, Manipal, GlobalHospitals and Care Hospitals etc are at the forefront of this growth. However, defi ciencies persist withrespect to access, affordability, effi ciency, quality and effectiveness, despite the high level of overall privateand public expenditure on health. According to government statistics, India’spopulation is currently around one billion and isstill experiencing high growth rates as comparedto most emerging nations. By the year 2015, India’spopulation will increase by a quarter to 1.24 billion.India’s ageing population will increase by 60 per centto 112 million by the year 2015, thus bringing a newdimension of healthcare delivery to the fore.Industry experts believe that the overall level offunding allocated for healthcare on a national basisis comparatively high (5.7 per cent of GDP), yet ifyou look minutely, the government’s funding forhealthcare (1.7 per cent of GDP) is low comparedto other emerging nations. Further, vast majority ofIndia’s population cannot afford adequate healthcare.Moreover, funding for healthcare is largely individual,rather than collective. While the insurance marketis booming, a larger chunk of the population is notinsured, particularly the population below povertyline. Current funding is being used sub-optimallyand is not directed towards maximising health gain.Additionally, signifi cant discrepancy exists in thedistribution of health facilities between urban andrural areas, between different States, and betweenpoorer and wealthier segments of the population.Moreover, the current structure of the healthcaredelivery system, especially public, does not provideenough incentives for improvement in effi ciency. Infact, there are stark defi ciencies in healthcare quality,whereas regulation is weak and is seldom enforced.Trends for demand in Healthcare

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