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Union Budget 2021-22: Health Sector Likely to Get Maximum Attention, Survey Says
The healthcare sector in India is likely to receive maximum government attention in the budget to be unveiled on Monday as it faces the country that dares a global pandemic once in a century, a poll says.
The Assocham-Primus Partners survey included more than 550 industry participants, and 39.7 percent of respondents said health care would take the highest priority in terms of resource allocation and budget policy support.
Production emerged as the second major sector is expected to be in focus, with 14.7 per cent of respondents expecting it to receive the attention of the finance minister, followed by the SME (11.4 per cent), real estate (10.7 per cent) and infrastructure (9.6 per cent). percent) .
“The Covid-19 pandemic tested the limits of the global healthcare system. “While proactive government measures and the tireless efforts of front-line workers have helped pave the way, the pandemic has also brought about the fragility of the healthcare system,” the study said.
For measures that could strengthen the healthcare and pharmacy sectors, 67.3 percent of respondents expect a fund to be allocated to modernize the existing primary health care infrastructure.
This was followed by an expectation (62.9 per cent) that the government should increase investment in creating new primary health care infrastructure.
Regarding the aspirations of individual taxpayers, 79.3 percent of respondents said they would like to see a reduction in personal income tax rates, especially after the pressure on their profits in the pandemic-hit economy.
Tax rationalization for individuals is essential as reducing the tax burden on individuals would enable further spending. According to the survey, this much-needed boost would help create a multiplier effect on the economy.
“A significant increase in public spending is inevitable. “The pandemic has taught us that there are no choices other than large-scale public investment in the construction of primary health care centers, district hospitals, state capital levels,” said Assocham Secretary-General Deepak Sood.
As stated in the Economic Survey, there is a strong sense within the government to increase public spending on health care threefold from 1 per cent of GDP to 3 per cent of GDP, he added. Moreover, Sood said, at the same time, to support the nation’s economic health, amid green recovery growths, the next Budget should burden investment in infrastructure. “Budget allocation towards infrastructure and housing development will create a much-needed multiplier impact on the economy,” he noted.
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