The Union Budget presents a transformative opportunity to address critical gaps in India’s healthcare and wellness sectors. With public health expenditure currently at just 1.9% of GDP, experts stress the need for enhanced allocations to improve accessibility and efficiency, particularly in rural and underserved areas. Stakeholders across sectors advocate for increased investments in primary healthcare, digital health, and preventive care to foster long-term sustainability. Additionally, GST rationalization for nutraceuticals, better funding for early childhood development, and support for mental health services remain key priorities. Experts also emphasize the importance of boosting public-private partnerships, advancing medical tourism, and empowering healthcare workers to create a robust, inclusive healthcare ecosystem that meets the needs of India’s growing population.
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According to Mr. Davinder Bhasin, Founder, One Health Assist

With India’s healthcare expenditure currently standing at just 1.8% of GDP, we believe the upcoming budget would provide a significant opportunity to increase this allocation and strengthen the healthcare ecosystem. A focused investment in primary healthcare centers, especially in rural areas, which cover 65% of the total population, can help in reducing the distance and efforts to acquire quality care. Furthermore, with the rapid growth of the digital health sector, which is expected to surpass USD 9 billion by 2025, government-backed incentives for telemedicine and digital health services can boost affordability and accessibility. We also urge the government to enhance funding for preventive healthcare and wellness programs, which have proven to lower long-term healthcare costs by up to 20%. Building a robust public-private partnership model under the One Health framework will be critical in ensuring a more resilient healthcare system in the coming years.
According to Dr. Jyoti Kapoor, Founder and Director, Manasthali Wellness

This year, we are expecting a comprehensive and adequately funded mental health budget for 2025–26. This budget will not only address current mental health challenges but also set the groundwork for a more resilient and mentally healthy society. As the mental health landscape continues to evolve, it is essential that our budget reflects the increasing importance of mental well-being in our society. We urge a significant rise in funding for mental health services, including outpatient care, counseling, and community-based programs, to close existing gaps in access to resources and ensure individuals in need can easily obtain essential services. The COVID-19 pandemic has underscored the effectiveness and accessibility of telehealth services. Allocating resources to expand and enhance telehealth infrastructure for mental health consultations will improve access, particularly for those in remote or underserved areas, thus helping reduce disparities in mental health care. Additionally, the rise of the HMPV (Human Metapneumovirus) virus has highlighted the importance of addressing both physical and mental health challenges in parallel, as emerging infectious diseases can significantly impact mental well-being. Prevention plays a crucial role in mental health care, and we recommend allocating funds for the development and implementation of early intervention and prevention programs in schools, workplaces, and communities. These efforts will help reduce the overall burden of mental health issues and promote a healthier population.
According to Mr. Karan Khurana, Founder & CEO, Wishnew Wellness

Nutraceuticals industry needs GST rationalization currently the product attracts 18% GST request for making it preventive from middle to low income group. High pricing is contradicting our health objectives.
Reduce GST to 5% aligning with essential healthcare products this will improve accessibility and encourage preventive healthcare adoption. Manufacturing needs support for shared testing facilities to reduce compliance costs,50% Capital subsidy for WHO-GMP certified manufacturing units in Tier 2/3 cities. Need support for D2C platform focusing on preventive healthcare. Relaxation in R &D advancement for traditional ingredient validation, support for sustainable packaging innovation.
Strengthened Make in India initiative in healthcare sector and enhanced employment opportunities through dropshipping mode in Tier 2/3 cities this will encourage building heathier India and improved accessibility to preventive healthcare.
According to Mr. Vikrant Agrawal, Care.fi , Co-Founder

As we approach the interim budget announcement, we at Care.fi are hopeful for further initiatives to strengthen the healthcare ecosystem. A focused allocation for improving healthcare infrastructure, especially in underserved areas, and fostering public-private partnerships will enhance accessibility and efficiency. Schemes like Mission Indradhanush and Ayushman Bharat, which has reached 36 crore beneficiaries and authorized hospital admissions worth Rs. 1.16 lakh crore are critical, and we expect further investments to ensure universal health coverage.
India’s public healthcare expenditure increased from 1.6% of GDP in FY23 to 1.9% in FY24, with plans to reach 2.5% by FY25. We anticipate further allocation to accelerate innovation and improve healthcare delivery. We also look forward to reforms simplifying financial processes for healthcare providers. Continued support for digitization and AI-driven solutions will improve operational transparency and patient outcomes. At Care.fi, we remain committed to empowering healthcare workers through smarter financial solutions.
According to Ms. Sonam Garg Sharma, Medical Linkers, Founder

Union Budget presents a crucial opportunity to further propel this growth. At Medical Linkers, we are optimistic about the proposed initiatives aimed at simplifying the visa process for international patients, which will undoubtedly encourage more visitors seeking high-quality medical care in India. Additionally, providing tax benefits for international patients will not only ease their financial burdens but also make India an even more attractive choice for medical treatments.
For SAARC nations in particular, capping room tariffs in private facilities could serve as an effective cost solution, making medical treatments more affordable and accessible for international patients. We also hope to see increased investment in healthcare infrastructure through public-private partnerships. Reducing GST on medical equipment and consumables will be a key factor in enabling hospitals to adopt advanced technologies, enhancing the overall patient experience and treatment outcomes. Furthermore, the allocation of a larger portion of the GDP to healthcare is essential to address the growing demand for quality medical services across the country, particularly in tier-two and tier-three cities.
We look forward to a budget that fosters innovation, supports advanced healthcare technologies, and improves accessibility to high-quality medical care for international patients. The steps outlined will be instrumental in bolstering India’s position as a global leader in medical tourism.
According to Ms. Shweta Rawat, Founder & Chairperson, The Hans Foundation

As we approach Union Budget 2025, we look forward to continued emphasis on strengthening India’s healthcare system, with a particular focus on regions where access to primary and emergency care remains a challenge. By enhancing primary healthcare infrastructure and expanding affordable services, we can ensure better outcomes for underserved communities. Targeted investments in rural healthcare and robust public health programs will play a pivotal role.
We commend the government’s initiatives, such as Ayushman Bharat and the National Health Mission, which have significantly enhanced access to healthcare and reduced disparities. Building on this strong foundation, expanding these programs and incorporating mental health as a key component of primary care can further strengthen the healthcare framework. Mental well-being is integral to a healthier society, and community-led initiatives, coupled with awareness programs, can help address stigma and extend support to those in need, especially in rural areas.
Additionally, greater inclusion of individuals with disabilities across healthcare, education, and employment ecosystems will ensure equal opportunities for all, fostering a more equitable and prosperous society. Investing in these areas not only improves lives but also strengthens our nation’s collective progress.
According to Ms. Chirashree Ghosh, National Coordinator, FORCES
Childcare workers, such as Anganwadi workers and helpers, are essential to the provision of Early Childhood Development (ECD) services, but their efforts continue to be underappreciated There are more than 2.6 million Anganwadi workers attending to around 159 million children below six years old, making it concerning that many receive less than the minimum wage and do not have access to necessary benefits. As we near the budget, we encourage the government to boost funding to increase salaries, offer ongoing training, and guarantee improved working conditions. Acknowledging and uplifting these frontline workers is a vital investment to the country’s future.
Early Childhood Development (ECD) serves as the foundation for a child’s cognitive, emotional, and physical development, but it continues to lack sufficient funding. India has around 159 million children below six years old, yet less than 1.5% of GDP is presently dedicated to programs for children, including early childhood development services. This budget presents a chance to alter this by greatly increasing investments in integrated ECD programs, encompassing nutrition, healthcare, and preschool education. Sufficient funding can guarantee universal access to quality early childhood development programs, disrupt cycles of poverty across generations, and enable India’s children to achieve their full potential.
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According to Ms. Rati Misra, Executive Director at Milaan Foundation

In the last budget, only 2.28% of last year of the total allocation of the Union Budget 2024-25, highlighting a persistent trend that is both disappointing and discouraging. This allocation falls short of addressing the critical needs of India’s younger population. With 253 million adolescents in the country, including 120 million girls, it is imperative to prioritize and strengthen their foundation to ensure a brighter future.
This requires substantial and targeted financial investments across key areas such as health, education, skill development, workforce participation, infrastructure and safety. Such investments are not just expenditures but crucial enablers for unlocking the full potential of this demographic. Without these focused efforts, India risks missing the opportunity to fully harness its demographic dividend, which is expected to peak by 2041.
The window of opportunity is narrow and fleeting. Time is critical, and failing to act decisively and with the right kind of investments would mean losing out on a chance that may not reappear for generations.
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