Privatisation of healthcare will aggravate poverty: Doctors

Speakers at an interactive session on ‘Present Health Scenario in Punjab – The Way Forward’ warned that the government’s low priority towards spending on health was driving families to catastrophic out-of-pocket (OOP) expenses, often forcing them to sell assets or borrow for treatment.

The event was jointly organised by the Indian Doctors for Peace and Development (IDPD), PAU Employees Union, and PAU Pensioners and Retirees Welfare Association.

Dr Arun Mitra, president of IDPD, said India remained among the lowest spenders on public health globally. “NITI Aayog itself admits that OOP expenditure pushes nearly 7 per cent of the population into poverty annually. Our poor ranking of 102 out of 123 in the Global Hunger Index reflects how malnutrition makes people more vulnerable to disease,” he noted.

Despite government promises to raise health spending to 2.5 per cent of the GDP, allocations remain below 2 per cent, far short of the WHO-recommended 6 per cent. He criticised the piecemeal approach, reliance on insurance-based models, and growing corporate entry into healthcare, saying these have failed to meet people’s needs.

Dr Indervir Singh Gill, member of IDPD’s central council, cautioned that Punjab was among the highest OOP states.

“Half the sanctioned posts of general medical officers and specialists remain vacant, leaving a population of over 3 crore underserved. Health allocation in the state budget is less than 2 per cent, while spending as a share of Punjab’s GDP is only 0.7 per cent against NITI Aayog’s recommended 2.5%,” he said.

Gill warned that the government’s plan to privatise civil hospitals and open new medical colleges under the Public Private Partnership (PPP) model would further impoverish low-income groups and demanded immediate withdrawal of the proposal.

Under the plan, upcoming medical colleges in Sangrur and Shaheed Bhagat Singh Nagar will be established through the Punjab Infrastructure Development Board (PIDB). Tenders have already been floated.

Critics argue this will make medical education unaffordable, as annual tuition in government colleges is about Rs 1.8 lakh, while private institutions charge up to Rs 12 lakh. Residents and health activists demanded a substantial increase in health allocation in the state budget to strengthen public healthcare and ensure equitable access.