Gem Hospital director seeks higher health spending, rate revision under Ayushman Bharat in Union Budget

Feb 01, 2026

Chennai (Tamil Nadu) [India], February 1 : Healthcare professionals are eagerly awaiting the Union Budget 2026, with expectations centred around increased funding and reforms.
GEM Hospital Director P Senthilnathan on Sunday hoped for a boost in healthcare expenditure from 1.9% to 2.5% of GDP, aligning with the National Health Policy 2017 target.
"As we approach the budget announcement, those of us in the healthcare profession have specific expectations. To begin with, I am looking for a significant increase in healthcare spending as a percentage of our GDP. While it stood at 1.9% last year, the National Health Policy has set a target of 2.5% by 2025. I expect the government to bridge this gap so that the benefits of increased funding can reach everyone," P Senthilnathan told ANI.
He also said that while the Ayushman Bharat scheme has been successful, hospitals are being paid inadequate rates and these should be revised to encourage greater participation from private hospitals and ensure better care for economically weaker sections.
"The government's flagship insurance scheme, Ayushman Bharat, is undoubtedly performing well. However, we expect the reimbursement rates to be revised. This would encourage more corporate and private hospitals to participate, ensuring quality healthcare for downtrodden people."
Highlighting the need for a larger health workforce, Senthilnathan said that although the number of MBBS, postgraduate, and super-specialisation seats has increased significantly in recent years, healthcare is not dependent on doctors alone.
"While there has been a tremendous increase in MBBS, postgraduate, and super-specialisation seats for doctors recently, healthcare does not rely on doctors alone. We require a robust team of paramedical and nursing staff," he said.
Union Finance Minister Nirmala Sitharaman will be making history today when she presents her 9th consecutive Union Budget. This achievement makes her the first Finance Minister in India to deliver nine consecutive budgets, surpassing her own record.
With this ninth consecutive budget, Sitharaman moves closer to the overall record of 10 budgets held by former Prime Minister Morarji Desai, though Desai's presentations were not all consecutive.
Notably, she will surpass P Chidambaram and Pranab Mukherjee to become the second-highest-budget holder in Indian history. She's the first Finance Minister to present 9 consecutive budgets, showcasing her steady leadership under Prime Minister Narendra Modi since 2019.