Thursday, October 9, 2025

What is healthcare budget and why is it important

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A healthcare budget is an essential element in the Union Budget. It is a financial plan for developing, maintaining and improving the country’s healthcare system. This budget covers various aspects, including infrastructure, medical research, preventive care, health insurance and public health programmes.

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In the Union Budget 2024-25, ₹90,958.63 crore was allocated for the country’s healthcare sector. The government allocated ₹87,656.90 crore to the health and family welfare department and ₹3,301.73 to the health research department.

Here are the key highlights:

Ayushman Bharat Pradhan Mantri Jan Arogya Yojana (AB PM-JAY) got an allocation of ₹7,300 crore.

The budget allocation for the National Digital Health Mission, popularly known as Ayushman Bharat Digital Mission (ABDM) remained at ₹200 crore.

The government allocated ₹36,000 crore to the National Health Mission (NHM). The budget allocation for the Indian Council of Medical Research (ICMR) was raised to ₹2295.12 crore.

The National Tele Mental Health Programme was allocated ₹90 crore.

The Union Budget allocated ₹18,013.62 crore for autonomous bodies. The allocation for All India Institute of Medical Sciences (AIIMS), Delhi, was increased to ₹4,523 crore.

Union Finance Minister Nirmala Sitharaman announced full exemption of customs duty on three key cancer drugs. The Budget also announced a cut in customs duty on components of X-ray tubes and digital detectors.

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