Jennifer Mendoza
Research expert covering health, pharma and medtech
Healthcare in India - statistics & facts
India’s healthcare market is evolving rapidly, driven by the increasing prevalence of diseases, cost-effective healthcare delivery systems, technological advancements, adoption of health insurance, and government healthcare schemes. India has become the most populous country globally. Rising life expectancy, coupled with the gradual decline in mortality rates over the years has significantly contributed to the growth of the country’s population.
To cope with this growth, public health expenditure has been on the rise since 2014, with an increasing share of the country’s GDP being allocated to public health care. However, the healthcare system is dominated significantly by private healthcare providers.
With millions of Indians driven towards out-of-pocket health expenses, the government launched a new component of this scheme known as the Pradhan Mantri Jan Arogya Yojana (PM-JAY) in September 2018. It aimed at providing secondary and tertiary care to the estimated lower 40 percent of the population, free of charge. PM-JAY is completely funded by the government, and the central and state governments share the administrative and implementation costs of this scheme. India’s pursuit of universal health coverage through government programs is increasingly supported by digital health transformation, which enhances the accessibility and equity of healthcare delivery.
Moreover, artificial intelligence is revolutionizing the healthcare market by enabling early disease detection, tailored treatment plans to patients' needs, and accelerating the adoption of telemedicine. India’s healthcare landscape is entering a new era of efficiency and resilience steered by government initiatives, digital transformation, and the introduction of AI.
To cope with this growth, public health expenditure has been on the rise since 2014, with an increasing share of the country’s GDP being allocated to public health care. However, the healthcare system is dominated significantly by private healthcare providers.
India’s drive for universal health coverage
Owing to circumstances that favored the socio-economically advantaged sections of society, the government proposed a system of universal healthcare in 2015, also referred to as the Ayushman Bharat scheme. Over 780 million accounts were created under this scheme, with the majority belonging to Uttar Pradesh in India.With millions of Indians driven towards out-of-pocket health expenses, the government launched a new component of this scheme known as the Pradhan Mantri Jan Arogya Yojana (PM-JAY) in September 2018. It aimed at providing secondary and tertiary care to the estimated lower 40 percent of the population, free of charge. PM-JAY is completely funded by the government, and the central and state governments share the administrative and implementation costs of this scheme. India’s pursuit of universal health coverage through government programs is increasingly supported by digital health transformation, which enhances the accessibility and equity of healthcare delivery.
Digital health transformation
Digitalization has transformed the Indian healthcare system, playing a crucial role in making healthcare services more accessible, efficient, and affordable. With a growing population and the demand for high-quality care increasing, digital health solutions are helping bridge the gap. Government initiatives such as the Ayushman Bharat Digital Health Mission (ABHM) and the e-Sanjeevani program helped to establish a comprehensive digital health system and provide telemedicine services, especially in rural India.Moreover, artificial intelligence is revolutionizing the healthcare market by enabling early disease detection, tailored treatment plans to patients' needs, and accelerating the adoption of telemedicine. India’s healthcare landscape is entering a new era of efficiency and resilience steered by government initiatives, digital transformation, and the introduction of AI.
