Affordable Healthcare has largely been a prerogative of Governments, the world over. However, in India with Public Health spending stagnant for many years at 1.5 to 2.0% of GDP, there is a huge gap in providing affordable. healthcare to the people. Healthcare that can be delivered only by Providers. who do not expect Profits.
For a Private Hospital this is impossible. What will constantly rising costs, of equipment, medicines, consumables and manpower, it is very difficult for them make any substantial reduction in their charges, to make it really affordable to the lower and middle income group.
Also, with most of these hospitals built with help from Banks, Private Equity and other Investors, there is constant pressure on Private Healthcare Providers to service their debts and also deliver healthy returns to their investors.
Hence the urgent need for any other means to plug India's ever widening gap in affordable healthcare.
Using CSR Funds is one practical and readily available solution that has not been adequately tapped. There are Funds available with Profit-making Corporates to be spent as part of their Corporate Social Responsibility. Currently this amounts to between Rs 12,000 to 15,000 Crores, generated every year. Here lies a practical solution to bridging India's gap in Affordable Healthcare. Even if 50% of this amount is spent on building up healthcare infrastructure, atleast 20,000 beds can be added every year, for providing affordable healthcare. With some of India's leading Corporates being among those with the largest CSR Funds, we can expect their involvement in such projects to ensure the Hospitals are built of a very good quality, with the latest in equipment and facilities and be professionally managed too.