 "HEALTHCARE, HOSPITAL")
NatHealth, the apex healthcare industry body, has called for stronger public-private partnerships to address India's growing healthcare demands. The organisation also highlighted the crucial role of the private sector, which currently delivers over two-thirds of healthcare in the country.
At the NatHealth Annual Summit, key focus areas included expanding digital health, boosting healthcare exports, and strengthening the medtech sector. Discussions also highlighted challenges in Ayushman Bharat’s viability for private hospitals and the need for regulatory reforms to increase private sector participation.
Siddharth Bhattacharya, secretary-general of NatHealth, emphasised the need for collaborative efforts between the government and private sector to improve healthcare access and affordability as India works toward becoming a developed nation. “The private sector plays a pivotal role in healthcare delivery in India. To meet the rising demand, we need to foster an environment where public and private entities can work together more effectively,” he said.
NatHealth also underscored the potential of digital health to increase efficiency and improve healthcare access. Much of India’s healthcare system remains analogue; expanding digital health solutions can drive greater productivity and better patient outcomes.
India’s competitive position in terms of clinical outcomes and cost efficiency presents a major opportunity in global healthcare exports, valued at approximately $200 billion. NatHealth believes that, as India has one of the best cost-to-outcome ratios in the world, it needs to tap into the growing global demand, particularly in emerging markets.
The summit also addressed the need to strengthen India’s medtech industry. While exports to the US remain limited, experts believe geopolitical shifts may open up new opportunities in Europe and other emerging markets. India’s cost advantage and growing domestic demand make it a prime location for medtech innovation and production.
With rising healthcare demand due to an ageing population and increasing non-communicable diseases (NCDs), NatHealth stressed the importance of investment and infrastructure development. “We need to build more hospitals, enhance financing options, and create regulatory policies that support long-term growth,” Bhattacharya said.
A major discussion point was the limited participation of private hospitals in the government’s Ayushman Bharat health insurance scheme. Corporate hospitals have been hesitant to join due to low reimbursement rates and high operational costs.
“To increase participation, the government needs to either increase reimbursement rates or lower the cost structures for private hospitals,” stated Abhay Soi, president of NatHealth. Suggestions included reducing compliance costs and allowing higher hospital infrastructure to reduce per-bed expenses.
NatHealth also advocated for healthcare to be granted infrastructure status, which would enable access to lower-cost financing and structured investment products. “Private equity is currently filling the funding gap, but more affordable financing options are essential for sustainable growth,” said Soi.
