Households’ out-of-pocket spending on healthcare has declined from 63 per cent to 39 per cent and the government’s per capita expenditure on health has nearly tripled over the past nine years, according to the latest national health accounts estimates.

The estimates, released by the Union health ministry on Wednesday, show that the share of households’ out-of-pocket spending on health as a proportion of India’s total health expenditure declined from 62.6 per cent in 2014-15 to 39.4 per cent in 2021-22.

The government’s per capita expenditure on healthcare increased from ₹1,108 in 2014-15 to ₹3,169 in 2021-22, according to the estimates. The ministry said the increase in the government’s health spending has helped lower the health-related financial hardship endured by households.

Health experts have attributed the decline in the out-of-pocket expenditure to several initiatives by the Narendra Modi government, including a ₹5 lakh per year per household cover for hospitalisation for poor households and a free dialysis scheme.

The free dialysis scheme launched in 2015-16 has benefited over 2.5 million people, said Vinod Paul, member (health) in Niti Aayog, the Centre’s apex think-tank. “The decline in out-of-pocket expenditure reflects a very positive indicator,” Paul said.

“The methodology taken for these health estimates has improved over the last nine years and has resulted in a more robust and accurate account of the government’s expenditure on health.”