The Committee recommended that at least 5% of the budget of the Department of Health & Family Welfare be allocated to the Department of Health Research.
Published Mar 15, 2025 | 7:00 AM ⚊ Updated Mar 15, 2025 | 7:00 AM
Synopsis: The Parliamentary Standing Committee on Health and Family Welfare expressed anguish over low budgetary allocation to health research. For a country of almost 1.5 billion people, the existing trend of the quantum of budgetary allocation over the years is abysmally low.
The Parliamentary Standing Committee on Health and Family Welfare has expressed deep concern over the budgetary allocation for the Department of Health Research (DHR), terming it “abysmally low”.
The Committee noted that the Budget Estimate (BE) for 2025-26 for the Department of Health Research (DHR) stands at ₹3,900.69 crore, which is just 3.91 percent of the total health budget.
Additionally, DHR received only 4.06 percent of the BE allocation for the Department of Health & Family Welfare (DoH&FW) for 2025-26, which amounts to ₹95,957.87 crore.
The Committee further observed that over the past five years, there has been no significant increase in the quantum of budgetary allocation for health research, which remains only 0.02 percent of the GDP.
“The Committee understands that public funding is the primary source of funding for meeting the expenditure on health research in India, therefore, the crucial role of healthcare research in advancing public health is undeniable. The Committee expresses anguish over low budgetary allocation to health research as in the opinion of the Committee, for a country of almost 1.5 billion people, the existing trend of quantum of budgetary allocation over the years is abysmally low,” said the Parliamentary Standing Committee Report presented to parliament on Wednesday, 12 March.
Considering global standards for investment in health research, the Committee has recommended that the government aim to invest at least 0.1 percent of the GDP in health research over the next five years.
The Committee acknowledges that, given the limited budget allocation, the Department of Health Research (DHR) is compelled to redefine its priorities. This includes focusing on National Health Priorities and high-impact research projects, adopting Public-Private Partnership (PPP) models for product development, and regularly monitoring, reviewing, and reallocating funds for ongoing projects and essential programmes.
“The counterbalancing measures taken by the Department highlight the financial constraints it is facing. In this regard, the Committee unanimously affirms that health research is fundamental to the future development of the country’s healthcare system and should remain a priority sector,” stated the Committee report.
In its 127th Report on Demand for Grants for 2021-22, the Committee recommended that at least 5 percent of the budget of the Department of Health & Family Welfare (DoH&FW) be allocated to DHR. It also urged the Department to set a goal of allocating 5 percent of the total health budget to health research within the next two years.
“The Committee is displeased to note that even after four years, none of these recommendations have been implemented. Accordingly, the Committee expresses its disappointment and strongly reiterates its earlier recommendation, lending its full support to the Department in its continued efforts to secure enhanced allocation from the Ministry of Finance,” the report stated.
The Committee also found that no major financial documents of the Government of India, such as the Economic Survey, specifically outline the allocation of funds for health research.
As a result, the low 3.91 percent allocation for research in the health sector, when compared to the total health budget, gets overshadowed by the larger, more prominent figures of the Department of Health & Family Welfare (DoH&FW).
In the Committee’s view, a change in the Government’s approach towards prioritising health research should begin with prominently highlighting the funds allocated for health research in key financial documents and indicators. These indicators reflect the importance accorded to the health sector and help in assessing the trajectory of growth in health research.
The Committee strongly objects to such drastic budget cuts in the absence of compelling justifications. It recommends that DHR make every effort to convince the Ministry of Finance to secure the necessary funds for these game-changing schemes.
Additionally, the Committee firmly believes that the Government and the Ministry of Finance must prioritise health research. It expects the Department to calibrate its funding demands based on statistics and expert recommendations, address administrative inefficiencies in project submissions, and ensure all necessary groundwork is completed before approaching the Ministry of Finance for a higher budgetary allocation under specific schemes.
(Edited by Majnu Babu).
