Universal health coverage

Health financing & equity

02 resize

Health financing is at the heart of any health system—it determines who has access to care, what services are available and how equitably resources are distributed. Equity in health financing ensures that financial hardship does not prevent people from seeking care and that vulnerable populations are not left behind.


Why health financing matters

Around the world, inequities in health outcomes often reflect inequities in financing. In many low- and middle-income countries, high out-of-pocket expenditures continue to push millions into poverty. A well-designed health financing system should:

 

    • Pool risk equitably across the population
    • Ensure predictable and sufficient funding for essential services
    • Minimize financial barriers to access, especially for the poor and marginalized
    • Promote efficient and accountable use of resources

 

Ayushman Bharat: Pradhan Mantri Jan Arogya Yojana

As the founding CEO of the Ayushman Bharat - Pradhan Mantri Jan Arogya Yojana (PM-JAY), I had the privilege of designing and implementing a program that aimed to address the dual challenge of access and affordability. PM-JAY covers over 500 million Indians for secondary and tertiary care hospitalization, fully funded by the government. 

Equity was a core design principle of Ayushman Bharat. Key features included:

    • Targeting the most vulnerable 40% of the population based on deprivation and occupational criteria
    • No cap on family size or age, ensuring that large and multi-generational households were included
    • Gender-sensitive provisions, such as prioritizing women-headed households and covering childbirth-related procedures
    • Portability, allowing migrants and seasonal workers to access care across India
    • Elimination of point-of-care payments, offering cashless access to care in empanelled public and private hospitals

Regional & global good practices

Beyond India, countries across the Global South have pioneered innovative health financing strategies:

    • Thailand’s Universal Coverage Scheme pools tax-based funding to offer comprehensive benefits to all citizens.
    • Rwanda has achieved near-universal health coverage through community-based health insurance (mutuelles).
    • Indonesia’s Jaminan Kesehatan Nasional (JKN) is among the world’s largest single-payer systems.
    • Ghana’s National Health Insurance Scheme finances services through earmarked VAT and payroll deductions.

Selected articles & presentations

Modernising health finance
February 24, 2026   ·   Hindustan Times
Private Equity in Indian Healthcare: A case for regulatory safeguards
February 17, 2026   ·   Money Control
In the Wellness of All Things
June 6, 2025   ·   Economic Times
Rx, Dr India needed in the house
April 10, 2025   ·   Economic Times
Six Years of Ayushman Bharat: A beacon of health and hope
September 23, 2024   ·   Business Standard
Demography is Destiny
March 3, 2024   ·   Economic Times
Two Red Herrings, Four Challenges: CAG Report on Ayushman Bharat
August 17, 2023   ·   Times of India
How to make India’s Health System Fighting Fit
June 3, 2023   ·   Times of India
Four Tojan Horses of Inequalities
August 25, 2022   ·   Times of India
10 ways in which the pandemic will change our lives for ever
January 3, 2022   ·   Times of India
Oxygen for India: Building a more resilient health system
August 9, 2021   ·   Hindustan Times
यह संकट हमें काफी कुछ सिखा सकता है
May 13, 2020   ·   Navbharat Times
An Expert Explains: What SARS taught East Asia, and what India can learn from Covid
May 12, 2020   ·   Indian Express
Private sector must be a wholehearted partner of government in fight against COVID-19
April 16, 2020   ·   Indian Express
Covid-19: Private sector has a key role in the battle
April 13, 2020   ·   Hindustan Times
India’s Quest for Universal Health Coverage
April 4, 2020   ·   Yojana (Union Budget special)
Ayushman Bharat PM-JAY: Empowering Millions Of Indian Women With Access To Essential Healthcare
March 14, 2020   ·   Business World
PMJAY can help bridge the gender gap in availing of healthcare services
December 12, 2019   ·   Indian Express
The challenging quest for universal health coverage
December 11, 2019   ·   Hindustan Times
One year of Ayushman Bharat Pradhan Mantri Jan Arogya Yojana: 50 lakh hospital treatments with an eye towards universal health coverage
October 21, 2019   ·   Mygov.in
In one year, PM-JAY has created a framework for comprehensive universal healthcare
September 23, 2019   ·   Indian Express
Ten concerns on Ayushman Bharat: Universal healthcare is coming, here’s why those worries are mistaken
July 25, 2019   ·   Times of India
In Ayushman Bharat, primary and secondary healthcare complement each other
March 21, 2019   ·   Indian Express
No trade-offs in healthcare
November 9, 2018   ·   Indian Express

Key resources