India loses $0.8–$1 trillion annually due to disease burden: Bain, NATHEALTH report

Report links healthy life expectancy, healthcare investment and GDP growth under Viksit Bharat vision

A report by Bain & Company and NATHEALTH states that India’s disease burden results in an annual opportunity cost of approximately $0.8–$1 trillion due to reduced workforce participation. The report, titled Swasth Bharat se Viksit Bharat: Investment in health is central to India’s journey toward a wealthy nation, outlines the link between population health and economic growth.

The report states that improving population health will be required to sustain long-term economic growth and utilise the demographic dividend window from 2019 to 2053, when a larger share of the population is of working age. It notes that outcomes depend on labour force size, health, productivity and resilience. Estimates indicate that India loses approximately 37,000 healthy life years per 100,000 population due to premature mortality and years lived with illness.

Analysis across around 190 countries shows that once healthy life expectancy exceeds approximately 57 years, GDP per capita growth increases. Each additional year of healthy life expectancy is associated with approximately 7.5 per cent higher GDP per capita.

India’s healthy life expectancy has increased from approximately 50 years in 1990 to approximately 61 years. Parijat Ghosh, Head of Asia-Pacific Healthcare & Life Sciences practice, Bain & Company, said, “We’ve made important progress in improving access and outcomes over the past decade, but the next phase requires sharper focus. The fact that raising HALE from 61 to 70 could deliver a 5x increase in GDP per capita shows how critical it is to double down on prevention, strengthen delivery capacity, and scale digital health across the system,” said Parijat Ghosh, Head of Bain & Company’s Asia-Pacific Healthcare & Life Sciences practice. “This improvement alone could contribute about 70 per cent of India’s aspiration to reach $18,000–$20,000 GDP per capita under the Viksit Bharat vision.” he adds.

The report compares India with countries such as China, South Korea and Poland, where higher healthy life expectancy is associated with higher GDP per capita. It notes that countries that achieved 10-year gains in healthy life expectancy over the past three decades recorded around two times higher GDP per capita growth.

The report estimates that India will need to increase current health expenditure from approximately 3–4 per cent of GDP to 6–7 per cent over time to improve health outcomes. This investment will support expansion of healthcare infrastructure, workforce capacity, prevention, early intervention and access to care.

Ameera Shah, President, NATHEALTH and Promoter & Executive Chairperson, Metropolis Healthcare, said, “Health must be viewed not as a cost, but as a long-term investment in India’s economic future,” said Ameera Shah, President, NATHEALTH and Promoter & Executive Chairperson, Metropolis Healthcare. “While India has made meaningful progress in expanding access and improving outcomes over the past decade, the next phase will require a step-change in both investment and execution. Bridging the current investment gap, strengthening healthcare infrastructure and workforce capacity, and enabling more coordinated, outcome-driven policy implementation will be essential. With the right policy support and industry collaboration, India can accelerate progress toward equitable, high-quality healthcare for its population. NATHEALTH can play a vital role in bridging this gap.”

The report states that increased investment will need to be supported by coordinated execution across financing, service delivery, workforce development, digital infrastructure, procurement and governance frameworks.

It identifies prevention-led universal health coverage, expansion of healthcare capacity, adoption of digital health and policy measures influencing behaviour as priorities.

Dr Sangita Reddy, President Elect, NATHEALTH and Joint Managing Director, Apollo Hospitals, said, “India today has many building blocks in place—strong policy momentum, a vibrant private sector, and rapidly advancing digital capabilities. The opportunity now lies in bringing these elements together with a sharper focus on prevention, early diagnosis, and continuity of care.”

She further added, “Moving forward, the system must shift from being predominantly treatment-led to one that prioritises wellness, early intervention, and long-term health outcomes. This will require deeper integration across primary, secondary, and tertiary care, alongside stronger alignment between public and private stakeholders.”

The report states that improving population health will be central to economic and social progress as India advances towards the Viksit Bharat 2047 goal. 

Bain NATHEALTH reportGDP growth healthcare Indiahealthy life expectancy IndiaIndia healthcare investmentViksit Bharat health report
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