MTaI outlines health spending priorities ahead of Union Budget 2026–27

With the Union Budget 2026–27 around the corner, stakeholders across India’s healthcare ecosystem are closely tracking whether the recent momentum in health spending will be sustained and deepened. At a time when non‑communicable diseases, cancers, trauma and critical care needs account for a large share of India’s disease burden, this Budget is a crucial opportunity for the government to invest more deeply in public health infrastructure, prevention and technology‑enabled care. The industry expects that this year’s proposals will prioritise these critical areas so that quality healthcare becomes accessible and affordable for every Indian, not only those living in metros.

Pavan Choudary, Chairman, Medical Technology Association of India (MTaI), while speaking on this year’s budget shared, “India is responding to a shifting global environment through well-negotiated FTAs that move beyond tariffs to enable deeper technology transfer and research collaboration in healthcare. For patients to benefit, public health financing must advance alongside it. The ₹5-lakh Ayushman Bharat–PM-JAY cover for senior citizens has already widened access to hospital care. Expanding insurance to include more effective procedures will strengthen patient outcomes and encourage responsible medical innovation.”

While sharing views on upcoming budget Sanjay Bhutani, Managing Director, Bausch & Lomb & Director, MTaI stated, “A larger and clearly protected allocation within the health budget should be directed towards strengthening primary care and diagnostic capacity, particularly in Tier 2, Tier 3 and rural geographies. Investment in preventive services, point-of-care diagnostics and integrated referral systems delivers high economic returns by reducing avoidable hospitalisation and long-term care costs.

Public spending should prioritise interoperable digital health records and remote monitoring frameworks to improve continuity of care, data-driven decision-making and system efficiency. As India enters a phase of gradual population ageing, timely investment in health infrastructure, skilled human resources and delivery systems is critical to mitigate future fiscal and social risks.

Equally important is sustained investment in quality education and school infrastructure to build a future-ready workforce capable of supporting healthcare delivery, innovation and productivity. A calibrated, value-based approach to public expenditure – anchored in prevention, diagnostics, digital enablement and human capital development – will strengthen India’s resilience and accelerate progress towards inclusive and sustainable growth.”

Taken together, these measures would signal that the Union Budget 2026–27 combines fiscal prudence with a clear commitment to better health outcomes. By aligning trade policy, health financing and technology adoption, the government can turn this Budget into a turning point for equitable, future-ready healthcare.