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DAILY NEWS ANALYSIS

  • 10 March, 2021

  • 7 Min Read

Pradhan Mantri Swasthya Suraksha Nidhi (PMSSN)

Pradhan Mantri Swasthya Suraksha Nidhi (PMSSN)

Importance of Health

  • Health is vital for improved developmental outcomes. From an economic standpoint, better health improves productivity, and reduces losses due to premature death, prolonged disability and early retirement.
  • Health and Nutrition also directly impact scholastic achievements and have a bearing on productivity and income. Health Outcomes depend substantially on public spending on health.
  • One extra year of population life expectancy raises GDP per capita by 4%, Investment in health creates millions of jobs, largely for women, through a much needed expansion of the health workforce
  • In the budget speech 2018, the Finance Minister while announcing Ayushman Bharat Scheme, also announced replacement of existing 3% Education Cess by 4% Health and Education Cess.

Cabinet approved creation of PMSSN as a single non-lapsable reserve fund for share of Health from the proceeds of Health and Education Cess levied under Section 136-b of Finance Act, 2007.

Salient features of the PMSSN

  • A non-lapsable reserve fund for Health in the Public Account;
  • Proceeds of share of health in the Health and Education Cess will be credited into PMSSN;
  • Accruals into the PMSSN will be utilized for the flagship schemes of the Ministry of Health & Family Welfare namely,
  • Ayushman Bharat - Pradhan Mantri Jan Arogya Yojana (AB-PMJAY)
  • Ayushman Bharat - Health and Wellness Centres (AB-HWCs)
  • National Health Mission
  • Pradhan Mantri Swasthya Suraksha Yojana (PMSSY)
  • Emergency & disaster preparedness and responses during health emergencies
  • Any future programme/scheme that targets to achieve progress towards SDGs and the targets set out in the National Health Policy (NHP) 2017.
  • Administration and maintenance of the PMSSN is entrusted to Ministry of Health & Family Welfare; and
  • In any financial year, the expenditure on such schemes of the MoHFW would be initially incurred from the PMSSN and thereafter, from Gross Budgetary Support (GBS).
  • The major benefit will be: enhanced access to universal & affordable health care through availability of earmarked resources, while ensuring that the amount does not lapse at the end of financial year.

Source: PIB


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