Trends and Composition of Public Health Expenditure in Haryana

Abstract

Background: Public health expenditure is a critical determinant of human capital development and long-term economic sustainability. In the context of the Indian federal structure, states bear the primary responsibility for health service delivery. Haryana, despite being one of India's economically wealthiest states with a high per capita income, presents a complex landscape of health outcomes and fiscal priorities.

Objective: This study examines the trends, growth, and structural composition of public health expenditure in Haryana over the period [Insert Years, e.g., 2001–2022]. It seeks to evaluate whether the state's fiscal allocation toward the health sector has kept pace with its economic growth and to identify shifts between revenue and capital spending.

Methodology: The study utilizes secondary data sourced from the Statistical Abstract of Haryana, Annual Financial Statements (Budget Documents), and RBI Reports on State Finances. Analytical tools, including Compound Annual Growth Rates (CAGR), trend analysis, and ratio analysis (Health Expenditure as a % of GSDP and Total Budget), are employed to assess fiscal commitment and allocated efficiency.

Findings: Preliminary analysis reveals a steady absolute increase in health spending; however, as a proportion of State Gross Domestic Product (SGDP), the allocation remains below the National Health Policy target of 2.5%. The composition of expenditure is heavily skewed toward Revenue Expenditure (salaries, administrative costs, and recurring operational expenses), often exceeding 90% of the total health budget. Conversely, Capital Expenditure essential for infrastructure expansion shows a volatile and relatively stagnant trend. Furthermore, a significant portion of the budget is concentrated in tertiary care and administrative regulation, potentially at the expense of primary healthcare and research.

Conclusion: The study highlights a "fiscal-health gap" in Haryana, where economic prosperity has not proportionately translated into robust public health investment. The findings suggest a need for a strategic shift in the composition of spending, emphasizing increased capital outlay and rural health infrastructure. Policy interventions should focus on improving the quality of revenue spending and ensuring that fiscal allocations are aligned with the state’s evolving demographic and epidemiological transition.