Public-Private Partnership in Health Care: An Indian Experience

India with its ever growing population and insufficient infrastructural facilities has been very often experiencing major health related disasters. Sharp division among the rich and poor and majority of poor suffering from lack of basic amenities increases the scope for health emergencies among the public. The poor, struggling to gather two square meals per day are forced to neglect their health problems. Hospitalized Indians spend on an average 58% of their total annual expenditure for medical purposes.Out of these over 40% borrow heavily or sell assets to cover expenses and over 25% fall below poverty line because of hospital expenses. (NRHM, 2012). Inability of Public health sectors to provide quality health services compel the poor to seek services from private sector. Private health sector in India consists of large volume of health services but with little or no regulation. They often charge high for consultation or for treatment of diseases. The poor borrow money or sell their livelihood to meet the costs. Public sector partnership with private health services (PPP) is therefore a device considered to regulate inefficiencies in Public health services and make available the best services at marginal prices to the poor. Further there is a growing realization of the fact that, neither the public sector nor the private sector alone can operate in the best interests of the public. The paper focuses on PPP model that helps to provide health services to the poor. It covers PPPs working in clinical care services, diagnostic services and ICT based health services. It would provide insights into-policy perspectives on PPP in health sector, bottlenecks in the partnership forged, operational issues of the model and accessibility to poor through this innovative model.