BMC Budget 2025: Rs 7380 crore allocated for Health, Proposes PPP model for hospitals

In FY 2024-25 Rs 7,191.13 crore was allocated to the health sector of the total budget of Rs 59,954.75 crore while in FY 2022-23, it was Rs 6,934 crore out of Rs 45,949 crore. Amid this budgetary cut, the BMC has announced a significant shift in its approach to healthcare management. The civic body plans to hand over multiple hospitals and health centres to private entities under a Public-Private Partnership (PPP) model, reports Free Press Journal.

Key Concerns Regarding PPP Model:

The proposed outsourcing, set for 30 years, includes several key facilities such as the 490-bedded Bhagwati Hospital, a 300-bedded hospital transferred from MMRDA, Punjabi Galli Diagnostic Center, Jakhadevi Multi-Specialty Clinic, and Vikhroli Parksite Hospital.

However, there seems to be a lack of clarity on the details of this transition. When questioned about the specifics, the Additional Municipal Commissioner (AMC) for Health Bipin Sharma and Deputy Municipal Commissioner (DMC) Sanjay Kurhade shifted responsibility to each other. While Sharma directed inquiries to Kurhade, the latter claimed he was unaware of the details.

As the city moves toward a privatized healthcare model, concerns remain over transparency and affordability. Milind Mhaske of the Praja Foundation highlighted the need for clear policies to ensure that private operators do not compromise affordability and accessibility in public healthcare. He stressed that while partnerships can improve efficiency, they must not come at the cost of equitable healthcare services for Mumbai’s residents, reports the Daily. “Whether a hospital is run by BMC or a private player, free or low-cost healthcare must remain a priority. The bed-sharing ratio for private operators should also be reduced to prevent exploitation,” he suggested.

Other initiatives:

Despite the reduced budget, BMC has outlined several key healthcare initiatives. These include the expansion of non-communicable disease screening, the establishment of ward-wise cancer care clinics, and the introduction of ‘Maa Mitra’ helpdesks to support pregnant women. Additionally, the civic body plans to set up 33 adolescent health centres across Mumbai.

Addressing a press conference after the presentation of the budget at the civic headquarters, BMC chief and state-appointed administrator Bhushan Gagrani said civic-run hospitals will be redeveloped and 3,515 beds, including 970 speciality and super-specialty beds and 153 Intensive Care Units (ICU) beds, will be added in the next two years, reports PTI. 

"At present, the government hospitals in Mumbai have around 15,000 beds, while private hospitals have about 31,000 beds. If we consider that Mumbai's population is two crore, its hospitals should have more beds as per the standards," he said. Mumbai currently has 250 'Aapla Dawakhana' (our dispensary) clinics operational, and 90 lakh patients have been treated there. In the budget, the BMC proposed to set up 25 new 'Aapla Dawakhana' clinics and three physiotherapy centres in the next financial year. "Though the zero prescription policy was adopted this year, it could not be implemented fully. In the new budget, we have proposed to implement it 100 percent," Gagrani said.