India’s Budget 2026 must prioritize prevention over hospital care

India’s healthcare system faces a major imbalance, with most funding directed toward hospital treatments rather than prevention. Yet, many of the country’s leading health issues—such as diabetes, heart disease and mental health conditions—could be avoided with earlier intervention. Experts now argue that the upcoming Union Budget 2026 must shift focus toward preventive care to secure long-term health and economic benefits.

Non-communicable diseases (NCDs), including hypertension, diabetes, cancer and mental health disorders, account for the majority of deaths in India. Despite this, the current system spends heavily on treating illnesses in hospitals instead of stopping them before they start. Ajay Mahipal, co-founder and general partner at HealthKois, insists that Budget 2026 should prioritise prevention and diagnostics to rebalance the system and drive sustainable growth.

Preventive care brings clear advantages: it cuts unnecessary hospital visits, protects family savings, boosts workforce productivity and supports long-term economic stability. To make this shift, experts recommend turning Ayushman Bharat’s Health and Wellness Centres into fully functional prevention hubs. These centres would offer NCD screenings, mental health counselling, tele-consultations and ongoing follow-ups. A mission-driven approach is also needed, including annual NCD and cancer screenings for all adults over 30, alongside national registries to track priority conditions. Investments in training frontline health workers and expanding digital health tools would further strengthen the system. Fiscal policies, such as higher taxes on tobacco and sugary drinks, could also fund prevention efforts if the revenue is specifically allocated for this purpose. Strengthening primary care remains the cornerstone of this transition. Without a robust foundation at the local level, broader reforms risk falling short of their goals.

The Union Budget 2026 presents an opportunity to reshape India’s healthcare priorities. By focusing on prevention, expanding screening programmes and reinforcing primary care, the country can reduce its disease burden while improving economic resilience. Success will depend on sustained investment in both people and digital infrastructure to make these changes effective.