Fostering Stability: Leading Women Leaders Breakdown Budget 2026

By: WE staff

Dr. Bhawana Awasthy, Vice President & General Manager | Clinical Oncology Leader: With 3 decades of experience in clinical practice and research, leads the India operations of a U.S.-based contract research organization, specialized  in women’s cancers.

In the Union Budget 2026–27, health and family welfare received roughly 1.9 per cent of total government expenditure—a modest rise in absolute terms, but clearly inadequate in relative terms when viewed against global benchmarks. India’s public health spending remains below 2 per cent of GDP, far behind the 5 per cent and above seen in most OECD nations, and well below emerging peers such as Malaysia (8.5 per cent), Russia (10.2 per cent), Brazil (10.5 per cent) and South Africa (15.3 per cent) as a share of government spending. This persistent gap underscores the chronic underinvestment in healthcare despite India’s growing disease burden.

A welcome highlight is the launch of Biopharma SHAKTI, with an outlay of ₹10,000 crore over five years, aimed at strengthening India’s biopharmaceutical ecosystem—spanning advanced manufacturing, biologics and biosimilars, clinical trial networks and regulatory capacity. Complementing this are plans to establish and upgrade NIPERs and accredit 1,000 clinical trial sites, critical steps towards building research capacity and global competitiveness. Given that India’s share in global clinical trials remains disproportionately low; these initiatives are a positive step in the right direction.

The budget also signals intent in mental health, with plans for a new NIMHANS, and improves cancer care affordability through customs duty exemptions on select drugs. However, while the National Health Mission saw a modest increase, persistently low fund utilisation remains a concern.

Notably absent are strong, targeted investments in pollution-related health risks, early detection and screening for cancers and non-communicable diseases, and infection prevention—areas that must become central to India’s healthcare strategy in the years ahead.