Vol: 3, Issue: 1 2013

Page: 024-033

Private Sector in Indian Hospital Industry: A Review

Naresh Vashist

This review paper represents the role of ‘private sector’ in healthcare delivery system of India, how has the private sector evolved over the decades and what has been the role of the government in propelling the growth. This paper highlights the factors which promote the growth of private sector in India in reference to the quality of medical care. This paper shows the reasons behind the growth of private sector in India which are the deficiencies of the public healthcare system of India. The shift of hospital industry for ‘welfare orientation’ to ‘business orientation’ was marked by the advent of corporate hospitals, supported by various policy level initiatives made by the government. Today, there are over 25 international healthcare brands in India with several corporate hospitals. However, a large section of the ‘private healthcare delivery segment’ is scattered and quality of medical care continues to remain a matter of concern. This paper shows the various government initiatives to promote private investment in healthcare.