An autonomous research institute under the Ministry of Finance


Inter-State Equalisation of Health Expenditures in Indian Union

Publication date

Jan, 2008


Report submitted to the World Health Organization (WHO) and Ministry of Health and Family Welfare (MoHFW), Government of India


M. Govinda Rao, Mita Choudhury


This study attempts to design a scheme for transfer of resources from the centre to states to enable them to provide certain minimum standards of health services. Specifically, two alternative approaches are being explored using data from 15 major states in India. The first approach involves estimation of the expenditure requirements according to the physical norms prescribed by the Ministry of Health and Family Welfare along with other policy goals. The second approach attempts to estimate an expenditure function and use it to analyse the differences in the required expenditure of the health sector across states.

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