REIMAGINING HEALTHCARE IN INDIA THROUGH BLENDED FINANCE

Abstract

Source: Re-imagining Traditional Finance for India's COVID Recovery The blended finance principles outline the practical steps and elements that can facilitate the design and implementation of blended finance programs. These principles aim to enhance the growth and expand the quality of finance that can be mobilized and invested in the sustainable development of economies globally. With the changing landscape of developmental and sustainable financing, numerous innovative instruments are deployed across the nations, developing new approaches and practices. The five underlying principles below reflect the new developments and best practice examples for blended finance and act as a guiding framework to successfully mobilize private capital to maximize the impact for sustainable development. the healthcare ecosystem. The private sector has the potential to play a pivotal role in reducing out-of-pocket costs for private services and making them more affordable and accessible. There is a need for market-based solutions or commercially viable solutions that are scalable and sustainable which can be purchased by government, employers or individuals according to their purchasing power and social good. Blended financing can facilitate these market-driven high-impact solutions by creating viable business models which can penetrate to the most vulnerable through appropriate risk mitigation where philanthropic grant can be utilized to subsidize commercial capital. Every nation has different healthcare priorities, and it is crucial to identify them before shortlisting the right mix of blended finance instruments to support the overall health developmental goals. Two indicators can determine the blended finance prototypes: one, to measure the country's health system status (build, strengthen & transition), and the other to gauge investment attractiveness given the country's fiscal and economic situation (see matrix).