Cabinet Approves Pradhan Mantri Swasthya Suraksha Nidhi as a Single Non-Lapsable Reserve Fund

The Union Cabinet has approved the Pradhan Mantri Swasthya Suraksha Nidhi (PMSSN) as a single non-lapsable reserve fund for share of Health from the proceeds of the Health and Education Cess imposed under Section 136-b of the Finance Act, 2007.

The availability of earmarked funding would increase access to universal and accessible health care while ensuring that the amount does not expire at the end of the fiscal year.

Typically, certain funds are allocated to specific government schemes and must be invested within the current fiscal year of allocation; otherwise, the funds will evaporate and cannot be used in the next fiscal year.

Any future initiative or scheme aimed at achieving progress against the SDGs and the priorities outlined in the National Health Policy (NHP) 2017. Accruals into the PMSSN will be utilized for the flagship schemes of the Ministry of Health & Family Welfare namely:

• Ayushman Bharat - Pradhan Mantri Jan Arogya Yojana (AB-PMJAY)
• Ayushman Bharat - Health and Wellness Centres (AB-HWCs)
• National Health Mission
• Pradhan Mantri Swasthya Suraksha Yojana (PMSSY)

While introducing the Ayushman Bharat Scheme in his 2018 budget address, the Finance Minister also announced the replacement of the current 3 percent Education Cess with a 4 percent Health and Education Cess. Public spending on health has a major impact on health outcomes. Investment in health generates millions of opportunities, mostly for women, through a much-needed expansion of the health workforce.