The healthcare sector in India has undergone drastic changes in post-independence. While rapid strides have been made such as eradication of diseases such as polio and smallpox and vast improvements made in health indicators such as life expectancy and mortality, one cannot overlook the disparity when it comes to the relatively weak healthcare infrastructure and poor access to basic healthcare services. This is especially evident in the major divide between the private and public framework for healthcare providers. Availability, affordability, and value for money are the main concerns in the Indian healthcare system.
The public-private disparity
As per the Indian Census Bureau, as of 2011, around 70 percent of the country’s population lives in rural areas. This further adds to the woes of the public sector that already contends with sub-par healthcare infrastructure and paucity of funds as it strives to offer affordable care to the economically backward classes in the country. The situation is further aggravated by an acute shortage of healthcare professionals, especially in the public sector. Add to that the ever-increasing population and rising incidence of various diseases in the country, and the entire healthcare machinery is at risk of breaking down. The difference between the private healthcare sector in the country and those in the public sector through is like night and day. The private sector in the country boasts of a strong healthcare value chain and has a wide adoption of advanced technologies. Consumer confidence has skyrocketed due to the high quality of healthcare services through such hospitals, comparable to global standards. Such has been the influence of these hospitals that the country is now positioned as a major medical tourism hub, in stark contrast to the lack of basic healthcare services for people in far-flung and rural parts of the country. However, with rapid strides now being made for the integration of IT in the healthcare sector and increasing government support through various initiatives such as National Urban Health Mission (NUHM) and National Rural Health Mission (NRHM), the ailing healthcare sector as a whole in the country is on the fast track to recovery.
Rapidly aging population enforcing a complete overhaul of the healthcare system

The driving force of the healthcare domain is a rapidly aging population and a rising incidence of chronic diseases. According to the United Nations Population Division 2011, by 2050, the geriatric population of India is projected to stand at 323 million. To put things into perspective, that is well over the current overall population of the U.S. As per the results of an independent study, over 20% of the country’s population suffers from at least one non-communicable disease. This translates to an estimated healthcare burden of a whopping US$ 6.2 trillion. Healthcare IT (HIT) is expected to alleviate this situation to a major extent, as it allows for low-cost advanced healthcare services with a wide reach. In India, there has been continuous improvement in the healthcare sector in terms of education and professionalism, something that has been substantiated with the rise in the number of allopathic doctors in the country with globally recognized medical qualifications. Furthermore, the major factor favoring the growth in the Indian healthcare system is the expansion of the middle class population, with high out-of-pocket spending. With globalization, the stimulus awareness is reaching in the depth of the economy, which in turn is expected to support the growth in the healthcare sector. According to the National Commission on Macroeconomics and Health (NCMH), the population affected by both communicable and non-communicable diseases is expected to increase in the near future. Furthermore, in 2012, the number of hospitalized cases in the cardiac, oncology and the diabetes segment is around 2.9 million, 2.0 million and 1.2 million respectively and further estimated in 2018 to be 8.3 million, 4.2 million and 3.4 million respectively. According to Union Budget FY16, Health Ministry, there have been around 200% deduction in IT healthcare services such as telemedicine and teleradiology for the expenditure incurred in operating technology for the same.