Budget 2023: What’s in it for mental health?

17 February 2023
Madan Thapa Written by Madan Thapa
Madan Thapa

Madan Thapa

Madan S Thapa is a healthcare consultant and also a seasoned pharma editor, with over 10+ years...


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On February 1st, the Government of India released “Budget 2023-2024,” which saw a 12.6% hike for the overall health sector. As per Centre for Mental Health Law & Policy, ILS, Pune, compared to previous year, the mental health budget grew by 16%, reaching a total of ₹919 crore. Of these, the newly launched National Tele-Mental Health Program (NTMHP) by the government takes up 15%, while the remaining 85% by National Institute of Mental Health and Neurosciences (NIMHANS, Bangalore) and Lokpriya Gopinath Bordoloi Regional Institute of Mental Health (LGBRIMH, Tezpur).

National Tele-Mental Health Program

Launched on World Mental Health Day (Oct 10, 2022), the NTMHP is the digital arm of the National Mental Health Program (NMHP). This initiative by the government includes establishing a network of 23 tele-mental health centers of excellence, with NIMHANS as its nodal center and International Institute of Information Technology-Bangalore (IIITB) providing technological support.

The government realizes the need to address mental health problems, especially after the pandemic. The finance minister while presenting the Union Budget 2022-23 had said: “The pandemic has accentuated mental health problems in people of all ages. To better the access to quality mental health counseling and care services, a National Tele Mental Health Programme will be launched.”

Why the government needs to make an effort

Due to the high prevalence of mental illness (10.6% in adults over 18 years, as per a NIMHANS report of 2016), India urgently needs improved access to mental health resources such as hospitals, beds, outpatient programs, and staff.

The report also states that “the treatment gap for mental disorders range 70% to 92% for different disorders.” 

The World Health Organization (WHO) estimates that India will suffer economic losses amounting to 1.03 trillion dollars from mental health conditions between 2012 and 2030. A WHO-led study analyzing the cost and benefit of scaling up treatment for depression and anxiety disorders finds that every $1 invested in expanded mental health care results in $4 in economic and health returns. 

Mental health impacts physical and emotional health. Since it affects society and productivity, India needs better mental health care. A special focus is needed on rural India, where getting affordable mental health care services continues to remain a challenge. There is a broad agreement within the government that more focus should be placed on raising awareness about the importance of mental health.

Thus, increased government spending on mental health and neurological research can help close the huge gaps in the treatment of mental health concerns.

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