Ahmedabad: The mega health insurance scheme announced by Union finance minister Arun Jaitley in the budget for the year 2018-19 will provide a boost to India’s healthcare industry, with the increase in demand for services fuelling the creation of jobs and facilities, finance secretary Hasmukh Adhia said on Sunday.

“The announcement of this will revitalize the entire heath industry. There will be more hospitals created. There will be more people visiting them to get their services… And that will create a lot of employment, for young people, for doctors,” he said.

Adhia was delivering a lecture on “Post Budget Analysis and GST” at the Indian Institute of Management in Ahmedabad (IIMA). 

Jaitley announced two initiatives under the Ayushman Bharat programme in his budget speech on Thursday. Under the National Health Protection Scheme—which will be implemented on 2 October, the birth anniversary of Mahatma Gandhi—around 100 low-income million families, or between 400 and 500 million people, will get free health insurance of Rs5 lakh. The second was the allocation of Rs1,200 crore for the creation of 150,000 health and wellness centres, which were announced in last year’s budget.

The annual premium under the health insurance scheme will be between Rs1,000 and Rs1,200, a Niti Aayog official, of which the Centre will pay 60 percent while the state governments will have to cover the rest, the ANI news agency reported on Saturday.