The BNP government, in its first budget after 20 years in opposition, has unveiled an ambitious plan to expand healthcare coverage, introduce universal e-Health Cards, and reform the medical sector, alongside a sharp rise in development expenditure for the 2026–27 fiscal year (FY27).
Of the Tk41,908 crore current health budget, the Annual Development Programme (ADP) accounted for Tk18,148 crore. For the upcoming fiscal year, the finance minister is set to propose to boost the ADP allocation alone to Tk35,027 crore, bringing the total health allocation to Tk69,409 crore.
The proposed allocation represents 11.08% of the total ADP and 1.01% of GDP, a significant increase from the current year’s 0.59% of GDP.
Beyond the Ministry of Health, the allocation covers health services managed by other authorities, including the Ministry of Social Welfare, the Islamic Foundation, the Police Directorate, and the Local Government Division. Looking ahead, the budget pledges to gradually increase the combined allocation for education and health to 5% of GDP.
Universal health coverage and ‘e-Health Card’
A key feature of the budget is the introduction of a national e-Health Card system, designed to provide every citizen with access to primary and specialised healthcare, reduce out-of-pocket expenses, and ensure the availability of quality medicines. Modern primary healthcare units are planned for every union, with multiple units in urban wards to decentralise services.
Structural and service overhaul
District Hospitals and Upazila Health Complexes will be upgraded as comprehensive secondary healthcare units, offering maternal, neonatal, child, reproductive health services, physiotherapy, surgery, coronary care, and kidney dialysis. A National Ambulance Pool and Emergency Service Network will improve access for rural patients.
Human resources and medical education
The government plans to recruit 100,000 health workers, including 5,000 MBBS doctors, with 80 per cent female representation. Medical education will be overhauled with a new skill-based MBBS curriculum, integrated modular training, AI-assisted clinical instruction, and expanded nursing and midwifery education. A four-month ‘General Caregiver’ programme has also been launched.
Nutrition, immunisation and public health
The budget prioritises vaccination and nutrition programmes. Following the recent measles outbreaks, measles-rubella vaccines have now reached nearly 100 per cent coverage, while a sustainable vaccine supply network and a National Nutrition Programme aim to reduce stunting in children under five.
Industry incentives and tax relief
To strengthen domestic pharmaceutical production, the government will offer tax and duty exemptions on essential raw materials, medical devices, and Active Pharmaceutical Ingredients (APIs). VAT and import duties on dialysis filters, mortuary refrigerators, and 21 types of assistive devices will be slashed or fully waived to ease costs for patients and families. Conversely, nicotine products will face a 350 per cent supplementary duty to discourage consumption.
Critique of past administration
Minister Chowdhury criticised the previous government, alleging widespread corruption and mismanagement in healthcare spending, which forced citizens to seek expensive treatment abroad and depleted foreign reserves.
Implementation challenges
Experts warn that past allocations have remained largely unspent. In FY24–25, the Health Services Division used just 21.74 per cent of its budget, while the Health Education and Family Welfare Division spent 15.36 per cent. Dr Syed Abdul Hamid, a health economist at Dhaka University, cautioned that the new budget will only succeed if structural bottlenecks, procurement failures, and hospital management weaknesses are addressed.
Looking ahead
The budget also promises to link e-Health Cards to tangible financial benefits, expand maternal care, hire more nurses and technologists, and improve treatments for critical illnesses. Observers note that the ambitious proposals signal a decisive shift toward inclusive, knowledge-based, and technology-driven healthcare in Bangladesh.
