YSRCP’s Financial Mismanagement Exposed
Health Minister Y Satya Kumar Yadav has revealed that the previous YSRCP government left a staggering Rs 2,536 crore in unpaid Aarogyasri bills to network hospitals across Andhra Pradesh. Despite continuous appeals from hospital administrations for payment settlement, the former government repeatedly failed to address these financial obligations, putting healthcare delivery at risk throughout the state.
Speaking in the Legislative Council on Thursday, Minister Yadav directly addressed questions from PDF MLCs K S Lakshmana Rao and Borra Gopi regarding the outstanding healthcare payments crisis.
New Government’s Systematic Repayment Plan
The current coalition government has implemented a strategic phased approach to resolve this healthcare funding crisis. As part of its commitment to stabilizing the healthcare system, the administration has already disbursed Rs 1,745.60 crore under the NTR Vaidya Seva Scheme and an additional Rs 125.21 crore through the Employees Health Scheme (EHS) to participating network hospitals.
According to the health minister’s statement, as of February 5, 2025, the government still needs to release Rs 1,937.15 crore in pending payments under the NTR Vaidya Seva Scheme and Rs 31.78 crore under the EHS program to fully clear the backlog of hospital reimbursements.
Financial Irregularities in Employee Contributions
Minister Yadav highlighted serious financial discrepancies in the previous administration’s management of employee healthcare contributions. His investigation revealed that while the YSRCP government regularly deducted healthcare premiums from government employees’ salaries supposedly earmarked for the NTR Vaidya Seva Trust, these funds were never actually transferred to the designated healthcare trust.
The coalition government is now working diligently to correct these irregularities by establishing proper coordination between relevant departments to ensure that employees’ contributions are appropriately directed to the healthcare trust as legally required.
Commitment to Healthcare Service Continuity
The health minister emphasized the coalition government’s unwavering dedication to providing uninterrupted medical services to all government employees under the EHS program. Their goal is to ensure these benefits match the quality and comprehensiveness of those offered under the flagship NTR Vaidya Seva Scheme.
Significant efforts are currently underway to streamline administrative processes, eliminate bureaucratic bottlenecks, and establish systems that guarantee timely payments to healthcare providers across the state. These measures aim to restore trust in the government healthcare financing system and ensure sustainable medical service delivery for all citizens.
The government’s proactive approach to resolving this healthcare funding crisis demonstrates its commitment to both healthcare providers and recipients, marking a significant shift from the previous administration’s financial management practices in the healthcare sector.
