For people living in urban India, healthcare is a very small issue. According to them, India faces many other issues that are more important than healthcare, such as economic development, infrastructure, employment and border disputes with Pakistan. Say no to plagiarism. Get a tailor-made essay on "Why Violent Video Games Shouldn't Be Banned"? Get an original essay1. Rural vs Urban Divide: At the same time the possibilities to enter the market could be extremely ripe, India currently allocates only about 4.2% of its national GDP to drugs and healthcare facilities (compared to 18% in the US) . Furthermore, there is also a huge difference between rural and urban healthcare which compounds the problem. 7% of India's total population still lives in rural areas and has very little access to adequate healthcare and medicines. Most people who are below the poverty line rely on public healthcare facilities. One such government-approved health program is the National Urban Health Mission which has proven to be ineffective. While urban centers have a large number of private hospitals that provide good quality services but at a very high price and not affordable for many. These health facilities have better doctors, access to almost all major drugs, and better clinics.2. Need for effective payment mechanisms: Apart from the rural-urban divide, another key aspect for the current Indian healthcare facility scenario is the ease of out-of-pocket expenses (around 70%). This implies that the vast majority of Indian patients pay their healthcare facilities directly in cash without any mode of payment. As stated by the World Bank and National Commission on Macroeconomics report, only 5% of the total population of India has health insurance. Such a low figure in health insurance has made the service available only to people with high incomes. Coming to the administrative side, the Indian government plays a very important role in managing various health insurance programs for the population at high risk of health problems and also regulates the private insurance markets. Currently, few such programs exist, such as the community health insurance program for the population below the poverty line (like Medicaid in the United States) and the life insurance company (LIC) policy for the elderly (like Medicare in the United States). All of these programs are controlled by the General Insurance Corporation, a government-controlled organization. Under these schemes, people have to pay cash upfront and be reimbursed by filing a claim.3. Demand for primary healthcare and infrastructure: One of the major problems India faces is resolving primary healthcare issues related to HIV, malaria, tuberculosis and diarrhoea. Furthermore, most children are born underweight and around 7% of them die before turning five. Furthermore, a very small part of the population has access to quality sanitation. On healthcare, the Indian government spends only about 30% of the country's total healthcare budget. The need for qualified medical graduates continues to grow, especially in rural areas that are unable to attract new graduates for financial reasons. A considerable percentage of graduates also go abroad to pursue higher education and work.4. Growing pharmaceutical sector: According to the Indian Brand Equity Foundation (IBEF), India is the third largest exporter.