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Centre to tweak viability gap funding model to boost health infra funding

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₹8,100 crore for VGF in the social sector. Under VGF, critical projects that are not financially viable get a capital subsidy from the government.

Soon after VGF announcement, the health ministry indicated to the department of economic affairs that the scheme was still unattractive for the private sector.“VGF has been successful for roads, highways and metro, but in healthcare, there have been no takers.

We are collecting information about the shortfall of hospitals in tier-2 and tier-3 cities as covid-19 treatment should be widely available there as well," said Alok Saxena, joint secretary in the health ministry.The health ministry has proposed earmarking and providing sufficient unencumbered land on lease or through bidding, facilitating.

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