16-March-2024-Editorial

CREDIT ASSISTANCE PROGRAM FOR JAN AUSHADHI KENDRAS

The recent inauguration of a credit assistance program for Jan Aushadhi Kendras (JAK) by the Union Minister for Chemicals & Fertilizers and Health & Family Welfare marks a significant step towards improving access to affordable medicines across India.

Jan Aushadhi Kendra Credit Assistance Program:

Program Overview:

• Government of India to provide credit/loan assistance to operators/entrepreneurs running Jan Aushadhi Kendras nationwide.
• Utilizes Goods and Services Tax (GST) and India’s Digital Public Infrastructure (DPI) for unsecured working capital loans to small businesses.
• Operators can access loans and infrastructure funding to establish and maintain their Jan Aushadhi Kendras.

Objectives:

• Empower small entrepreneurs and promote entrepreneurship in the healthcare sector.
• Enhance accessibility to affordable medicines for all sections of society.
• Strengthen the healthcare ecosystem by promoting the availability of quality generic medicines.

Jan Aushadhi Kendras:

About:

• Government initiative under the Pradhan Mantri Bhartiya Janaushadhi Pariyojana (PMBJP) scheme.
• Aims to provide affordable and quality medicines to the public.

PMBJP Scheme:

• Revamped as Pradhan Mantri Jan Aushadhi Yojana (PMJAY) in 2015 and further enhanced as PMBJP in 2016.
• Focuses on providing generic drugs through exclusive outlets known as Jan Aushadhi Kendras.
• Offers generic medicines at significantly lower prices compared to branded drugs, reducing healthcare expenses.

Benefits:

• Increased affordability: JAKs have reduced healthcare costs and out-of-pocket expenses significantly.
• Improved access: Essential medicines are more readily available, especially in underserved areas.
• Promotion of rational medicine use: JAKs provide information on the appropriate use of medicines, reducing misuse.

Expansion:

• PMBJP has expanded rapidly, with around 11,000 Jan Aushadhi Kendras operating across the country.
• Government aims to increase the number of JAKs to 25,000 in the next two years.

SIDBI:

• Small Industries Development Bank of India (SIDBI) is the primary financial institution for promoting and financing the Micro, Small, and Medium Enterprise (MSME) sector.
• Established in 1990 under the Ministry of Finance, SIDBI supports MSMEs through various financial and developmental schemes.
• Facilitates credit assistance and infrastructure development for small entrepreneurs, including operators of Jan Aushadhi Kendras.

PMBI:

• Pharmaceuticals and Medical Devices Bureau of India (PMBI) is responsible for implementing the PMBJP.
• Coordinates the supply, procurement, and marketing of generic drugs through Jan Aushadhi Kendras.