Karnataka government has cut its budgetary support for non-plan expenditure by 33 per cent to the National Institute of Mental Health and Neuro Sciences (NIMHANS). The country's premier neuro-mental health institution has received a state grant of only Rs. 8.1 crore this year as against Rs. 11.9 crore last year. The state government has not yielded to NIMHANS requirement of additional funds but has suggested to the Institute to increase the user charges of patients for self-reliance in funding.

NIMHANS has provided treatment to 3.7 lakh patients between March 2002-April 2003. It was unprepared for such massive reduction in funding from the state government. At least Rs. 3 crore was spent in medicines annually and this year the institute was allocated Rs.2 crore. With the number of patients rising by a steady 10 per cent annually and the increase in utility charges like power, water etc, NIMHANS is forced to put up with an additional expenditure of Rs. 6 crore annually, Prof. D Nagaraja, director and vice chancellor, NIMHANS told Pharmabiz.com

The institution has been forced to adopt cost-cutting measures in every department. Free drugs and surgical supplies have also been hit. "We find it hard to generate resources to treat over 70 per cent of the patients who would have other wise been provided medical services free of cost," said Prof.Nagaraja.

NIMHANS receives financial support from both central and state governments including budgetary support for non-plan expenditure. While the central government has been maintaining its aid of Rs. 34 crore (Rs.24 crore under plan expenditure and Rs. 14.5 crore non-plan expenditure), the government of Karnataka's allocation of Rs. 51 lakh for plan expenditure has been constant but there is a shortfall of Rs. 3.8 crore under non- plan expenses, said Prof. Nagaraja.

Until early this year, the poor patients could declare that they could not afford the treatment and make a request for free treatment, which was never refused. But in the last seven months such patients have been asked to produce below the poverty line (BPL) cards to avail the treatment at no cost. Also many poor patients who do not posses such cards have been turned away, he informed.

The NIMHANS director said that his efforts to seek additional funding from the state government are yet to be seen. According to Prof Nagaraja, getting funds for planned expenditure is easier than getting from non-planned expenditure, which is vital to run NIMHANS.