Starting Monday, all private and super-specialty hospitals in Andhra Pradesh have suspended healthcare services for the poor under the NTR Healthcare (Aarogyasri) Scheme due to mounting unpaid dues from the government.
The management of several hospitals has voiced concerns over long-pending bills and has even staged protests.
The Andhra Pradesh Specialty Hospitals Association (ASHA) recently submitted petitions to district collectors, claiming outstanding dues of nearly ₹3,500 crore.
Facing severe financial distress, hospitals say they have no option but to halt services.
According to sources, the previous YSRCP government left around ₹2,500 crore in unpaid dues, which the current administration has yet to clear.
Dr. K Vijay Kumar, President of ASHA, confirmed that services under the scheme have been suspended from Monday.
He said that hospitals had made multiple appeals to the NTR Vaidya Seva Trust, both verbally and in writing, but received no response.
With pharmaceutical and surgical suppliers halting deliveries due to unpaid bills and staff salaries pending for two months, hospitals are struggling to stay operational.
Dr Vijay Kumar mentioned they wrote to the Trust on the 7th of last month, but never received a reply.
Since July last year, hospitals have sent 26 letters to the government requesting payment.
Although ₹4,000 crore was allocated to the NTR Health Scheme in the 2025–26 budget, ₹3,500 crore remains unpaid.
Hospitals have made it clear that unless at least ₹1,500 crore is released immediately, they cannot resume services.
Dr. Avinash, Secretary of ASHA, stated that the government is considering merging the scheme with Ayushman Bharat, but noted that Ayushman Bharat only covers around 1,500 procedures at significantly lower package rates, raising concerns about the quality and scope of treatment under the integration.
Meanwhile, Andhra Pradesh Congress Committee President Y S Sharmila strongly criticized the state government for the ongoing healthcare crisis.
“How can a state that calls itself ‘Rising Andhra’ fail to provide basic healthcare to the poor?” she questioned.
She condemned the government for allowing the dues to accumulate to ₹3,500 crore, calling it a disgrace.
“Withholding payments for nine months and acting only after services are suspended reflects the government's lack of sincerity,” she added.
Sharmila demanded that the coalition government, on behalf of the Congress party, take immediate action to ensure uninterrupted continuation of the NTR Healthcare Scheme, which she described as a lifeline for the underprivileged.
