Doha: Qatar and the UAE are expected to be the fastest growing markets in GCC over 2013-18, said a report released by Alpen Capital. As per the report, the GCC healthcare market is projected to grow at an annual rate of 12 percent to $69.4bn by 2018 from an estimated $39.4bn in 2013 Outpatient and inpatient markets are expected to account for 79 percent and 21 percent, respectively, of the overall market size.
“The GCC region is poised for an unprecedented surge in healthcare consumption driven by robust population growth and rising income levels. Higher income levels and sedentary life styles have led to poor health conditions, a phenomenon that has been witnessed in most developed economies,” said Sameena Ahmad, Managing Director, Alpen Capital.
“The governments, which play the predominant role in healthcare services, are taking steps to ensure continuous development of infrastructure through nurturing management skills, increasing the share of private sector and utilising IT skills to spread the reach and range of healthcare services,” added Ahmad.
Saudi Arabia will continue to be the largest market, accounting for 58.2 percent of the total in 2018, followed by the UAE (18.1 percent).
The demand for number of hospital beds is expected to be 115,544 in 2018, an addition of 11,241 beds from 2013, which is in line
with the expected supply
looking at the number of projects in the pipeline.
“On the demand side, rising affordability, lifestyle related diseases, the treatment of which is both costlier and lengthier, and increasing insurance penetration will ensure vigorous rise in healthcare spending in the GCC,” said Sanjay Vig, Managing Director, Alpen Capital.
“On the supply side, the government is taking measures to ensure that the infrastructure is equipped to handle the increasing demand. The government is considering PPP models to bring efficiency while reducing financing burden, along with other measures such as e-health and m-health tools,” said Vig.
The Peninsula
