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FINANCIAL NEWS
GCC healthcare spending to hit USD133.2b in 2018: Report
09 Jul 2012
(MENAFN) A recent report released by Frost & Sullivan predicted GCC’s total healthcare expenditure to triple by 2018, Arabian Business reported.
The report estimated GCC healthcare expenditure last year at USD46.12 billion, and is expected to hit USD133.19 billion in 2018.
Healthcare spending in the region is poised to grow at a compound annual growth rate (CAGR) of 10.3 percent from 2010 to 2018, driven by the increase in population, higher incidence of lifestyle diseases, and deeper insurance penetration, the report noted.
However, GCC’s healthcare industry is being hindered by the lack of educated manpower in the region, the report noted.
It added that the industry, which is mostly regulated by the government, needs to be opened up to private healthcare organizations by easing the entry rules and reducing the complexities of procedures.
Frost & Sullivan found that healthcare public-private partnerships (PPPs) have already proven to save governments as much as 25 percent of healthcare costs.
UAE and Saudi Arabia were the leaders in healthcare PPP deals in GCC region, the report added.
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