Saudi healthcare: 'Private investment needed'
Dubai, July 10, 2013
Private sector contributions and investments are increasingly needed to respond to a growing healthcare demand in Saudi Arabia, said Deloitte healthcare experts.
The challenges and opportunities facing the Saudi healthcare sector were discussed at the Hospital Build and Infrastructure Middle East Exhibition and Congress, held in Dubai this month.
The experts shared presentations with in-depth focus on key areas such as the demand drivers fuelling growth, the mega projects and medical cities in development across the kingdom, the incentives being offered to private investors, and new opportunities for additional private sector investments, said a statement.
They further identified Saudi provinces that are most undersupplied in terms of beds and facilities, as found in their market analysis.
Dr Hassib Jaber, regional healthcare consulting leader at Deloitte in the Middle East, said : “With healthcare expenditures per capita in Saudi Arabia expected to grow at CAGR of 6.9 per cent between 2012 and 2016, to reach SR 4,000 ($1,066), the need for private sector investment becomes all the more apparent.”
The Deloitte presentation also revealed shortages in the healthcare infrastructure in the Saudi Arabian provinces, including the find that private contributions to mega projects and new hospitals remain relatively low.
The experts predicted that the private healthcare industry will move from its current ‘emerging’ stage to an ‘evolving’ stage.
“The move from an emerging stage to an evolving one comes with many challenges, namely the shortage of healthcare professionals, with private and public sector competing to retain talented resources” said Jaber.
The Saudi government is encouraging private sector contribution in the healthcare industry through several means, including the implementation of strategic initiatives drive the industry to the desired levels and reduce the financial burden on the public sector, he added. - TradeArabia News Service