Growth forecast for Malaysian medical tourism

Sime Darby Healthcare expects medical tourism to contribute 20 % of its total revenue within the next five years with the completion of two new hospitals. The 220-bed Sime Darby Medical Centre will open by the third quarter of 2011 while the 300-bed Sime Darby Medical Centre ParkCity will open in the second half of 2012.

The company expects the hospitals to help generate medical tourism by adding 520 beds to the existing 400. At present, medical tourism contributes between 3 and 5% of the company's total revenue. The target is to get 900,000 patients in the next five years from the current 500,000 patients.

The investment in the two hospitals is part of a national project to attract two million health travellers to Malaysia by 2020.To achieve the target, the healthcare sector will need at least an additional 1900 beds, and the bulk of the investment is expected to come from the private sector.

According to the latest RNCOS research report Malaysia Medical Tourism Outlook 2012, Malaysia has emerged as the most popular medical tourist destination in the ASEAN region. The Malaysian medical tourism industry's revenue is anticipated to grow by 16% a year between 2011 and 2014.

The report says that the rising number of medical tourists for various treatments has opened up new market opportunities for spas, dentistry, and cosmetic surgery. With tourists looking for relaxation and healing activities, the number of spas continues to increase in the country. The number of dental clinics has also been growing, offering low cost treatment to foreign visitors. Cosmetic surgery is seen as a new growth avenue in the coming years.

The ongoing research analysis found that the biggest driver of the Malaysian medical tourism industry is the region's improving health infrastructure. The country has shown remarkable improvement in meeting the demand for quality-assured medical care via trained medical specialists and first-class facilities.

Source = imtj