Healthcare
Trends
The healthcare market is constantly evolving, healthcare providers around the world are moving towards consolidation, shifting priority from disease treatment to preventive health care, and are constantly looking for ways to improve the efficiency of diagnosis and therapy while maintaining profitablity.
The healthcare sector is one of the most important and fastest growing industries worldwide.
The key drivers of growth are demographic trends such as population growth and life expectancy, advances in medicine and related innovations, increased wealth, and improved access to medical goods and services. There is an urgent need for new treatments for diseases, with the continued growth of the industry largely independent of economic cycles.
Medical services market size
Global healthcare industry sales are estimated at more than $4 trillion a year.
The largest and most profitable sub-markets are pharmaceuticals and biotechnology with a turnover of just under US$850 billion and medical technology and diagnostics with a turnover of over US$400 billion. Healthcare, the most important field of human activity, needs further inflow of investments.
Expectation for investment
Sufficient financing of the field remains a top priority for all countries.
According to WHO, between 5.7 million and 8.4 million deaths each year in low and middle income countries worldwide are attributable to poor health care.
Globally, the basic infrastructures needed to deliver quality health care are inadequate.
According to the CEOWORLD magazine, South Korea, Taiwan and Denmark have the best healthcare in the world, taking into account the infrastructure, the competencies of medical workers, the cost, the quality of medical services and the readiness of the government.
Among the CIS countries, the study evaluated such countries as Belarus (57th place out of 89), Russia (58th place), Ukraine (81st place), Kazakhstan (82nd place) and Azerbaijan (86th place).
Over the past few years, according to the World Bank, the world's average spending on healthcare is 9.1%-9.8% of global GDP.
Among the CIS countries, the precent of spendings is higher than the world average only in Armenia: 11.3% of the country's GDP. In Ukraine and Tajikistan, the spending on healthcare is 7.1%, in Turkmenistan - 6.6%, in Moldova - 6.4%, in Belarus - 5.9%, in Russia and Uzbekistan - 5.6%, in Kyrgyzstan - 4.5%, in Kazakhstan - only 2.8%.
Current health care spending per capita averages 1.1 thousand of US dollars. Leading countries are United States and most of the countries of Europe - Switzerland, Norway, Luxembourg, Denmark, Sweden, Germany.
In the CIS countries, per capita health spending is lower. In Russia it is only 653.4 US dollars, in Armenia - 524 US dollars, in Turkmenistan - 500 US dollars, in Belarus - 399.4 US dollars, in Moldova - 284.3 US dollars. USA, in Kazakhstan - $273, in Uzbekistan - $98.6, in Kyrgyzstan - $62.1, in Tajikistan - only $61.9 per capita.
Healthcare outlook
In the concept of healthcare in Kazakhstan until 2025, the authorities plan to increase life expectancy from 71.77 to 73.37 years and raise the level of public satisfaction with the quality of medical services to 80%.
It is planned to provide a wide coverage of the population with quality medical services by increasing financing of the healthcare up to 5% of GDP.
Using new discoveries in the fields of diagnosis and treatment of socially significant diseases, together with our partners, ESH INVESTMENT aims to make an important contribution to the development of medicine and provide profitability for our investors and partners.