The global center of gravity of the healthcare industry is shifting rapidly. By early next decade, total healthcare spend in Asia will exceed US$4 trillion and will represent a market opportunity larger than the US and Europe today.
With growth rates touching 12% per year, the industry is driven by structural mega-trends that are irreversible in nature. Rising populations, increasing affluence and growing chronic disease burden are creating explosive growth in demand for healthcare in the region. Equally, the natural comparative advantages for healthcare provision in Asia – including access to low cost manufacturing, raw materials and skilled labor have created a significant opportunity for local companies to emerge as regional and potentially world leaders.
Asia stands out as being the most exciting part of the world for healthcare businesses. Not only does Asia account for more than half the world’s population already but adds almost 65 million people (the size of France) each year. With increasing affluence, Asia is expected to account 66% of the world’s middle class by 2030, the demand for health is growing even faster.