Reform Will Benefit Key Healthcare Players
BMI View: Private healthcare spending as a percentage of total healthcare expenditure in emerging markets will decrease over the medium term. Governments in these countries increasingly appreciate the benefits of a healthy population, and are boosting investment in medical services such as pharmaceuticals, diagnostics, doctors, nurses, clinics and hospitals. However, it is important to note that not all emerging markets follow this trend and private sector spending is still increasing in absolute terms.
China's General Office of the State Council has released a notice entitled 'Deepening of the Medical Reform - Key Tasks in 2014', outlining major health-related objectives for 2014. It seeks to further improve the healthcare system through the 'China way', which involves reforming the private healthcare sector, and strengthening the link between medical care, health insurance and pharmaceuticals.
|Strong Growth Potential|
|China Healthcare Expenditure (CNYbn)|