Supply-demand gap in MENA healthcare creates growth investment opportunities for private sector

Wednesday 05 April 2017

Dubai - MENA Herald: Dr Helmut Schuehsler, Chairman and CEO of TVM Capital Healthcare , highlighted healthcare as an industrial megatrend in the MENA region and other emerging markets including South Asia, at the Healthcare Business International conference in Westminster, London, yesterday.
“I believe that healthcare in emerging markets will offset slower growth in North America and Western Europe,” said Dr Schuehsler. He cited major growth drivers in the MENA region as a growing and aging population, the rising prevalence of chronic diseases, increased healthcare spending, and a rising number of high-income households region.
Healthcare spending has increased significantly across the GCC in recent years, with a five-year compound annual growth rate of 11% (2010–14).
Dr Schuehsler added: “But in spite of growing healthcare spending in the GCC, public expenditure as a percentage of GDP lags the developed world by a significant margin. GCC governments increasingly rely on the private sector to help meet the rising demand for health services, and to help shift the burden of spending on healthcare.”
“This, coupled with the recent introduction in some GCC countries of mandatory health insurance, provides a significant opportunity for investors. It is vital that investors examine business models as well as relationships with government when operating in emerging markets. Companies that are close to the regulatory authorities and remain aligned with the various licencing rules and reimbursement systems are more likely to perform.”
TVM Capital Healthcare has a strong track-record of investing in healthcare services and devices that address unmet medical needs. TVM Capital Healthcare Partners builds market leaders, which in turn build sustainable ecosystems in the various geographies where they operate.
Healthcare Business International is an annual conference aimed at senior healthcare leadership and investors, offering an opportunity to discuss insights and viewpoints on how the industry landscape is changing across Europe and Emerging Markets.

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