September 2009

The GCC Healthcare industry report of Alpen Capital caters to investors looking for equity investment opportunities in local healthcare industry and projects strong growth for the sector. The report talks about how we see this relatively recession proof industry evolving over the next decade.

The GCC healthcare industry is poised for unparallel and consistent growth accompanied by a fundamental shift in the industry structure, infrastructure quality, payer model and funding options. The GCC countries are likely to experience a sharp increase in healthcare needs primarily led by a growing and ageing population and a rise in chronic non-communicable ‘lifestyle’ diseases. It is expected that the industry will register about 9% CAGR over the next decade to reach a market size of US$ 47-55 billion by 2020. The GCC hospital project pipeline is very significant. Presuming announced healthcare projects are delivered on time, we see a sufficient supply of hospital beds in all GCC countries, except Oman, to meet the expectation of strong growth in demand. The UAE and Qatar have the most ambitious pipelines as measured by the number of hospital beds per capita, and are banking on medical tourism from within and outside the GCC countries to maintain adequate hospital occupancy rates across the industry.

According to Alpen Capital, the GCC healthcare service sector will witness major improvements in the quality of services provided and in competitiveness on a global scale. The region’s endeavors in setting up integrated healthcare facilities in the form of healthcare cities and medical hubs, coupled with continuous improvement in technology and infrastructure, will significantly improve the availability and quality of healthcare services in the region.

For more details please click here to access the complete version of the GCC Hospitality Industry report.