28 September 2021
Saudi Arabia has recently undertaken initiatives to increase private sector participation in its healthcare sector and improve competency of its healthcare workforce. The country has also highlighted key segments of focus in the healthcare sector.
Also Read "Lifeline Healthcare Education"
Saudi Arabia’s growing population with expected increase in average age and rising lifestyle related diseases are indicative of the uptrend in demand for healthcare in the country. As the Saudi Healthcare sector is predominantly operated by Ministry of Health (MoH), the demand could overload public healthcare system and strain government finances. In this context, Saudi Arabia targets to improve contribution of private sector in healthcare from 25% to 35% by 2030. It is planning to attract initial investment of USD 7.3bn into the sector from private investors. Recent key initiatives undertaken by MoH include,
rnrnThe segments of focus for the healthcare sector as outlined by KSA’s minister of health are e-health, air medical transport, nephrology care, mental health, and rehabilitation. The country has also signed MoUs with AstraZeneca, Pfizer to establish clinical research centres.
rnSaudi Arabia has low ratios of clinical staff to population levels (Saudi Healthcare Strategy 2017). Additionally, 55% of physicians are expatriates, highlighting the need for skill development among nationals. As part of its workforce development strategy, Saudi Arabia has launched the Makken Healthcare Model Program to develop competency of its healthcare workforce. The program includes partnership with international education institutions. According to the Minister for Health, it passes through 4 stages – the program, readiness of healthcare communities, trainer and the trainees.
rnSaudi healthcare sector is also seeing interest from private players. Gulf Islamic Investments plans to buy a stake in a Saudi healthcare company for USD 600 mn. Dubai-based Foundation Holdings Company plans to invest USD 67mn in the Saudi primary healthcare sector. It has already acquired a 51% stake in Saudi primary health chain Shifa Al Munthaza Polyclinic accounting for about half of the planned investment.
rnWhile Healthcare Transformation strategy was formulated as part of Vision 2030 realization program, boosted by COVID-19, pace of change in Saudi’s healthcare sector appears to be gaining traction with increasing involvement from various stakeholders.
rnKnow more about the sector in our recent report on Saudi Healthcare.
Never miss a patch or an update with Marmore's Newsletter. Subscribe now!
The convergence of technology and finance is reshaping the GCC Financial Ecosystem. The blog explores key players, regulatory framework and market dynamics of Fintech in the GCC region.
Read MoreThe blog examines the impact of cyber attacks on financial institutions and the resiliency of GCC banks compared to their global counterparts
Read MoreThe blog discusses how net interest margin of Kuwaits banks has moved across interest rate cycles, in light of awaited policy rate cuts.
Read More