Attractive Healthcare Investment Market
Attractive Healthcare Investment Market
The healthcare market in Vietnam is attracting numerous investors due to its substantial demand and sustained high growth rate.
Foreign Capital Influx
Private investment in the healthcare sector is anticipated to become increasingly attractive due to the rapidly rising demand for premium healthcare services, while the government plans to divest from numerous pharmaceutical companies.
According to Mr. Raghu Rai, head of Jio Health, the healthcare and health care market in Vietnam is sizable, approximately 12 billion USD, with individuals spending over 10% more each year on healthcare. It is evident that this is a lucrative market.
Mr. Raghu Rai also assessed that Vietnam is one of the countries experiencing the fastest growth in the middle class. Individuals in the middle class and above consistently prioritize healthcare and education services. Additionally, American entrepreneurs believe that, aside from market conditions, the current timing is suitable to initiate healthcare projects.
Previously, numerous M&A deals in the healthcare sector, such as the merger of American Dental with Sun Medical Center or Taisho investing an additional 3.4 trillion VND to increase its stake in Hau Giang Pharmaceutical Company to 56.68%, have made the market vibrant.
According to Ms. Chiong Woan Shin, the Consul General of Singapore in Ho Chi Minh City, Singaporean investors are currently keen on investing in the healthcare sector. "The quality of life of the Vietnamese people is improving, leading to higher needs, especially for healthcare services. For this reason, more Vietnamese patients are traveling abroad for treatment. We think, why not organize high-quality treatment services right here for Vietnamese patients when they request it?" Ms. Chiong Woan Shin stated.
Accelerating Domestic Investors
Vietnamese investors are also intensifying their investments in the healthcare sector. For instance, Intracom Infrastructure Construction Group led by Shark Nguyen Thanh Viet has invested in the Phuong Dong General Hospital Healthcare Complex project. According to Mr. Viet, investing in Phuong Dong Hospital is a memorable investment. At the threshold of turning 50, venturing into a new field with significant capital and unforeseen risks was a profound decision.
When the opportunity arrived, he and his colleagues quickly engaged in project evaluation, calculating deployment options. "When I first entered this field, I had many concerns. Because this investment was akin to accepting a major challenge, but I accepted the trade-off because I believed healthcare is a highly potential sector," CEO Intracom revealed.
As one of the leading private healthcare groups in Vietnam, in 2019, Hoan My Medical Corporation collaborated with Phu Tho Group to construct the Hoan My Thu Duc International General Hospital project, with an investment of 1.2 trillion VND to seize opportunities in this "game."
