Topline healthcare stats for India
- Healthcare Industry is now projected to reach US$367 billion by 2023 and US$638 billion by 2025 as per INC42.
- 4th largest medical device market in India.
- Public health spending to grow to 2.5% of the country’s GDP.
- The Indian medical tourism industry is estimated to be valued at US$ 7,417 Million in 2022 and it is projected to surpass US$ 42,237.47 Million by 2032.
- Over 200$ billion to be spent on the medical infrastructure by 2024.
- The medtech market in India was estimated to be around $ 11 billion in 2019 and is projected to reach $ 50 billion by 2025, with a CAGR of 28 percent.
- The medical device market is expected to reach US $50 billion by 2025.
- Non-communicable diseases account for 7 out of the top causes of death in india.
- 70% of the population live in rural areas with access to less than 30% of the healthcare infrastructure.
According to a recent report from the India Brand Equity Foundation (IBEF), healthcare has become one of India's largest sectors, both in terms of revenue and employment. The industry is growing at a remarkable pace owing to its strengthening coverage, services and increasing expenditure by the public and private sector.
India’s healthcare market has been expanding at a compound annual growth rate (CAGR) of 22 percent. The Indian healthcare market, which was valued at US$86 billion in 2016 is now projected to reach US$367 billion by 2023 and US$638 billion by 2025 as per INC42. Data by Statista pegs this estimate at US$372 billion by 2022, up from US$160 billion in 2016.
According to KPMG, the healthcare sector in India offers a potent mix of opportunities and challenges. The significant gap between ‘required’ and ‘actual’ healthcare infrastructure has driven considerable investment into assets like hospitals and other facilities over the years. In turn, the growing availability and affordability of healthcare is spurring demand for other services like diagnostics, pharmacies, equipment etc.
The growth story of the healthcare industry is also contributed to by many non-healthcare corporates and private equity firms infusing (capital and non-capital) resources. Due to the lower cost of procedures, India has become an attractive destination for medical tourism and a base for clinical trials.
KPMG highlights the challenges that the Indian healthcare sector faces on its way up as the optimal utilization of resources, minimizing operational costs, maximizing performance and efficiency, scaling of business, rapidly evolving technology and globalization of healthcare delivery quality and standards.
