ASEAN medical tourism set to outpace global revenue growth

The region is projected to account for 40% of global market share by 2032.

The ASEAN medical tourism industry is expected to outpace the global market, said CGS International.

The report said that the industry is projected to grow at a compound annual growth rate of 18% until 2032, according to Global Market Insights. The region is expected to command around 40% of the global market.

Thailand (TH), Singapore (SG), and Malaysia (MY) were the top three ASEAN medical tourism destinations in 2023, collectively generating an estimated $2.2b in revenue. However, growth trajectories within the region are expected to vary.

“While we expect TH’s fly-in patient revenue to grow at a slower 10% p.a. over the next 5 years, and SG to stagnate, we think MY could see outsized growth amidst a slew of new private hospitals in the pipeline,” the report said.

Meanwhile, emerging markets such as Vietnam and Indonesia are also positioning themselves as competitive destinations, particularly for cost-conscious patients.

However, growth in these countries is expected to materialise over the longer term, given the time required to establish infrastructure and train medical professionals.