China’s anti-corruption campaign to have a long-term positive outlook for healthcare
It will encourage healthcare firms to adopt strict rules for future procurement.
The anti-corruption campaign in China may have caused delays and short-term impact on hospitals but an expert pointed out that healthcare firms will reap the benefits in the long term.
“It promotes a healthy business environment by encouraging medical institutions and healthcare companies to adopt strict measures when carrying out future procurement and marketing activities,” read the UOBKayHian brokerage report.
For now, the expert sees that newly launched medical products could face difficulties in marketing and academic promotion in the next few months.
“We believe this may lead to relatively slower yoy revenue growth or even a decrease for medical device and pharmaceutical companies in Q3 2023,” read the report.
Currently, UOBKayHian sees that most healthcare companies in China reported satisfactory H1 2023 results.