, Indonesia

Indonesia's healthcare spending to balloon to$47.1b by 2022

Healthcare expenditure will also rise as a percentage of GDP.

Private healthcare providers in Indonesia will continue to expand their presence in the market, with opportunities presented by the country’s long-term economic growth potential and low levels of public healthcare infrastructure, according to BMI Research.

The long-term rise of household incomes will provide a boon for private hospitals which generate a substantial amount of their revenues from out-of-pocket payments. Furthermore, the introduction of a Coordination of Benefits (COB) scheme, which according to the Ministry of Health regulation no. 71 2014 (Clause 21) allows patients to increase their entitled benefits by obtaining additional health insurance coverage from Indonesia's universal healthcare scheme, will also provide opportunities for private healthcare providers.

Here's more from BMI Research:

The COB scheme will incentivise patients, particularly middle-class Indonesians, to seek higher-value medical services.

Healthcare spending in Indonesia amounted to IDR403.9trn (USD30.2bn) in 2017 and we project this to rise to IDR692.2trn (USD47.1bn) by 2022 and IDR1,224trn (USD78.0bn) by 2027, at a 10-year compound annual growth rate of 11.7% in local currency terms and 10.0% in US dollar terms.

Healthcare expenditure will gradually increase as a percentage of GDP, rising from 2.98% in 2017 to 3.29% by 2027. On a per capita basis, healthcare spending will more than double, from USD114 in 2017 to USD269 by 2027. We note that private healthcare spending will continue to account for the majority of total healthcare expenditure and will outperform the public sector over our forecast period.

Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!

Get Health Care Asia Magazine in your inbox
It was recognised for its cutting-edge medical device packaging design, Dispenser Integrated System Kit (DISK).
There has been an expanding research base across India, China, and Japan.
It combines third-party assured data verification with blockchain technology.
Consultation is available for only $0.014 (INR1).
The number of hospitals operating on hip fracture that have access to a fracture liaison service has been steadily rising from 2013 to 2020.
GMT Manila’s award-winning initiative, in collaboration with Endec Inc. and Scilore LLC, is a rapidly deployable turnkey solution for RT-PCR Testing that made it more available across the Philippines. 
As The National Cardiovascular Referral Center in Indonesia, NCCHK has been acknowledged by Asia's Healthcare Industry.
Currently, North America dominates the market across the globe.
More medical devices are being bought for home use.
It has also introduced a new hotline service.
The firm was recognised for its multiple initiatives in braving the COVID-19 crisis.
It took home the Training Initiative of the Year trophy for its non-invasive therapy treatment for benign prostatic hyperplasia (BPH).
The country’s SII makes up about half of Covax supply.
It owns 39 hospitals and eight clinics across England, Wales, and Scotland.
The company plans to set up over 100 in-school clinics.