Thailand hospitals to increase prices in 2023 due to rising staff needs
This as there is an influx of foreign and local patient traffic.
When the borders reopened in July 2022, Thailand had an increase in foreign patient traffic, especially from the Middle East, Myanmar, and Cambodia.
In a brokerage report, CGS-CIMB said this will continue next year, making hospitals overwhelmed with domestic and international patients. This will force hospitals to hire more staff and increase prices.
“We believe that rising staff costs and busy patient traffic will reduce the aggressive discounting hospitals have been offering, keeping competition benign in 2023F,” said CGS-CIMB.
Bumrungrad Hospital had already raised its prices by 5.8% in 2022 and would implement a 5% hike next year.
“This should allow Bumrungrad Hospital, as well as other players, to keep its margins elevated despite higher staff costs, in our view,” said CGS-CIMB.
On the bright side, since hospitals target foreign patients, including Bumrungrad Hospital and Bangkok Dusit Medical Services, they do not need to launch aggressive promotion campaigns to attract patients.