Pharma firms win big as Singapore boosts public healthcare spending

Pharma spending could hit US$1.26b by 2022 amidst a boost in government spending.

Increased government spending will sustain the rapid growth of Singapore's pharmaceutical market, a report by Fitch Solutions revealed.

Additional resources in the 2018 budget are geared towards the consolidation of health and social services, as there are currently almost half a million people aged over 65 in the country.

"To this end, Singapore’s healthcare and pharmaceutical market will experience robust growth driven by the country's concerted effort to improve the health and well-being of its elderly population," the report noted.

The country's pharmaceutical market was valued at US$880m (S$1.22b) in 2017. It is expected to hit US$1.26b (S$1.56b) by 2022.

“Amidst an ageing population, the Singapore government increasingly focused on ensuring that healthcare spending is kept affordable for the citizens, and we expect the future launch of the ‘Merdeka Generation Package’ to put upside pressure on overall fiscal expenditures,” the report noted.