The Indonesian healthcare market is worth $24 billion, and this could reach $31 billion in 2016. At the same time, Indonesians are forecast to spend almost $150 per person on healthcare in 2015, up from $35 in 2005. Indonesia has almost 10,000 primary care centers and over 2,200 hospitals. Three percent of Indonesia’s GDP is spent on healthcare. But, this should increase soon.
The pharmaceutical market in Indonesia is expanding quickly; it is valued at $6.5 billion with an annual growth rate of 12.5%. This growth is expected to continue through 2018. The Indonesian drug market grew 85% over the 2007-2013 period.
Over the past several years, the Indonesian government has passed laws to upgrade its healthcare infrastructure and increase public spending on healthcare. For instance, 150 new hospitals are planned for 2014.
As Indonesians grow wealthier and spend more on their healthcare, private insurance and out-of-pocket purchases will increase, offering better prospects for foreign companies. Already, large private hospital chains such as Siloam Group and the Mitra Keluarga group are expanding rapidly.
Related Articles:
1) Indonesia Pharma Market 2014 Review
2) Healthcare Policy in Indonesia
3) Drug Registration in Indonesia
4) Pharmaceutical Company in Indonesia
5) Challenges for Drug Companies in Indonesia
