By Staff writer
New report says more than 700 healthcare construction projects are being developed in the Gulf region
Over 700 healthcare construction projects are currently being developed in the GCC, with a combined estimated value of $65 billion, according to a new report.
The latest BNC Report on the GCC Healthcare commissioned by The Big 5 Kuwait 2016, said that 133 of these projects are worth over $100 million each.
It said that the healthcare economy in the GCC is expected to register a strong growth in the coming years.
The report added that medical treatment, hospital activities and allied human health activities in the Gulf are likely to reach $71 billion by 2020, a 76 percent increase from $40.3 billion in 2015.
A growing population, aging demographics, medical tourism and government led initiatives to provide quality healthcare services are considered key drivers of this growth.
dmg events Middle East, Asia & Africa, organiser of The Big 5 Kuwait 2016, revealed that Kuwait makes up around 11 percent of the value of all healthcare project in the GCC.
It cited a report by the Kuwait Life Sciences Company (KLSC) and IMS Health which confirmed that the budget of the Ministry of Health has doubled in the past five years and is expected to reach almost KD2 billion ($6.6 billion) in the 2015-2016 biennium.
Dr Mussaad M. Al-Razouki, chief business development officer of KLSC and speaker at The Big 5 Kuwait 2016, said: “The coming years will witness a rapid growth in the healthcare sector, reflecting heavy investments in the country’s healthcare infrastructure.
"This will create a lot of opportunities for both local and international organisations operating in the construction of healthcare facilities.”
Today, Kuwait’s public healthcare sector accounts for more than 80 percent of healthcare spending in country but he said he is confident the private sector will be instrumental in the future development of the medical sector.
Running from September 25-27 at the Kuwait International Fair, The Big 5 Kuwait 2016 is set to be the largest building and construction event in the country and is expected to welcome 6,000 participants, hosting over 150 local and international exhibitors across 3,500 sq m of space.