RHB Research said Asean as a whole could be considered a preferred medical-tourism destination due to factors such as cost and recognised quality care.
KUALA LUMPUR: The cost of medical treatment continues to be the main factor for medical tourists to consider where to go when they need a certain type of medical procedure.
This would be a more pertinent factor for medical tourists from the West such as the United States and Britain.
This is due to stubbornly high inflation and long waiting times at hospitals in some developed countries, said RHB Research.
“In the United States and Britain, the waiting list for treatment could reach as long as 52 weeks, leading medical tourists to seek cross-border healthcare alternatives to fulfil their needs,” the research house said.
Apart from this, other factors driving medical tourism include the availability of highly skilled doctors, the range of treatments available and quality care which healthcare providers can offer, it said.
“Price-sensitive patients often prefer places like Thailand and Malaysia where costs are likely lower than their countries of origin.
“For instance, a patient from the United States could benefit from lower treatment costs of about 60% to 80% in Malaysia, 25% to 40% in Singapore and 50% to 75% in Thailand, depending on the type of treatment,” RHB Research said.
It noted that in Thailand, which is known for its plastic and reconstructive surgery, the average cost of a facelift is US$2,400 compared with US$19,000 for a similar procedure done in the United States.
RHB Research said Asean as a whole could be considered a preferred medical-tourism destination due to factors such as cost and recognised quality care.
“Beyond value-for-money offerings, the rise of qualified professionals, in our view, will continue to drive the medical tourism industry in the region.
“This, in turn, should benefit prominent healthcare service providers in Asean,” the research house said.
Its preferred picks in the private-healthcare sector include Indonesia-listed Medikaloka Hermina Tbk PT and Bundamedik Tbk PT; Bursa-listed IHH Healthcare Bhd
and KPJ Healthcare Bhd; Singapore-listed Raffles Medical Group Ltd; and Thai-listed Bangkok Dusit Medical Services and Bumrungrad Hospital PCL.
The research house noted that medical tourists visiting Asean accounted for a third of global medical tourists.
The region is also home to healthcare professionals with extensive medical expertise who are skilled in their respective fields, the research house said.
“While state-of-the-art medical facilities play a part in attracting foreign patients, many hospitals and healthcare institutions in Asia have also obtained international accreditation from bodies such as US-based Joint Commission International (JCI).
“JCI upholds the highest standards in the industry, adhering to globally recognised standards of quality and safety and this helps to build trust and confidence among medical tourists,” the research house said.
RHB Research said, within the region, Thailand was regarded as the largest medical tourism revenue earner, with an estimated US$850mil in 2023.
This was followed by Malaysia’s medical tourism revenue, which amounted to US$444mil, while Singapore’s revenue was at an estimated US$250mil to US$270mil in the same year, it said.
