The Indian healthcare sector, one of the country’s fastest developing industries, is expected to grow at a compound annual growth rate (CAGR) of 15.2 per cent during 2011–17 to reach US$ 160 billion. There is immense scope for enhancing healthcare services penetration in India, which presents ample opportunity for development of the healthcare industry.
Of the total healthcare revenues in the country, hospitals account for 71 per cent, pharmaceuticals for 13 per cent and medical equipment and supplies for 9 per cent. The private sector has emerged as a vibrant force in India’s healthcare industry. Its share in healthcare delivery is expected to increase from 66 per cent in 2005 to 81 per cent by 2015.
India offers a huge patient pool, favourable regulatory environment and cost advantage for conducting clinical trials. The low cost of medical services has resulted in a rise in the country’s medical tourism, attracting patients from across the world.
The Government of India aims to develop India as a global healthcare hub. It has created the National Health Mission (NHM) for providing effective healthcare to both the urban and rural population.