Jun. 1 – Chinese demand for better health care quality and structural reform of the sector will offer abundant investment opportunities, with a quickly aging population and high healthcare costs, all investors look at ways to provide services to a greater number of people at a lower cost, investment opportunities abundant in China healthcare services, a conference in Shanghai heard recently.
The number of old people in China is increasing fast, the proportion of people age 65 or above who go to a hospital for treatment is more than double that of younger people. There were more than 200 million elderly people (age 60 or above) in China in 2013 which accounted for about 15 percent of its total population, The figure is expected to exceed 300 million by 2025.
Commercial insurers are expected to play a more important role in providing medical insurance to a rapidly aging population in China. The government’s basic insurance system covers employees and the unemployed in cities, as well as farmers. People pay part of their salaries toward medical insurance, while their employers and the government pays the rest. People pay different rates and have different rates of reimbursement for their medical costs.
By 2020, China’s health care market is estimated to grow at a compound annual rate of as much as 20 percent, industry experts said. A dramatic increase is expected by 2020 in the number of people covered by commercial health insurers and the number of commercial health products. The country’s aging population as well as investors’ enthusiasm for the health care sector are providing new growth potential under China’s new economic scenario, a keynote speech stated.
There are more attention toward China’s medical and health care reform issue, recently China and World Bank are pledging to cooperate more in health care. There is no doubt that the Chinese government is willing to work with World Bank and international community in deepening exchanges and cooperation in medical and health care, share experiences to improve people’s health status and contribute to the global health development.
China published a circular to encourage foreign investment in China’s elderly care services in 2014. Foreign investors can set up senior care institutes for profit independently or in cooperation with Chinese enterprises. Foreign investors are also welcome to take part in the reform of state-run elderly care organizations, and to develop high-quality chain institutes. Foreign investors will enjoy the same favorable tax policies and administration fee deduction policies as domestic investors, the circular said.
There are a large number of investment opportunities across different sectors including bio-pharmaceuticals, medical devices and retail in China at this moment, investment will rise in emerging countries in Asia, venture partner indicated,China healthcare services investment opportunities thriving this year. For China Nursing Homes Facilities Industry Report 2015-2017 is available upon request, contact with DCCC, or email to: email@example.com