Saudi private health market expected to grow
A recently published study estimated that the Saudi private health market, presently valued at four billion Saudi riyals ($1.06 billion) per annum, is expected to grow to SR 13 billion ($3.46 billion). Al-Hayat newspaper reported that this expansion is inclined to occur following the imposing of the cooperative health insurance system on expatriates.
Official sources have reported that 80 private hospitals are presently operating in Saudi Arabia. The total investments in these hospitals are valued at six billion SR ($1.6 billion).
According to Al-Hayat, the Saudi state and military hospitals have recently begun to receive patients both through the local insurance companies as well as directly, while collecting fees from them. As a result, some of the private sector’s medical hospitals and centers have become concerned about future competition with the state-owned hospitals.
Unlike the private hospitals, the state-owned and military hospitals usually do not operate on the basis of profits, losses and costs, thus, offer medical and health services for relatively low fees. ¯ (Albawaba-MEBG)
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