Presentation for Conference Opportunity Arabia 10 in Manchester on October 4th 2013. This presentation outlines the health care sector in the Kingdom of Saudi Arabia and business opportunities there.

1. Health Care Sector Saudi Arabia
Opportunity Arabia 10
October 4th 2013

2. Saudi Arabia
•Largest health care market in the GCC
•Population 28.9 Million (2012 World Bank)
•Average life expectancy 75 years

3. Health Care Sector
National Health Care System
Government provides health care via several
Government agencies: MOH, MODA, NGHA,MOI, MOE
(70% of services Primary to Tertiary)
Private Sector – growing role (30% of services Primary
and Secondary)

4. Ministry of Health (MOH)
Regulation
Planning
Finance
Management

5. Ministry of Health (MOH)
Role
Ministry of
Health (MOH)
20 MOH
Regions
Planning and
Development
of Services
Preventative Curative Rehabilitation

6. Structure of Services
•Tier 1 : Primary Health Care (PHC) via network of
1925 medical centres
•Tier 2: Referral to Secondary and Tertiary Care
Hospitals providing general and
specialised care (220 Hospitals)

7. Governmental Providers:
Armed Forces and Security Personnel
MODA
MOI
SANGHA

8. Governmental Providers:
Autonomous Agencies
Ministry of Education (students)
Ministry of Labour and Social Affairs
(orphans and mentally retarded)
GOSI and GPYW - Sports
Royal Commission for Jubail and Yanbu
University Hospitals

9. Governmental Providers:
National Tertiary Referral Centres
King Faisal Specialist
Hospital and Research
Centre Riyadh and Jeddah
King Khalid Eye Hospital

10. Private Sector:
30% of healthcare
• Small hospitals 50-200 beds and
polyclinics
• Primary and Secondary Care mainly Out
patient services and minor surgery
• Variable standards of quality

11. Health Services
MOH
60% MOH
KFSHRC NGHA
40% Others
MODA Education
Private
30%

12. Government Aims
1. Massive expansion of health care sector including
private sector.
2. World class health care facilities for citizens and
expatriates
3. Centre for Medical Tourism

13. Achievements – Health Services 1
1. Primary Care service
2. 500+ Hospitals in public and private
sectors.(50- 1000+ beds)
3. New Medical Cities under construction

14. Achievements – Health Services 2
• Tertiary Care – Organ transplants, 30
operations for conjoined twins
• 5 major medical schools and 21
Colleges offering medical training –
18 Government, 3 Private

15. Achievements - Population
1960 population 3 million, 90% nomadic
2012 population 28 Million, mostly urbanised
Doubling of life Expectancy since 1960s
Huge reductions in mortality and morbidity rates

16. Budgetary Allocations % GDP
0
2
4
6
8
10
12
14
16
18
KSA USA Japan China Germany

17. Challenges: Resources
Infrastructure Deficiencies and Human Resources Shortages
• Compared to other developed countries there is a
shortage of beds, nurses and doctors.
• Lowest number of beds, nurses and doctors per head of
population in GCC.

18. Challenges:
Rural/ Urban Divide
• Medical services concentrated in cities
of Riyadh, Jeddah, Al Khobar and
Dammam
• Delivery of quality services in other
cities and rural areas is weak.

19. Challenges and Opportunities
•Demand Drivers for Health Care
•Megaprojects and Medical Cities
•Private Investment Incentives and
Opportunities

20. Demand Drivers 1
Demographics
• Population Growth - 50% of population under age 25
• Population over 60 set to double
• Expatriate population not entitled to state medical care

21. Demand Drivers 2
Diseases
• Lifestyle diseases – obesity, diabetes, cardiac diseases
, renal diseases
• Accidents and Trauma
• Cancer
• Genetic Disorders

22. Challenges
Infrastructure, Geography, Quality
• Inadequate infrastructure
• Staff shortages in all disciplines
• Rural versus Urban Disparity in resources
• Quality of Services – need for standard regulatory
framework

23. Solutions: MOH Medical Cities
6 New Medical Cities
• Additional 6200 beds
• Highly specialised centres for cancer, organ transplant
surgery, eye surgery and cardiac diseases.

24. Solutions: MOH Hospital Expansion
• New hospital construction – major bed expansion in all
regions of the country

25. Solutions: New Clinics
• Primary Care - SAR 7 Billion for establishing
and funding 2000 Primary Care Services
• Rehabilitation Services
• Polyclinics

26. Solutions: MOH Initiatives
• Preventative Health Programmes
• E Health: Electronic Records and telemedicine
• Home Medicine Programme for ambulatory care

27. Solutions: Private Sector Expansion 2012 -2015
• Mandatory health insurance for expats creates increased
demand for private medical care.
• Health insurance may be extended to Saudi citizens
• Health insurance predicted to grow by 19% by end of 2015

28. Solutions: Training
• Ministry of Education will establish Medical
training schools in all 24 Government
Universities.

29. Solutions: Quality Control
• Quality Control of Clinical Services
• Hospital Accreditation System
• Standardisation of Medical Education

30. Business and Investment
Opportunities

31. Government and Private
Government
• Hospital megaprojects and construction
• E Health Services
• Preventative Care and Education
• Quality Control and Regulation

32. Government and Private
Private Sector
• Private sector contribution in the primary and secondary
healthcare markets is heavily concentrated in 3 main
provinces: Riyadh, Makkah and the Eastern regions.
These make up approximately 66% of the population.
• Jazan and Al Jouf regions noted to be short of physicians
and beds and require private sector investment.
.

33. Private Sector – Evolving
Emerging
Evolving
Developed

34. Government and Private
Private Sector
• Private investments low – just 9 out of 125 new projects
• Strategic Initiatives to encourage private investment and
reduce public sector burden.
.