Also from GAN

Opportunity to expand growing medical tourism sector
Mon, 12 Oct 2009 15:35
By TradeInvestAfrica Staff

Region
Uganda

Sector
Healthcare & Pharmaceuticals

Summary:
Uganda is poised to grab a market share in the growing medical tourism sector, through attracting private investors to develop world class medical facilities.
Contact
Issa Mukasa

Email
imukasa@ugandainvest.com, info@ugandainvest.com

Tel
+256 41 301160


In 1908, British statesman Winston Churchill published a little book titled “My African Journey”. In it he effusively described Uganda and its people as majestic and elegant, and referred to the country as the “Pearl of Africa.”

The east African country has since been a magnet for tourists wanting to experience the beauty aptly described by Churchill. The tourism sector recorded over 880,000 visitors in 2007.

The healthcare sector, just like tourism, has been growing at an unprecedented rate over the last five years, with medical tourism poised to carry the sector to new heights. Medical tourism, though a relatively new concept in Uganda and indeed the East Africa region, has enormous potential to blossom, thanks to the region's natural endowments.

Investments by both the private and public sectors in recent years have seen the establishment of specialist clinics, spas, improved hospital facilities, traditional medicine and better HIV/AIDS management. This has contributed to growth in the niche market.

“Medical tourism is opening a new frontier for revenue generation in the country.” says Professor Maggie Kigozi, executive director at the Uganda Investment Authority.

“The cost of healthcare is soaring in America and Europe, and with disposable incomes shrinking in the wake of the global recession, more people will be seeking medical care abroad.”

“We are working to ensure Uganda is well positioned with facilities that meet the chief drivers of the growing medical tourism market: affordability, high quality and excellent service.” adds Prof. Kigozi.

The main attraction for clients visiting the country has been the hot springs such as those at Ihimba, Sempaya, Kitagata, Buranga and Nyamasizi, which are said to have high mineral content. These are suitable locations for investors looking to build rehabilitation clinics and spas.

The availability of women's fertility services and advanced HIV/AIDS research and management programmes are other factors drawing patients to the country.

Herbal medicine has also become an attractive option to patients who prefer to take the “natural” healing route. Uganda’s forests are a granary of herbal medicinal plants – the government now plans to regulate the herbal medicine sub-sector to maintain quality and best practice. 

In its 2008 report on medical tourism, audit firm Deloitte said 750,000 Americans travelled abroad for medical care, with the figure expected to hit six million by next year. More than 70,000 Britons go abroad every year for treatment - this figure was forecasted to hit 200,000 by 2010.

But there are forces that could limit this growth, including supply limitations in target countries and moves by some health insurers in source markets not to cover services offered offshore.

The Deloitte report however said as long as countries in emerging markets charge just 10% of the cost of comparable care in the US for example, medical tourism will continue to grow. 

A bone-marrow transplant in America costs $2.5 million. Doctors in India can do it for $26,000. Heart-bypass surgery runs to $60,000 to $150,000 in America while in Asia; the average cost is $14,000. In Uganda it costs about $7,000.

Sub-Saharan Africa needs investment of US$25-30 billion in the next decade to meet the demand for health care – and the private sector could provide up to 60% of this amount, according to the International Finance Corporation, IFC.

“Medical tourism, though still young in Uganda, is promising to drive forward both the health care and tourism sectors – thanks to the partnership approach of both the private and public sectors.” says Prof. Kigozi.

Uganda’s medical tourism sector offers the following:

• Internationally accredited medical facilities using the latest technologies (eg. open heart surgery and fertility centre).
• Uganda has the largest group of dedicated gynaecology and fertility specialists in East and Central Africa, supported by a team of experienced scientists, nurses and counsellors through its Women Hospital International. The fertility centre specializes in In Vitro Fertilisation, intracytoplasmic sperm injection, laparoscopic surgery, myomectomy operations, etc.
• Medical treatment costs in Uganda are lower compared to countries in the region.
• Fluent English speaking staff
• Options for private room, translator, private chef, dedicated staff during your stay and many other tailor made services
• Access to scenic sites at no additional cost.
• Pioneering AIDS research has been done at the Joint Clinical Research Centre (JCRC), a research and treatment centre that runs successfully. The Centre conducted the first HIV vaccine trial in sub-Saharan Africa. Research results have guided policy makers locally and abroad.
• Uganda has become an international reference centre for AIDS research, prevention, care and treatment.

Investors interested in the private health care sector can get further information from the Uganda Investment Authority.

Key contact: Bradford Ochieng
Deputy Director, Investment Promotion Division
Email: imukasa@ugandainvest.com, info@ugandainvest.com

 

 

 

Print this page
Send this article to a friend