NITI Aayog forecasts healthcare sector growth of $372 billion by 2022

According to a recent NITI Aayog report, India’s healthcare sector is expected to reach $372 billion by 2022, registering a compounded annual growth rate of around 22% since 2016, more so with the pandemic opening up several opportunities.

In its report, investment opportunities in India’s healthcare sector, NITI Aayog outlined the range of investment opportunities in segments such as medical devices and equipment, hospitals, health insurance, clinical trials, medical tourism and telemedicine. The segments are expected to diversify as an ageing population with a growing middle-class increasingly favouring preventative healthcare.

Rising instances of lifestyle diseases, such as high blood pressure, high cholesterol, obesity, poor diet and alcohol consumption in urban areas is boosting demand for specialized care services, the report added.

In addition to these demographic and epidemiological trends, covid-19 is likely to catalyze long-term changes in attitudes towards personal health and hygiene, health insurance, fitness and nutrition, as well as health monitoring and medical check-ups. The pandemic has also accelerated the adoption of digital technologies, including telemedicine. Furthermore, there is a growing emphasis on the emergence of public-private partnership models in India’s healthcare sector,” it stated.