Here are five big financial trends in the global healthcare market, according to the Deloitte 2014 Global healthcare outlook report.
1. The Affordable Care Act implementation in the United States will create more consolidation and pressure to contain costs. The European health systems are also hampered by the residual impact of a recent recession. Emerging markets such as China, India, Indonesia, Russia and Mexico will likely offset slow growth in North America and Western Europe.
2. Several digital and ehealth/data initiatives are gaining steam in many markets and developed countries are collecting data to develop best practices and improve productivity. However, work force shortages and access to care issues remain problematic across the globe.
3. Healthcare spending in North America is expected to rise by an average annual average of 4.4 percent through 2017, driven in part by the expanded access to care with the health insurance exchanges. Latin American healthcare spending is expected to rise 6.8 percent through 2017, driven by the market in Mexico.
4. The fastest-growing region in the next several years could be the Middle East and Africa, where healthcare spending is expected to shoot up 10 percent annually. Population growth combined with governmental efforts to expand access to care. However, South Africa is only expected to grow 5.6 percent annually irregardless of efforts toward universal healthcare.
5. Western Europe is expected to have just 2 percent annual average growth in healthcare spending over the next three years, despite high instances of chronic disease and an aging population. European Union economic conditions are stabilizing, but continued debt reduction efforts in southern Europe could mean less public health spending.