Medical tourism continues its exponential growth worldwide

09-01-24

The global medical tourism market, valued at US$93.27 billion in 2022, is expected to witness substantial growth, with a projected compound annual growth rate (CAGR) of 10.7% in revenue over the forecast period, to reach US$254.54 billion by 2032. 

This growth is driven by rising medical treatment costs in developed countries, coupled with the increase in chronic diseases, limited insurance coverage, and long waiting periods for medical procedures.

The market is segmented into various medical procedures, with the cosmetic procedures segment leading the way in 2022. India's emergence as a sought-after destination for cosmetic procedures, driven by cost-effectiveness, modern healthcare infrastructure, skilled surgeons, and shorter waiting times, has contributed significantly to the dominance of this segment. 

The dental treatment segment is set to register the fastest annual growth rate, driven by increasing prevalence of dental anomalies and global demand for cosmetic dentistry.

Segmentation based on service providers reveals that the private sector dominated the market in 2022, leveraging its affordability, cutting-edge technologies, and international recognition. Meanwhile, the public sector is expected to experience steady growth as regulatory authorities ensure quality control of healthcare.

Regionally, North America accounted for a significant revenue share in 2022 due to the prevalence of chronic diseases, with the widespread adoption of advanced technology further contributing to revenue growth. 

In Europe, a steady revenue growth rate is expected during the forecast period, driven by the presence of leading companies, adoption of latest technology, and investments in startups.

Despite promising growth, the market faces challenges such as variability in quality of care, lack of standardization, and issues related to reimbursement, travel, language barriers, and documentation.