December 2014

Hospitals are Last Hope

The investors are showing interest in the healthcare delivery system like hospitals, clinics and diagnostic chains, says Vikas Vij, MD, The Ideas Exchange

Vikas Vij

Vikas Vij,
The Ideas Exchange

Tell us more about the recent trends in hospital infrastructure segment

The healthcare sector in India is considered one of the largest sectors in terms of both revenue and workforce employment. A large and growing population, a booming economy, rapid urbanisation which has expanded the middle class, rising diseases and increased awareness level has enabled the sector to grow at much higher rates than the global average.

Changes in the lifestyle of the population are further resulting in a dual disease burden. This emanates from the complexity of communicable and non-communicable diseases in the rural and urban regions of the country. Occurrence of these disease patterns has impacted the healthcare infrastructure requirements and has resulted in infrastructural challenges for the government and private players.


Latest trends in hospital infrastructure have helped the healthcare industry grow at this rapid rate. The Clinical Decision Support System (CDSS), Computerised Physician Order Entry (CPOE), e-Learning, advanced virtual training is also available today to make processes easier.

Please share insights about the investment in hospitals in India. What are the growth drivers?

The Indian healthcare sector has always been one of the preferred investment destinations but primarily across the pharmaceutical and medical equipment segments. Of late, investors are showing interest in the healthcaredelivery system like hospitals, clinics and diagnostic chains. To tap the vast potential of the sector, continuous capital inflow is required and Indias health start-ups may not be able to tap the market completely without some kind of capital infusion. Hence, the role of investors in the form of angels, venture capitalists (VCs), private equity (PE) players is crucial. PE funding is expected to play a crucial role in the expansion of the healthcare industry. The hospital sector, especially the super- specialty services, will continue to be the main area of interest to private equity investors.

Infrastructure improvement, capacity addition and development of manpower are critical for the Indian healthcare sector. The growing demand for quality care and increasing ability to pay, rapid growth of India as a destination for medical tourism, increasing penetration of medical insurance, increased technological use and innovative business models are trendsamong Indian healthcare providers to drive revenue growth, and with the new government putting infrastructure and development at the heart of its offering the healthcare sector in particular is expected to grow rapidly over the next decade and beyond.

Please share some highlights of the HIM – Conference and Expo. What is your vision for HIM 2014?

Key highlights for HIM 2014 include an exciting line up of seminars addressing latest techniques and innovations from around the region and world which will translate into the development of better healthcare facilities for the India market.

In addition to the seminar series we are also excited to have leading Indian and global brands displaying innovative solutions for the hospital build segment, new flooring solutions to improve the clinical management side for hospitals and clinics and many other solution that can ultimately result in a safer hospital environment benefiting those running hospitals as well as the end user. And ultimately the key highlight is the opportunity for thousands of buyers and key decision makers from across the region to interact and understand new developments from the hospital build and construction point of view, ensuring India gets the opportunity to further build world class hospital infrastructure meeting the critical healthcare needs of Indian citizens. At HIM our vision is to become the leading industry platform serving the needs of Indias healthcare development needs over the coming years.

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