Vietnam’s Medical Tourism Draws Foreign Stakeholders, Challenges Persist

Vietnam’s healthcare sector is rapidly growing, presenting significant investment potential for businesses interested in medical tourism. However, it’s important for foreign firms to conduct thorough market research and seek local expertise to successfully handle and seize opportunities in this emerging industry. In our profile, we explore the Vietnamese healthcare sector, the rising trend of medical tourism, facilitative developments, as well as prevailing market risks and challenges.

Vietnam’s Medical Tourism Potential

The Ho Chi Minh City Department of Tourism (DoT) reports a consistent increase in medical tourists, with an estimated 300,000 visitors in 2022. This sector generated around US$2 billion annually. Ho Chi Minh City remains the top destination, attracting 40% of medical tourists.

The Vietnamese healthcare market is valued at US$16.2 billion, with expenditure projected to reach US$20.3 billion by 2025 and US$33.8 billion by 2030. This growth, driven partly by medical tourism, offers opportunities for foreign firms specializing in cutting-edge treatments and healthcare equipment. The market accounts for 6 percent of GDP, with a compound annual growth rate of 7.6 percent between 2020 and 2030, according to Vietnam Report.

As Vietnam’s healthcare infrastructure continues to develop, there will likely be a rise in demand for advanced medical technologies, equipment, and expertise. Foreign medical firms specializing in cutting-edge treatments, specialized medical services, and healthcare equipment could find a receptive market in Vietnam. Additionally, collaboration with local healthcare providers and institutions could prove beneficial for foreign investors, as it allows for better market penetration and a deeper understanding of the local healthcare setting.

Related: Vietnam Seeks Investment in Nam Dinh

Affordable and High-Quality Care

Vietnam’s dental care is particularly attractive, offering high standards at significantly lower costs than the US or Europe. The average expenditure per tourist for healthcare treatments is around US$156.58, lower than 2020’s US$225.61. Major towns and cities have international dental clinics with English-speaking dentists, attracting foreign patients from the US, Australia, and Europe. These patients benefit from cost savings and cultural experiences, often extending their stay to engage in tourism activities.

Martin Koerner, Group Commercial Director of The Anam, highlights Vietnam’s four JCI-accredited hospitals, affordable medical services, and rich cultural heritage as key advantages for medical tourists. He notes that heart bypass surgery costs US$10,000-US$15,000 in Vietnam.

Ho Chi Minh City: A Hub for Medical Tourism

The city offers a wide range of medical tourism products, combining healthcare services with fine dining, shopping, and cultural experiences. Travel businesses in Ho Chi Minh City have partnered with medical facilities to design more than 30 medical tourism products in 2023. The Ho Chi Minh City DoT has collaborated with more than 50 establishments, including hospitals, medical facilities, spas, travel agencies, and accommodation providers. Key hospitals and facilities include Gia An Hospital, City International Hospital, and Heart Institute Ho Chi Minh City.