2017 GH Sesi 5 YM International Trade in Health Services 1

International trade in healthcare
Yodi Mahendradhata

International trades in services

Cross-border
trade

Consumption
abroad

Commercial
presence

Natural
presence

8 success factors for medical tourism
Competitive price

Human capital

Local R &D

Developed physical
infrastructure

Developed political
and legal
institutions

Market economics

Confluence of
western and
traditional
medicine

Tourist appeal

International trades in services

Cross-border
trade

Consumption
abroad

Commercial
presence

Natural
presence

US$ 4 billion industry

Teleradiology

Telepathology

Teleconsultation

Telepharmacy

Cross border revenue (US$ million)
Service

2000

2005

Customer-interaction center

60

2250

Medical transcription

28

800

Financial and accounting services

50

375

3

75

Medical claims processing

13

30

Pre-press and digital pre-media

45

200

Geographic information system

-

50

60

150

Human resources services

-

115

Litigation support services

3

27

264

4072

Medical billing and collection

Distance learning

TOTAL

International trades in services

Cross-border
trade

Consumption
abroad

Commercial
presence

Natural
presence

Foreign investment in healthcare
Country

Situation

India

•

•

No caps on direct foreign investment
• 90% German ownership of 200-bed hospital in
New Delhi
• 100% ownership of orthopedic clinic in Mumbai
All providers must be registered by councils

Malaysia

Foreign share