Medical Tourism – Malaysia Tan Sri Dato‘ Dr Abu Bakar Suleiman President International Medical University (IMU), Kuala Lumpur, Malaysia Medical Tourism - Malaysia • Development of Medical Tourism – Malaysia • Medical Tourism Revenue, Arrivals, Costs • Study on Medical Tourism – Kuala Lumpur • Quality • Medical Tourism – Impact on equity, quality, efficiency 1 Medical Tourism - Malaysia Definition •All activities related to travel and hosting a tourist who stays at least one night at the destination region, for the purpose of maintaining, improving or restoring health through medical intervention (G Musa, U. Malaya) Source:http://www.mpc.gov.my/mpc/images/file/Highlights/APIC_Paper%20Presentation/Goi ng_Global_Medical_Tourism.pdf 2 Medical Tourism - Malaysia •Have always been part of the healthcare services provided, but was a very small part of the workload •Tended to be localised to towns with traditional links with neighbouring countries eg Penang, Malacca 3 Medical Tourism - Malaysia •Started to be given prominence 1997/1998 Asian Financial crisis, collection of relevant data after with •Included in government planning agenda, which included relevant interaction between government agencies and industry members involved 4 Medical Tourism - Malaysia Government •Extension of visa period for health patients •Tax incentive to refurbish wards, rooms in private hospitals •Tax exemption to private hospital to expand, modernise, refurbish •Ministry of Health developed health tourism website in 2010 – information on products, prices, location of healthcare services •Malaysia Healthcare Travel Council formed in 2009 5 Medical Tourism Receipts/Revenue in Malaysia, 2000-2011 Source: Malaysia Healthcare Travel Council; “Medical Tourism and the state in Malaysia and Singapore, National University of Singapore“, Chee 2010 6 Medical Tourist Arrivals to Malaysia, 2011 Source: “Overview of the development of Malaysia Healthcare towards Medical Tourism“, Dr Mary Wong Lai Lin, CEO of Malaysia Healthcare Tourism Council, 2012 7 Comparison of Healthcare Travelers from Top 20 Country of Origin No Country of Origin Healthcare Travellers 2010 2011 Increase from previous year (%) 1 Indonesia 261,177 335,150 28.32 2 India 16,940 18,604 9.82 3 Japan 14,937 16,111 7.85 4 United Kingdom 8,254 12,704 53.91 5 China and Hong Kong 7,941 11,886 49.68 6 United States 7,557 10,584 40.05 7 Australia 7,157 9,678 35.22 8 Iran 3,374 8,836 161.88 9 Libyan Arab Jamahiriya 6,008 7,225 20.25 10 Nepal 3,179 6,727 111.60 8 Comparison of Healthcare Travelers from Top 20 Country of Origin No Country of Origin Healthcare Travellers 2010 2011 Increase from previous year (%) 11 Saudia Arabia 5,069 6,580 29.80 12 Myanmar 3,161 5.885 86.17 13 Singapore 4,307 5,879 36.49 14 Philippines 4,143 5,602 35.21 15 Virgin Islands, British 1,151 5,479 376.02 16 Others 7,305 5,367 -26.52 17 Bangladesh 3,332 5,071 52.19 18 Germany 3,375 3,991 18.25 19 Korea, Republic of 1,706 3,521 106.38 20 France 2,407 3,394 41.00 9 Total Number of Foreign Patients in Malaysia Source: Malaysia Healthcare Travel Council; “Medical Tourism and the state in Malaysia and Singapore, National University of Singapore“, Chee 2010 10 Price of Selected Medical Procedures in the US, Thailand, Singapore and Malaysia (In US$) Source: Woodman (2007), as cited in Malaysia Healthcare Travel Council 2012 11 Medical Tourism - Malaysia •Empirical study on Medical Tourism in Kuala Lumpur – sample of 5 hospitals (G Musa, U. Malaya, 2011) Source: http://www.mpc.gov.my/mpc/images/file/Highlights/APIC_Paper%20Presentation/Going_Glo bal_Medical_Tourism.pdf •400 questionnaires, 138 completed (34.5%) 12 Health Tourist Profiles – Kuala Lumpur Female Cosmetic Surgery 56.5% Male 20.3% 42.8% Female 89.3% Between 21-60 years old 79.7% SE Asia 52.2% Australia 5.1% European 18.1% New Zealand 5.1% 13 Pull factors •“Value for money” •‘Excellent medical services’ and supporting services •Cultural similarity – important to ASEAN tourists, but not to others 14 Quality •National Register of Specialists •Ministry of Health & Academy of Medicine Malaysia – Qualifications – Training – Experience •Accreditation of Medical Schools – Malaysian Medical Council, 1997 with support of ECFMG, USA •Accreditation of Hospitals – Malaysian Society for Quality in Health (MSQH), 1998, (based on Australian Standards) 15 MSQH • ISQua Accreditation certification on MSQH Surveyor Training Program December 2011November 2015 • ISQua Accreditation standards June 2012-May 2016 certification on • ISQua Accreditation organisation June 2012-May 2016 certification for 16 Accreditation of Hospitals • MSQH (February 2013) Government hospitals 60 Private hospitals 30 • Joint Commission International 2011 9 2012 6 • MSQH, JCI – accredited by ISQua –International standards –JCI – hospitals that market internationally 17 Malaysia – Comparative Advantages • Lower labour costs • Large skilled work force • Facility with English language • Availability of alternative therapies • Attractive natural environment • Health facility, technology 18 Medical Tourism Impact on equity, quality, efficiency Equity •Affected if gains largely benefit the well to do •Poor can only benefit with better access to healthcare if resources were reallocated in public sector when well to do make greater use of private sector •Brain drain to private sector – problem for public sector •Two tier health system to be avoided 19 Medical Tourism Impact on equity, quality, efficiency Quality • Improvements with superior management, better information systems, foreign investment and expertise • Through better standards of service, superior health outcomes • Not through influx of technology • Need for proper regulatory environmental Under regulated environment – detrimental to overall equity and efficiency of healthcare system 20 Medical Tourism Impact on equity, quality, efficiency Efficiency •Avoid a two-tier health system •Effective regulatory framework to ensure overall equity and efficiency of health sector •Need for clear national policies on healthcare and health financing 21 Medical Tourism Malaysia • Growing contribution to the economy • Heightened concern on quality of healthcare services by authorities beyond Healthcare sector • Potential issues of concern: – Equity, efficiency of healthcare services – Avoid two tier healthcare system – Need for clear policies on healthcare financing 22