Saudi German Hospital expects better opportunities through medical tourism, health insurance

Medical tourism and health insurance coverage for Saudi citizens will create better opportunities for Saudi German Hospitals Group (SGH), owned by Middle East Healthcare Co. (MEAHCO), vice chairman and deputy president Makarem Batterjee told CNBC Arabia.

“Medical tourism is one of the greatest opportunities that the company needs to change its features and goals,” Batterjee said.

Batterjee pointed out that there are other stimuli across Saudi Arabia such as villages and cities that yet do not have adequate healthcare services, which is positive for the private sector.

“The group has made many positive changes and internal reforms that make it stronger, along with the Kingdom’s tendency to attract foreign investment in the health sector,” Batterjee said.

He noted that these reforms started to pay off in Q3 2019, however, the drop in the company’s profits during the first 9 months of 2019 can be attributed to lower government spending, given that the Ministry of Health is a major client of SGH.

Currently, MEAHCO is focusing on expansion in Saudi Arabia, the UAE, Egypt. It also aims to set up its first hospital in Morocco, and the relevant details will be disclosed soon, Batterjee added.

SGH is also planning to form new partnerships, he concluded, citing its collaboration with Egypt’s Mayo Clinic Care Network, a group of carefully vetted and independent health care systems.