RIYADH, 9 September 2004 — Crown Prince Abdullah’s announcement that the Kingdom will allocate SR41 billion for welfare projects from this year’s budget surplus is expected to give a shot in the arm for the medical equipment market which has been growing annually at a rate of seven to 10 percent.
Saud S. Al-Arifi, managing director of Al-Faisaliah Medical Systems (FMS), told Arab News that with 150 more primary health care centers and 26 new hospitals to be built, there is already a boom in the health care sector, which will get a further boost with the additional allocation.
Al-Arifi was speaking on the occasion of the donation by FMS of medical equipment worth around SR1.5 million to the Fallujah Public Hospital in Iraq. The donation was made in response to an appeal by Interior Minister Prince Naif who is also the head of the Saudi Committee for Aid to the Iraqi People.
The company has donated a set of high-tech medical system to the Fallujah Public Hospital ranging from ultra sound equipment for internal medicine and gynecology to advanced respiratory systems, sophisticated lighting system for the operation theater, surgical telescopic units, surgical tools and various medical accessories.
On the medical appliances market, Al-Arifi said the Kingdom accounts for 55 percent of the GCC market. The volume of the market for medical equipment stands at SR1 billion-SR1.5 billion and is set for accelerated growth due to various factors.
Among them, he pointed out, is the growth rate of the Saudi population projected to increase by 56 percent between 2000 and 2020. Other contributory factors are the sharp increase in cardiac and respiratory diseases as well as a surge in the incidence of diabetes, renal failure and cancer. A growth in the aging population and extended period of hospital stay for certain types of patients, all this has added up to a high growth rate of the health care sector.
“In our case alone, our rate of growth has been averaging 27-35 percent annually since 1998. Today we account for 35 percent of the Kingdom’s market share,” Al-Arifi said, adding that the Kingdom’s existing 340 hospitals are going through an expansion program in the wake of the mandatory health insurance scheme for expatriates. This is in addition to the free health care service being provided to the citizens in government hospitals.
