Indonesia Health Sector Opening Up

With over 275 million people, Indonesia is the world’s 4th largest country. Healthcare spending is expected to rise from about $35 per person in 2005 to over $270 per person by 2027. On July 11, the Indonesian House of Representatives announced a Health Bill to jumpstart Indonesia’s healthcare market. Via the new Health Bill, the government has tried to reduce bureaucratic requirements to make drugs and devices locally. In addition, the Bill now makes it possible for foreign doctors and healthcare professionals to work in Indonesia more easily. Finally, the new Bill makes it easier for foreign investors to invest in Indonesian hospitals and other healthcare facilities.

Like other Asian countries (Japan, China, Korea, Singapore, and Malaysia), the Indonesian government is encouraging the local production of medical devices. In the past, most sophisticated medical devices have been imported from China, the US, and Germany. However, recently the number of Indonesian medical device companies has increased from about 210 companies in 2018 to over 1,100 companies today.


Written by: Ames Gross – President and Founder, Pacific Bridge Medical (PBM)
Mr. Gross founded PBM in 1988 and has helped hundreds of medical companies with regulatory and business development issues in Asia. He is recognized nationally and internationally as a leader in the Asian medical markets. Mr. Gross has a BA degree, Phi Beta Kappa, from the University of Pennsylvania and an MBA from Columbia University.
Source used in the article: https://business-indonesia.org/news/indonesia-s-new-health-act-opens-door-further-for-investors-in-the-medical-devices-sector