Apollo Hospitals, India's largest healthcare provider, is expanding patient outreach to new markets such as Iraq, Oman and Southeast Asia, even as it expects Bangladesh patient volumes to return to normal by the end of the year.
This strategy comes as the hospital group aims to mitigate the impact of geopolitical shifts affecting its revenue due to a significant dip in number of Bangladeshi patients visiting India.
“We are now optimistic that we can look at improved volumes coming from international," said Apollo Hospitals managing director Suneeta Reddy said in an interview to Moneycontrol.
The company has looked at different markets that will contribute. “This includes Iraq, Oman, some of the Middle East countries, as well as Africa. We are looking at surrounding Southeast Asia,” she added.
The company has signed a contract with Indonesia, which is not about patient reference “but being able to share knowledge and therefore work with hospitals in Indonesia, which should benefit the hospital immensely”, she said.
Bangladesh used to account for around 45 percent of all medical visas issued by India. However, in 2024, these visas declined by 28.2 percent as India restricted visas to following the ouster of the Sheikh Hasina government, subsequent political unrest, and rising anti-India sentiment.
The drop in Bangladesh business led to a drop of at least Rs 100 crore in revenue for FY25, representing a 1.5 percent dip. The decline was particularly noticeable in the third and fourth quarters, as hospitals in Chennai and Kolkata get a bulk of Bangladeshi patients.
Reddy is optimistic about Bangladeshi patients returning to India due to cost advantage.
"I believe they're going to Turkey, which is something that they have chosen to do, and some probably to Thailand. But in terms of cost, I think, you know, we still have a huge advantage, and we just need to rebuild those relationships, which I'm sure will happen by the end of the year," she said.
Reddy is also confident of India's long-term appeal as a healthcare destination. "… I think it won't happen overnight, but I'm optimistic that patients will prefer India as a healthcare destination, and definitely Apollo," she said.
The hospital group is implementing mitigation strategies, including a sharper focus on high-end specialties such as cardiology, oncology, neurosciences, gastro sciences, and orthopaedics, which are have increased their contribution to revenue. Apollo is also enhancing its local market share by attracting patients from surrounding areas to its hospitals in metropolitan cities.
The number of medical visas issued by India reached an all-time high of 597,196 in 2023 but Bangladesh, along with Yemen and Somalia, which, too, have wrecked by social unrest, pulled down the number to 463,725 in 2024.
International patients are much sought after by hospitals, as they pay 15-20 percent premiums and spends are largely out-of-pocket. They come to India to avail advanced tertiary care such as organ transplants, bypass surgeries and joint replacements.
Along with healthcare, the patients and their family members also spend money on accommodation, travel and other purchases, helping the economy indirectly.
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