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Asia-Pacific Regulations Driving Innovation in Healthcare 

  • October 2015
  • 11 pages
  • Frost & Sullivan
Report ID: 3358473


Table of Contents

About this Study

Innovation is fundamental to the growth of the healthcare market In recent years, many governments in the Asia-Pacific (APAC) region have rolled out favorable regulations to encourage innovation in the healthcare industry This article examines two types of government regulations that can promote innovation in healthcare First, Frost & Sullivan discusses government initiatives in driving the growth of healthcare research and development (R&D) by highlighting those adopted in China, South Korea, Taiwan, and Singapore

These countries showcased the highest increase in R&D investments between 2009 and 2012 Second, by focusing on the Association of Southeast Asian Nations (ASEAN), we look at policies that aim to enhance the delivery of and access to healthcare products and services Findings presented in this article are supported by a deeper analysis in the research “Impact of Policies Shaping ASEAN1 Healthcare – Outlook till 2020”

Policies Driving Increasing R&D Expenditure in APAC

Innovation in any industry, let alone healthcare, is improbable without investments in R&D A minimum threshold of R&D is expected to drive healthy innovation across companies, countries, and regions Not only does R&D investment fuel the development and growth of new products and technologies, it also sparks curiosity and enthusiasm, essential characteristics for a progressive and productive workforce R&D expenditure is considered to be an essential criterion that reflects national development It is influenced by a number of factors including political climate, fiscal policies, resource availability, and regulatory regimes

Globally, there has been a decline in R&D spending, including in the healthcare industry Even though healthcare has been more resilient on this front compared with other industries, this trend is expected to reverse with the growing need for improvements in cost and quality of care across almost all countries and regions over the next few years Between 2007 and 2012, the total investment in healthcare R&D increased at a compound annual growth rate (CAGR) of only %

The significant drop in global healthcare R&D spending in 2009 was a result of the Recession as well as cuts in healthcare expenditure across developed markets as part of austerity measures

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