Eastern Europe explores PFI for medical imaging
- 16 June 2008
Public hospitals in Eastern Europe are exploring private finance service (PFI) approaches to enable them to invest in medical imaging equipment.
According to a new report from Frost & Sullivan the market for Eastern European medical imaging modalities will double from €195m in 2007 to reach €411.8m by 2014.
"Healthcare financing and a burgeoning private sector are creating opportunities for the growth of the medical imaging modalities market in eastern Europe," said Frost & Sullivan research analyst Smruti Munshi. "
The report says insurance companies and individual operators are also supporting growth in the medical imaging modalities market in Eastern Europe.
"Private sector growth is contributing positively to the medical imaging market, particularly for high-end medical imaging equipment," said Munshi.
The Frost & Sullivan analyst said: "The private sector owns and runs several diagnostic centres for MR and CT in Eastern Europe. Being self-financed, such centres are open to vendors’ recommendations of purchasing more sophisticated, high-end equipment that will enhance patient throughput and eventual return on investment."
The report says, however, that governments in Eastern Europe are relaxing policies and encouraging private sector investment in diagnostic services and the purchase of new medical equipment.
Currently, the market is dominated by old equipment, particularly in modalities that are the most popular and commonly used, such as X-rays. To date strict healthcare budgets and low reimbursement have resulted in little incentive to replace existing X-ray systems and purchase new ones.
"Although countries like Poland, the Czech Republic and Hungary are becoming more stable, they still experience many challenges that will need to be overcome if market success is to be sustained," said Munshi.
He added: "The healthcare systems in these countries are also state controlled, resulting in tenders being awarded to local participants as governments prefer dealing with them."