The ‘silver hair' market could boost Singapore healthcare sector

By 2030, citizens aged 65 and over will double to 900,000.

It would seem like the healthcare sector of Singapore will be getting a boost from the ‘silver hair’ market in the coming years.

In fact, Singapore's ageing population has increased at a faster pace than the rest of its peers, leading to the rise of demand for quality private healthcare and private healthcare expenditure.

According to Maybank Kim Eng, Singapore Population White Paper estimated that by 2030, the number of citizens aged 65 and above will double to 900,000 and they will make up 1-in-4 of total citizens, from 1-in-8 in 2015.

"Moreover, hospital admission rate and prevalence of chronic diseases for those aged above 65 yr-old has at least 19% chance of being admitted, while the population below 60 has less than 11% chance of being admitted," the brokerage firm said.

Add to that, the prevalence of chronic diseases such as cancer, heart attack and obesity has also increased over the years. This could lead to increase in demand for more complex specialist treatments such as oncology and cardiac treatment.

More so, the rising affluence of Singaporeans has paved the way for an increased demand for better quality private healthcare and shorter waiting time.

"Private healthcare spending per capita has been rising steadily, at a 19-year CAGR of 8% to $1,604 in 2014, from $373 in 1995. The private healthcare expenditure made up around 60% of the total healthcare expenditure," Maybank said.