Feel better, Hong Kong: Singapore tops healthcare system efficiency ranking

As aging population gets support.

Singapore overtook Hong Kong to top a ranking of the most-efficient health-care systems, as the government boosts spending on medical services to support an aging population.

The Southeast Asian nation was rated first among 51 countries, according to an annual ranking compiled by Bloomberg that tracks factors including life expectancy, the cost of health care as a percentage of gross domestic product and total medical expenditure for each person. Hong Kong dropped to second place and Italy was ranked third, while the U.S. was 44th and Russia last.

Singapore has increased health-care spending in recent years as the workforce ages and the government faces political pressure to ease the burden of the country’s poor. The city-state subsidizes some medical expenses and patients are required to take on more of the costs if they choose premium services, with citizens using mandatory savings set aside for health-care needs.

“I describe Singapore’s system as the least imperfect in the world,” said Jeremy Lim, head of Oliver Wyman & Co.’s Asia-Pacific health and life sciences practice. “If Singapore can successfully balance the increased funding availability with prudent measures to curb inappropriate and over-consumption which society as a whole accepts and supports, the future would be very promising.”

View the full report here.