Health experts bet on medical tourism in Pakistan

KARACHI: Pakistan is poised to become an emerging destination for international patients seeking treatment, with experts forecasting that the country’s medical tourism sector could generate hundreds of millions of dollars annually.

Successful development in this sector could generate substantial foreign exchange earnings, create massive employment across multiple sectors (healthcare, hospitality, transportation), and stimulate infrastructure development, according to the experts.

Shahzad Haider, a healthcare sector expert and financial advisor based in Saudi Arabia, believes that Pakistan’s most compelling competitive advantage is its cost-effectiveness.A Pakistan Business Council (PBC) report states that the global medical tourism market, valued at around $19.28 billion in 2022, is expected to grow at a CAGR of 21.3 per cent through 2030.

“Medical procedures in Pakistan are typically available at just a fraction of the cost charged in Western countries, often generating savings of up to 70 per cent for international patients,” Haider said.

“For example, IVF treatments that might cost $12,000 in Western countries are available for approximately $1,950-$4,390 in Pakistan. This cost advantage extends to virtually all major medical specialties, including cardiac surgery, orthopedics, cosmetic procedures and dental care, making Pakistan particularly attractive for price-sensitive patients seeking high-quality care,” he added.

According to him, another advantage is that, unlike many Western countries with long wait times, Pakistan typically provides quicker access to medical treatments, which is crucial for patients needing urgent care.

Haider was involved in launching a patient access programme in Pakistan, where he structured a co-payment model that enabled over 10,000 underprivileged cancer patients to access essential therapies.

He also views China’s recent announcement of a $1 billion investment to establish a medical city in Karachi as part of the China-Pakistan Economic Corridor (CPEC) initiatives as a significant boost to the country’s medical tourism infrastructure. Furthermore, Pakistan’s growing emphasis on wellness tourism, which blends traditional treatments with modern medical services, aligns with global trends toward holistic healthcare experiences.

However, achieving hub status would require Pakistan to capture at least a modest percentage of the global medical tourism market, which is currently dominated by established players like India, Thailand, Turkey and Malaysia. Based on the growth trajectories of medical tourism in these countries, it is reasonable to project a similar growth path for Pakistan.

Haider, who has been involved in Saudi Arabia’s healthcare transformation under Vision 2030, suggests Pakistan should develop its own healthcare reform programme with increased funding, implementing governance reforms and integrating technology, such as telemedicine, to reach rural areas. The country can leverage private sector expertise and pursue international partnerships to enhance capacity.

Pakistan’s medical tourism industry, though still in its early stages, holds significant growth potential due to cost advantages, a strategic location and a skilled medical workforce. It currently caters to patients from neighbouring countries like Afghanistan and Iran, as well as expatriate Pakistanis seeking affordable care.

Approximately 90 per cent of Afghan patients choose Pakistan for treatment, citing proximity and cultural ties. Additionally, a significant number of patients of Pakistani origin residing in the Middle East, UK and US return for medical treatments. Despite this demand, only seven hospitals have gained international accreditation from the Joint Commission International (JCI), including the Aga Khan University Hospital (AKUH) in Karachi, Shaukat Khanum Memorial Cancer Hospitals in Lahore and Peshawar, and Shifa International Hospitals in Islamabad. The JCI accreditation is considered the global gold standard for healthcare quality and patient safety.

Dr Farhat Abbas, CEO of AKU Health Services in Pakistan, believes that the country has strong potential in the global healthcare tourism market. With increased promotion and strategic positioning, Pakistan can become a credible destination for healthcare travellers.

Over the past several years, the AKUH has treated hundreds of medical tourists who have travelled to the hospital for treatment. These include patients from the US and Canada, but also from regional countries such as Afghanistan, Tajikistan, Iraq and Syria, showing a large and diverse market for medical tourism to Pakistan.

“Globally, medical tourism is often driven by specialised and elective treatments such as cancer care, cardiac surgery, organ transplants, bone and joint surgery, and fertility services. There is also strong demand for cosmetic procedures, dental care, wellness services, and routine health check-ups,” Abbas said.

“The key challenges include creating an enabling ecosystem for healthcare travellers: simplified visa processes, international-standard hospitality and transport infrastructure, and stronger global awareness of Pakistan’s healthcare capabilities,” he added.

Abbas emphasises the necessity of policy support and national-level coordinated marketing. Moreover, according to him, equally important is ensuring that all healthcare providers consistently meet minimum international clinical quality and safety standards, so that patients can trust the care they receive across the board. “Encouragingly, the government has acknowledged this opportunity and has begun taking steps to address these gaps,” he said.

Despite several positive factors, Pakistan struggles to capitalise on the growing global demand for medical tourism. Ongoing concerns about crime and terrorism negatively impact the country’s reputation abroad, making it more challenging to attract medical tourists. Although security conditions have improved in recent years, these perceptions linger.

Additionally, Pakistan’s public health expenditure remains consistently low, around 1.0 per cent of its GDP, placing it among the lowest globally. This is significantly lower than the World Health Organisation’s recommendations and behind neighbouring countries. This underfunding has serious repercussions, leading to a heavy dependence on out-of-pocket payments, which account for over 60 per cent of total health spending and push millions into poverty each year due to health-related financial shocks.

The nation’s healthcare tourism business struggles with a scarcity of accredited institutions and variability in care quality nationwide, as international standards are predominantly upheld in prestigious private hospitals rather than uniformly across the system. Lengthy and complicated visa processes deter potential medical tourists, especially those requiring urgent treatment. The stringent visa regulations and higher visa fee lead Afghan patients to prefer India over Pakistan.

According to the PBC report, Afghans used to make up the largest group of medical tourists in Peshawar. However, due to border skirmishes and restrictions on entering Pakistan, the number of Afghan patients has decreased by as much as 50 per cent in some cases. Pakistan’s ongoing issues with illegal organ transplants continue to tarnish its medical reputation, despite efforts to legislate against these practices.

In addition, the lack of systematic data collection on medical tourism trends, patient satisfaction, and economic impacts limits the ability to develop evidence-based policies and targeted interventions. Furthermore, the disengagement of international insurance companies poses a challenge for the facilitation of medical tourism.