Malaysia's Healthcare Sector Could Remain Resilient in 2H

Dow Jones
14 hours ago

0155 GMT - Malaysia's healthcare sector is expected to sustain its momentum in 2H, with patient volumes and revenue per patient continuing to improve, Affin Hwang IB analyst Andrew Lim says in a note. Hospital operators are expected to benefit from resilient healthcare demand, while regulatory risks appear more manageable, he says. The government's medical assistance program is focused on improving access to affordable private healthcare. The diagnosis-related group system could be delayed to 2028 and appears likely to adopt a gradual or hybrid fee-for-service model rather than outright fixed pricing, which could reduce the risk of a sharp impact on hospital profitability, he reckons. Affin Hwang maintains an overweight rating on Malaysia's healthcare sector, pegging IHH Healthcare as its top pick.

 

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