24 SECTION 03 AL-`AQAR HEALTHCARE REIT OPERATING ENVIRONMENT Medical tourism has emerged as a key growth driver for Malaysia’s private healthcare sector and a meaningful contributor to healthcare facility utilisation. Malaysia has historically attracted more than one million medical travellers annually since 2017, with volumes temporarily disrupted during the COVID-19 pandemic period. Since the reopening of international borders, medical tourism has demonstrated a strong recovery, with arrivals once again exceeding one million visitors annually from 2023 onwards. According to the data published by MHTC in 2024, the country recorded approximately 1.5 to 1.6 million medical travellers, generating an estimated RM2.7 billion in healthcare travel revenue. Malaysia’s medical tourism proposition is underpinned by comparatively lower treatment costs relative to developed markets and regional peers, combined with high standards of clinical care and internationally recognised accreditations. Private hospitals in Malaysia have also developed strong capabilities in specialised treatments such as cardiology, fertility services, oncology, orthopaedics, and comprehensive health screening, which continue to attract foreign patients. Ongoing government support through the MHTC, together with targeted promotional initiatives, continues to strengthen Malaysia’s positioning as a regional healthcare hub. The upcoming MYMT 2026 is expected to further support sector growth by expanding international outreach and promoting integrated healthcare and wellness offerings. From a healthcare real estate perspective, medical tourism supports higher utilisation intensity at private hospitals and specialist facilities, particularly those catering to complex and high-value treatments, reinforce demand for high-quality healthcare assets. MEDICAL TOURISM AND CROSS-BORDER HEALTHCARE DEMAND MALAYSIA INBOUND HEALTH TRAVELERS – VOLUME (’000) AGAINST REVENUE PER CAPITA (MYR ’000) 2011 2015 2019 2013 2017 2021 2023 2012 2016 2020 2014 2018 2022 2024 0 - 200 400 200 400 1,000 600 800 1,200 1,400 1,600 1,000 1,400 1,200 800 600 2,000 1,800 1,600 Source: Malaysia Healthcare Travel Council (MHTC), 2025 Revenue per capita (MYR ’000) Volume
RkJQdWJsaXNoZXIy NDgzMzc=