Malaysia (Commonwealth Union)_ The ongoing political unrest in Bangladesh has had a noticeable impact on the country’s medical tourism industry, particularly in relation to India. With tensions rising, many Bangladeshi citizens are postponing or canceling their medical trips to India, marking a shift in regional healthcare dynamics. Bangladesh, traditionally the largest source of medical tourists in India, accounts for 50–60% of the country’s total inflow of patients. However, recent reports suggest that the ongoing socio-political turmoil could result in a 10–15% decline in medical tourism from Bangladesh to India. This change is already evident, with a growing number of Bangladeshis turning to Malaysia for medical treatment.
India has long been the preferred destination for medical tourism due to its proximity, cost-effectiveness, and access to advanced medical technologies. However, political and social unrest-fueled anti-India sentiment in Bangladesh has prompted many citizens to reevaluate their medical travel options. This shift has prompted a rise in Bangladeshi medical tourists heading to Malaysia, where the healthcare system offers competitive pricing and a reputation for high-quality, affordable services. Furthermore, Malaysia’s healthcare system has gained significant recognition globally for its accredited hospitals, skilled medical professionals, and advanced technologies. The country’s medical tourism industry has flourished due to its affordability, exceptional patient care, and a wide range of medical packages tailored to international visitors.
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Moreover, Malaysia has leveraged its reputation for offering culturally sensitive care, including halal-friendly accommodations, to appeal to Bangladeshi travelers. The country’s streamlined visa processes and robust transportation infrastructure also contribute to its appeal. As more Bangladeshi patients seek treatment in Malaysia, the country’s economy has seen substantial growth, especially in sectors tied to medical tourism. Revenue from the influx of medical tourists has also bolstered Malaysia’s GDP, benefiting industries such as hospitality, retail, and transportation. The country’s focus on halal tourism, which aligns with the religious and cultural preferences of Bangladeshi Muslim travelers, has made it an attractive alternative to India for medical care. Furthermore, government initiatives promoting Malaysia as a medical tourism hub have played a crucial role in this transformation.
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The shifting trend of medical tourism is particularly noticeable in neighboring Kolkata state in India, which has traditionally relied on Bangladesh as a major source of patients. The current instability in Bangladesh has led to a reduction in medical tourism to Kolkata and other Indian cities. This decline is not only affecting healthcare providers but also the local economy in regions like West Bengal, which has long benefitted from the influx of Bangladeshi visitors for both medical and leisure purposes. In addition to the increasing trend of medical tourism to Malaysia, political unrest in Bangladesh is also impacting India’s broader tourism sector. Accordingly, economists suggest that the instability could reduce overall inbound tourism to India, particularly from Bangladesh.
In recent years, Bangladesh has been the largest source market for Indian tourism, accounting for 23% of total inbound visitor’s post-pandemic. However, while the political unrest has dealt a blow to medical tourism, it remains unclear whether it will have the same long-term impact on leisure tourism, especially in popular destinations like Delhi, Jaipur, and Agra. Furthermore, medical tourism has become an important segment of India’s hospital industry, contributing between 3–5% of the sector’s revenue. Despite the potential short-term impact of the anticipated decline in Bangladeshi medical tourists, we anticipate a gradual recovery of the sector by the end of 2024. Larger hospitals in India, particularly those with multiple locations and strong financial stability, are likely to withstand the challenges better than smaller, single-location facilities that rely more heavily on Bangladeshi patients.
The availability of low-cost surgeries, world-class care, and expanding visa programs like the e-medical visa are driving India’s medical tourism industry to continue its growth trajectory. Despite the challenges posed by political instability in Bangladesh, India’s medical tourism sector remains resilient. The country has continued to attract patients from across South Asia, Africa, and the Middle East. Bangladesh still ranks as one of the largest contributors to India’s medical tourism industry, with approximately 3–3.5 lakh Bangladeshi nationals seeking medical treatment in India each year. The hospital industry in India holds a valuation of approximately Rs 5.8 lakh crore, and projections indicate an annual growth rate of 12% over the next three years.
While Bangladeshi medical tourists find a temporary respite in Malaysia, India’s dominance in the global medical tourism market is unlikely to easily shift. However, the geopolitical dynamics in the region are reshaping patient preferences, highlighting the delicate balance between healthcare and political sentiment in today’s interconnected world. As Malaysia continues to capitalize on these changing trends, the long-term impact on both India and Malaysia’s medical tourism industries will depend on how these political tensions evolve in the coming months and years.
