Vietnam's healthcare spending forecast to reach $34.1bn by 2028
05/10/2026 02:30 PM
Vietnam's healthcare spending is projected to reach US$34.1 billion by 2028, while the country still relies heavily on imports for medical equipment, finished medicines, and pharmaceutical ingredients.
Direct discussions among healthcare providers, businesses, and technology partners help clarify the scope of technology transfer, quality standards, and operating conditions in Vietnam. Photo: Supplied
As healthcare policy shifts toward disease prevention and continuous health management, Global Health Week Vietnam 2027 is expected to provide a platform for healthcare providers, businesses, and investors to assess solutions and explore cooperation opportunities.
At a seminar organized by the Health Strategy and Policy Institute on December 24, 2025, Dr. Ong The Due said healthcare spending in Vietnam has been increasing by an average of 7-8 percent annually.
Total spending rose from $17.4 billion in 2019 to an estimated $27.5 billion in 2025 and is forecast to reach $34.1 billion in 2028, nearly doubling in less than a decade.
The increase in resources comes as Vietnam shifts its healthcare strategy under Politburo Resolution No. 72-NQ/TW, which calls for a transition from treating diseases toward proactive prevention and comprehensive, continuous healthcare throughout people's lives.
The resolution also sets out goals to strengthen grassroots healthcare, accelerate digital transformation, expand health insurance coverage, and gradually provide basic hospital services free of charge by 2030.
Directive No. 17/CT-TTg, issued in May, requires localities to strive to ensure that all people receive at least one regular health check-up or free health screening each year by the end of 2026, along with an electronic health record.
The lawmaking National Assembly has also approved the investment policy for the 2026-35 National Target Program on healthcare, population, and development, with the total funding of VND88.635 trillion ($3.35 billion) for 2026-30, including VND47.692 trillion ($1.80 billion) in public investment.
Public and private investment has been translated into a number of major projects.
Bach Mai Hospital's Facility 2 has a total investment of VND4.99 trillion ($188.3 million) and 1,000 beds, with its 2025 procurement plan including 47 medical equipment packages worth more than VND338 billion ($12.8 million).
In Can Tho City, the second phase of Nam Can Tho University International Hospital began construction in September at a cost of around VND1.5 trillion ($56.6 million), with the hospital expected to increase its capacity from 300 to 1,000 beds.
In terms of professional capacity, the World Bank rated Vietnam's essential health service coverage index at 71 out of 100 in 2023, higher than Indonesia's 67 and the Philippines' 69.
Vietnamese doctors have mastered a range of complex procedures, including multi-organ transplants, with more than 1,000 cases performed annually at costs reportedly only one-third of those overseas, as well as fetal cardiac interventions and robotic surgery.
However, medical equipment and access to technology at many healthcare facilities have yet to keep pace with professional capabilities.
According to the U.S. Department of Commerce's International Trade Administration (ITA), citing BMI forecasts, Vietnam's medical device market is expected to grow from $1.9 billion in 2024 to $2.8 billion in 2029, while around 90 percent of medical equipment is still imported.
This level of dependence creates significant demand for technology transfers, consumables, data integration, cybersecurity, and post-sale maintenance services.
The pharmaceutical sector faces a similar challenge.
Vietnam imports around 60 percent of finished medicines and 90 percent of pharmaceutical ingredients.
Under the National Strategy for Pharmaceutical Industry Development, the country aims by 2030 to have domestically produced medicines meet 80 percent of demand and account for 70 percent of market value, while domestic raw materials are expected to meet 20 percent of demand.
Meeting these targets will require businesses to gain access to manufacturing technologies, international quality-control standards, and transparent technology-transfer processes.
At the same time, international investment in Vietnam's healthcare sector continues to grow.
The 2024 Statistical Yearbook recorded 159 valid foreign direct investment projects in the health and social assistance sector, with total registered capital of nearly $1.77 billion.
Major deals have included Thomson Medical Group's acquisition of 100 percent of the company that owns FV Hospital, with an initial payment of $352.8 million, and Raffles Medical Group's agreement to participate in the management of American International Hospital in Ho Chi Minh City.
In pharmaceuticals, AstraZeneca has been committed to investing $360 million in Vietnam through 2030 and has worked with local partners to conduct more than 1.2 million AI-powered chest X-ray screenings as of 2026.
Atul Tandon, chairman and CEO of AstraZeneca Vietnam, said Vietnam's priorities are fully aligned with the group's long-term investment strategy.
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