Published Date : Jan 18, 2016
After the recent slump in the global economy, the hospital pharmaceuticals market has been making persistent efforts to get back on its feet and regain lost ground. However, the recovery of the hospital pharmaceuticals market is projected to be anything but rapid, despite the surge in health care spending in almost every large economy. This rather gradual progress has been attributed to two leading factors: several major patent drugs nearing expiration and jaded development in prominent economies. Nevertheless, the market is predicted to pick up speed in the next decade and this negative growth rate of the market will prove to be just a temporary trend.
One of the most important factors that will keep the negative growth from continuing is that almost every leading economy in the world is raising its health care spending.
Even though the research and development scenario continues to be robust in Western Europe, a rigid regulatory framework, lack of solid reimbursement policies, and fragmented pricing systems will hamper the hospital pharmaceuticals market. The percentage of GDP spent on health care in the UK has been declining over the past few years, dropping from 9.40 per cent in 2010 to 9.10 per cent in 2013.
The health care expenditure in Germany accounted for 11.60 per cent of its GDP in 2010, which dropped to 11.30 per cent in 2013. However, the spending in 2013 has risen from 2011, where Germany spent 11.20 per cent of its GDP on health care. This shows that even though compared to a couple of years ago the health care spending has declined, the country is picking up pace now. The Netherlands and France have also reported a slight increase in health care spending in recent years.
The US spends the highest amount of its GDP on health care compared to any other nation in the world. In 2011, the health care expenditure in the US accounted for 17.10 per cent of its GDP.