The region's healthcare sector will expand to keep the elderly healthy.
Rising incomes and a growing middle class are boosting demand for better healthcare services in the region. Drug makers, healthcare providers and medical parts makers are some key businesses that will see rapid growth in Asia over the next decade.
Malaysia's IHH Healthcare, which raised $2.1 billion in July in the world's third-largest IPO so far this year, posted a more than five-fold jump in second quarter profit to $130 million. The firm has expanded rapidly in the last few years to employ 24,000 people in 30 hospitals across Malaysia, Singapore, India, and Turkey. It is also looking for growth opportunities in China and Hong Kong.
The Carlyle Group, a U.S. buyout fund, recently acquired a 13.5 percent stake in China's Meinian Onehealth Healthcare Group to tap into the country's $6.3 billion preventive healthcare industry, growing at about 15 percent annually. Meinian Onehealth, which provides services like medical examinations and traditional Chinese health treatments, plans to open 20 clinics by the end of the year, taking its total to about 83.
With the Chinese government announcing in September it will invest $63 billion in the healthcare system by 2020, the market for medical devices is also set to boom. U.S.-based medical parts maker Covidien opened a $45 million research and development facility in Shanghai in August to create products for China and other emerging markets.