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Medical Imaging Equipment Market in Eastern Europe Spurred by Medical Funding - Public hospitals in Eastern Europe are increasingly approaching private finance service companies to gain financial autonomy, allowing them to invest in medical imaging equipment
Medical Imaging Equipment Market in Eastern Europe Spurred by Medical Funding

 

PRZOOM - /newswire/ - London, United Kingdom, 2008/06/12 - Public hospitals in Eastern Europe are increasingly approaching private finance service companies to gain financial autonomy, allowing them to invest in medical imaging equipment.

   
 
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These Private Financing Initiatives (PFIs) are raising investment capital and therefore improving the outlook for existing medical imaging modalities markets.

New analysis from Frost & Sullivan (medicalimaging.frost.com), Eastern European Medical Imaging Modalities Markets, finds that the markets earned revenues of $299.8 million in 2007 and estimates this to more than double by 2014 to reach $631.5 million.

"Healthcare financing and a burgeoning private sector are creating opportunities for the growth of the medical imaging modalities market in eastern Europe," notes Frost & Sullivan Research Analyst Smruti Munshi. "Private sector growth plays a very important role in the financing of healthcare infrastructure, services and equipment."

The public sector, which was previously fraught with issues such as the lack of transparency in revenue collection and erratic and unpredictable payments, is now moving towards a more favourable environment for private investment. Private health insurance is reducing the pressure on the public insurance system and serving as a source of financing to rebuild infrastructure in the eastern European region.

Major medical imaging modality vendors, including original equipment manufacturers (OEMs), are positive about the development of the private sector, as it is a more attractive source of revenue than the public sector. Insurance companies and individual operators are also supporting growth in the medical imaging modalities market in Eastern Europe.

"Private sector growth is contributing positively to the medical imaging market, particularly for high-end medical imaging equipment," comments Munshi. "The private sector owns and runs several diagnostic centres for MR and CT in Eastern Europe. Being self-financed, such centres are open to vendors' recommendations of purchasing more sophisticated, high-end equipment that will enhance patient throughput and eventual return on investment."

Increasing awareness about privatisation, coupled with the associated benefits of private sector services, is causing governments to relax policies and encourage private sector investment with regard to diagnostic services and the purchase of new medical equipment in these countries.

Currently, the market is dominated by old equipment, particularly in modalities that are the most popular and commonly used, such as X-rays. Strict healthcare budgets and low reimbursement have resulted in little incentive to replace existing X-ray systems and purchase new ones. Moreover, upcoming imaging modalities such as CT and MRI offer high reimbursement at low costs, making the market unpredictable.

"Although countries like Poland, the Czech Republic and Hungary are becoming more stable, they still experience many challenges that will need to be overcome if market success is to be sustained," remarks Munshi. "The healthcare systems in these countries are also state controlled, resulting in tenders being awarded to local participants as governments prefer dealing with them."

If you are interested in a virtual brochure, which provides manufacturers, end users and other industry participants with an overview of the eastern European medical imaging modalities markets, then send an email to Patrick Cairns, Corporate Communications, at pcairns_pr[.]frost.com, with your full name, company name, title, telephone number, company email address, company website, city, state and country. Upon receipt of the above information, an overview will be sent to you by email.

Eastern European Medical Imaging Modalities Markets is part of the Medical Imaging Growth Partnership Service Programme, which also includes research in the following markets: Medical Equipment Services; Mammography Systems; and Non-Radiology PACS. All research included in subscriptions provides detailed market opportunities and industry trends that have been evaluated following extensive interviews with market participants. Interviews with the press are available.

Frost & Sullivan, the Growth Partnership Company, partners with clients to accelerate their growth. The company's TEAM Research, Growth Consulting and Growth Team Membership™ empower clients to create a growth-focused culture that generates, evaluates and implements effective growth strategies. Frost & Sullivan employs over 45 years of experience in partnering with Global 1000 companies, emerging businesses and the investment community from more than 30 offices on six continents.

Eastern European Medical Imaging Modalities Markets / M222

 
 
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Medical Imaging Equipment Market in Eastern Europe Spurred by Medical Funding

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