Vietnam’s Healthcare Surge: Why Investors Are Betting Big on the Future

By Mike Kearns, Forbes Asia

Vietnam&#39;s healthcare sector is undergoing a seismic transformation. Projected to nearly double from $18.5 billion in 2022 to $33.8 billion by 2030, the industry is drawing increased attention from investors, innovators, and global healthcare providers.

To gain a deeper understanding of what’s fueling this growth and what lies ahead, I sat down with Dr. Tran Quoc Bao, a leading healthcare strategic investor and advisor. Dr. Bao has spent more than two decades navigating the evolution of Vietnam&#39;s healthcare landscape—and he believes the country is just getting started.

Economic Growth Meets Health Consciousness

“Vietnam’s rising middle class is changing everything,” says Dr. Bao. “With greater income comes greater expectations—not just for more healthcare, but for better healthcare.” He notes that the country’s fast-growing economy has lifted millions into higher income brackets, fueling a surge in demand for both preventative and curative services.

This economic momentum is being matched by a societal shift: Vietnamese citizens are increasingly health-conscious. “From urban centers to rural towns, people are more proactive about their health,” Dr. Bao adds. “There’s a growing appetite for regular checkups, chronic disease management, and wellness services.”

Government Support Lays the Foundation

Behind the scenes, Vietnam’s government is actively shaping the sector’s trajectory. Investments in healthcare infrastructure and regulatory support for digital health are driving progress. “Digital transformation is not just a trend here—it’s a policy priority,” Dr. Bao explains.

Public-private partnerships, government incentives, and streamlined foreign investment processes are accelerating development. As a result, private hospitals and clinics are cropping up across the country.

An Aging Population Demands Innovation

But demographics are also a major driver. “Vietnam is aging fast,” Dr. Bao says, noting that nearly 20% of the population is expected to be over 60 by 2035. “We are already seeing increased demand for geriatric care, chronic disease management, and long-term care solutions.”

This demographic shift is putting pressure on public healthcare systems, which already face challenges of overcrowding and uneven distribution of healthcare professionals—issues that digital health platforms are attempting to address.

Private Sector and Digital Health Surge

Private healthcare providers are stepping in to meet unmet needs, especially in high-demand urban centers like Hanoi and Ho Chi Minh City. “Private investment is exploding,” Dr. Bao remarks. “We’re seeing world-class hospitals, specialized clinics, and diagnostic centers being built at a remarkable pace.”

Equally transformative is the rise of digital health. Telemedicine platforms, electronic health records (EHRs), and AI-based diagnostics are gaining traction. “Digital health bridges the gap, especially in remote areas where doctors are scarce,” says Dr. Bao. “This is one of our best tools to address both accessibility and efficiency.”

Vietnam as a Medical Tourism Hub

Another rising trend? Medical tourism. Vietnam’s combination of affordable pricing and improving quality is attracting patients from neighboring countries, particularly for dental care, cosmetic surgery, and elective procedures.

“We have the potential to become Southeast Asia’s next medical tourism hub,” Dr. Bao says confidently. “With the right infrastructure and international partnerships, this can be a multibillion-dollar opportunity.”

Opportunities for Investors and Innovators

According to Dr. Bao, the most promising areas for investment include:

Medical Equipment and Devices: Vietnam relies heavily on imports, creating fertile ground for international suppliers.

Pharmaceuticals: A growing population and a rise in chronic illnesses are expanding the pharmaceutical market rapidly.

Digital Health: The surge in demand for digital diagnostics, telehealth, and data solutions opens doors for healthtech startups and global tech firms.

Private Hospitals and Clinics: With overcrowding in public hospitals, patients are increasingly turning to private providers.

Medical Tourism Services: Companies that can package quality care with hospitality and travel logistics are poised to thrive.

Challenges to Navigate

Despite the optimism, Dr. Bao is quick to point out the sector&#39;s growing pains:

Hospital Overcrowding remains a major issue in public hospitals, especially in urban centers.

Uneven Workforce Distribution makes rural healthcare access inconsistent, with many specialists concentrated in cities.

Service Quality Disparities exist between public and private providers, as well as between urban and rural facilities.

“These are solvable problems,” Dr. Bao says, “but they require continued investment, training, and innovation.”

The Road Ahead

Vietnam’s healthcare sector is at a crossroads—with the momentum, the money, and the motivation to become a regional leader in healthcare delivery and innovation.

“We have a unique opportunity to leapfrog legacy systems and build something truly modern,” says Dr. Bao. “But we must be strategic—focus on quality, equity, and technology to ensure this growth benefits every Vietnamese citizen.”

For investors, innovators, and healthcare leaders, Vietnam isn’t just a rising market—it’s a strategic imperative.

About Dr. Tran Quoc Bao
Dr. Bao is a senior health policy advisor and healthcare strategist with over 20 years of experience in Vietnam’s public and private health systems. He is a frequent speaker at regional health conferences and a consultant on healthcare reform initiatives.

Vietnam’s Healthcare Surge: Why Investors Are Betting Big on the Future

By Mike Kearns, Forbes Asia

Vietnam's healthcare sector is undergoing a seismic transformation. Projected to nearly double from $18.5 billion in 2022 to $33.8 billion by 2030, the industry is drawing increased attention from investors, innovators, and global healthcare providers.

To gain a deeper understanding of what’s fueling this growth and what lies ahead, I sat down with Dr. Tran Quoc Bao, a leading healthcare strategic investor and advisor. Dr. Bao has spent more than two decades navigating the evolution of Vietnam's healthcare landscape—and he believes the country is just getting started.

Economic Growth Meets Health Consciousness

“Vietnam’s rising middle class is changing everything,” says Dr. Bao. “With greater income comes greater expectations—not just for more healthcare, but for better healthcare.” He notes that the country’s fast-growing economy has lifted millions into higher income brackets, fueling a surge in demand for both preventative and curative services.

This economic momentum is being matched by a societal shift: Vietnamese citizens are increasingly health-conscious. “From urban centers to rural towns, people are more proactive about their health,” Dr. Bao adds. “There’s a growing appetite for regular checkups, chronic disease management, and wellness services.”

Government Support Lays the Foundation

Behind the scenes, Vietnam’s government is actively shaping the sector’s trajectory. Investments in healthcare infrastructure and regulatory support for digital health are driving progress. “Digital transformation is not just a trend here—it’s a policy priority,” Dr. Bao explains.

Public-private partnerships, government incentives, and streamlined foreign investment processes are accelerating development. As a result, private hospitals and clinics are cropping up across the country.

An Aging Population Demands Innovation

But demographics are also a major driver. “Vietnam is aging fast,” Dr. Bao says, noting that nearly 20% of the population is expected to be over 60 by 2035. “We are already seeing increased demand for geriatric care, chronic disease management, and long-term care solutions.”

This demographic shift is putting pressure on public healthcare systems, which already face challenges of overcrowding and uneven distribution of healthcare professionals—issues that digital health platforms are attempting to address.

Private Sector and Digital Health Surge

Private healthcare providers are stepping in to meet unmet needs, especially in high-demand urban centers like Hanoi and Ho Chi Minh City. “Private investment is exploding,” Dr. Bao remarks. “We’re seeing world-class hospitals, specialized clinics, and diagnostic centers being built at a remarkable pace.”

Equally transformative is the rise of digital health. Telemedicine platforms, electronic health records (EHRs), and AI-based diagnostics are gaining traction. “Digital health bridges the gap, especially in remote areas where doctors are scarce,” says Dr. Bao. “This is one of our best tools to address both accessibility and efficiency.”

Vietnam as a Medical Tourism Hub

Another rising trend? Medical tourism. Vietnam’s combination of affordable pricing and improving quality is attracting patients from neighboring countries, particularly for dental care, cosmetic surgery, and elective procedures.

“We have the potential to become Southeast Asia’s next medical tourism hub,” Dr. Bao says confidently. “With the right infrastructure and international partnerships, this can be a multibillion-dollar opportunity.”

Opportunities for Investors and Innovators

According to Dr. Bao, the most promising areas for investment include:

Medical Equipment and Devices: Vietnam relies heavily on imports, creating fertile ground for international suppliers.

Pharmaceuticals: A growing population and a rise in chronic illnesses are expanding the pharmaceutical market rapidly.

Digital Health: The surge in demand for digital diagnostics, telehealth, and data solutions opens doors for healthtech startups and global tech firms.

Private Hospitals and Clinics: With overcrowding in public hospitals, patients are increasingly turning to private providers.

Medical Tourism Services: Companies that can package quality care with hospitality and travel logistics are poised to thrive.

Challenges to Navigate

Despite the optimism, Dr. Bao is quick to point out the sector's growing pains:

Hospital Overcrowding remains a major issue in public hospitals, especially in urban centers.

Uneven Workforce Distribution makes rural healthcare access inconsistent, with many specialists concentrated in cities.

Service Quality Disparities exist between public and private providers, as well as between urban and rural facilities.

“These are solvable problems,” Dr. Bao says, “but they require continued investment, training, and innovation.”

The Road Ahead

Vietnam’s healthcare sector is at a crossroads—with the momentum, the money, and the motivation to become a regional leader in healthcare delivery and innovation.

“We have a unique opportunity to leapfrog legacy systems and build something truly modern,” says Dr. Bao. “But we must be strategic—focus on quality, equity, and technology to ensure this growth benefits every Vietnamese citizen.”

For investors, innovators, and healthcare leaders, Vietnam isn’t just a rising market—it’s a strategic imperative.

About Dr. Tran Quoc Bao
Dr. Bao is a senior health policy advisor and healthcare strategist with over 20 years of experience in Vietnam’s public and private health systems. He is a frequent speaker at regional health conferences and a consultant on healthcare reform initiatives.