VietNamNet Bridge - More and more private medical consulting rooms have been set up and have been running smoothly, but many private hospitals have reported big losses.

T., who suffered a stomach ache, wanted to be examined by a good doctor who works for a state-owned hospital. However, he finally decided to go to a private clinic. The doctors there are regular members of CR Hospital, a prestigious state-owned hospital. 

At the clinic, T was told that he would undergo an endoscopic operation, for which he had to pay VND1.2 million. The examination showed there was problem with a part of his stomach. Therefore, the physician decided to cut the problematic part and send tissues for biopsy, for which he had to pay VND250,000. 

As such, T had to pay a total of VND1.5 million. The problem was diagnosed and he received prescriptions just within several hours.

T. was told by the doctors that he needs to take the medicine as prescribed and if his conditions improve, he needs to continue to follow the same remedy without having to go back to the clinic for re-examination. 

As such, he will not have to go to clinic several times, something he would have to do if he went to a state-owned hospital. Though he had to pay VND1.5 million for the service, he was satisfied with the service quality and the way the doctors and nurses treated him. 

When asked why he did not go to a hospital which has a larger operation scale than a consulting room, T said he doesn’t like state-owned hospitals, where doctors are quick-tempered because of overwork, and he doesn’t think he can afford the expensive services at private hospitals.

“I think hospitals will charge higher because hospitals have higher investment rate than clinics,” he said. Meanwhile, T believes that clinics are well equipped with modern material facilities and qualified physicians.  

Analysts have noted that the major clients of clinics are middle-income earners, who want to avoid the inconveniences at state-owned hospitals and receive high-quality services at reasonable costs.

There are 38 general hospitals and 300 privately run clinics in HCM City. With the average investment rate of VND2.5-3 billion per bed, investors would have to spend at least VND300 billion on a 100-bed hospital. Meanwhile, it would be less costly to set up a clinic, just VND4-5 billion.

Regarding the administration cost, one would have to pay up to $2 million to establish a hospital, while he would have to spend VND100 million only for a clinic.

The prosperity of existing privately run clinics has prompted investors to expand clinic networks. Foreign investors have jumped on the bandwagon, cooperating with Vietnamese investors and physicians to open foreign-invested clinics. 

TBKTSG