India is rapidly emerging as one of the world’s leading destinations for medical tourism, driven by affordable treatment costs, expanding healthcare infrastructure and supportive government policies, according to a report by Antique Stock Broking.
In its report, India Hospitals: Scaling Capacity to Meet Rising Healthcare Demand, the brokerage said the country’s healthcare sector is entering a phase of sustained growth, supported by rising demand, higher insurance coverage and aggressive capacity expansion by private hospital operators.
According to the report, India currently ranks 10th in the Medical Tourism Index, reflecting its growing appeal among international patients seeking quality healthcare at competitive prices.
“India has rapidly emerged (10th rank in Medical Tourism Index) as one of the leading destinations for medical tourism,” the report said.
Antique noted that one of India’s biggest advantages is the availability of advanced medical treatment at costs that are significantly lower than those in many developed countries.
“Cost-effective treatment options, often at a fraction of the prices charged in developed countries, attract a significant number of international patients seeking high-quality yet affordable care,” the report stated.
The brokerage also highlighted the role of government initiatives in strengthening India’s competitiveness in the global healthcare market.
According to the report, policy measures such as simplified medical visa procedures and continued investment in healthcare infrastructure have made India a more attractive destination for overseas patients.
“The government’s proactive policies, streamlined visa procedures for medical travellers, and investments in healthcare infrastructure further enhance India’s competitiveness in this space,” it said.
Healthcare Delivery Market Expected to Reach Rs 12 Trillion
Beyond medical tourism, the report forecasts strong long-term growth for India’s overall healthcare delivery market.
Antique estimates that the sector will expand at a compound annual growth rate (CAGR) of 10-12 percent, reaching approximately Rs 12 trillion by FY30.
Private healthcare providers are expected to account for an increasing share of this growth.
According to the report, the share of treatments delivered by private hospitals is projected to rise from 64 percent in FY20 to around 69 percent by FY30, reflecting growing patient preference for organised healthcare providers.
Private Hospital Chains Continue Capacity Expansion
The report highlighted the rapid expansion undertaken by leading hospital operators over the past few years.
Between FY23 and FY26, the 15 hospital chains covered in the study added nearly 19,000 beds, taking their combined capacity to more than 70,000 beds.
Antique expects these operators to continue investing aggressively, projecting a 54 percent increase in bed capacity between FY26 and FY30, which would take the total number of beds to over 108,000.
A majority of the planned expansion will come through brownfield projects, which account for 63 percent of upcoming capacity additions.
The brokerage said brownfield expansion typically allows hospitals to achieve faster breakeven and generate better returns on capital than greenfield projects.
Demand Outlook Remains Strong
Despite the large expansion plans, Antique believes concerns over excess capacity remain limited.
The report cited several structural drivers expected to support long-term demand, including rising health insurance penetration, government healthcare programmes such as Ayushman Bharat and PM-JAY, and increasing market share gains by organised hospital chains.
Antique maintained a positive outlook on the sector, citing strong demand visibility, improving operational efficiency, healthy balance sheets and supportive regulatory developments.
According to the brokerage, established hospital networks with strong brands, multi-specialty capabilities and scalable business models are well positioned to benefit from rising healthcare spending within India as well as growing inflows of international patients.
