Malaysian general practitioners (GPs) are expressing growing concern about an emerging “epidemic”—the rapid expansion of foreign-owned entities purchasing local clinics as a way to dominate the country’s primary healthcare sector.
Many GPs fear that they will face a fate similar to that of local grocers and retail shops, which have been overtaken by hypermarkets in recent years. It’s now increasingly rare to find a village grocer or retail shop in smaller towns. GPs’ worries stem from two main issues: the fear of being pushed out of business by large, profit-driven foreign entities, and the potential overcrowding of government clinics as patients who can no longer afford private care are forced to seek public services.
Currently, visiting a local GP can cost around RM60 for consultation and medication, an affordable option for many. However, at the “hyperclinics”—foreign-owned private clinics—the fees are much higher, raising concerns that more people will be unable to access private healthcare and end up overburdening public health facilities.
Dr. Shanmuganathan T.V. Ganesan, president of the Federation of Private Medical Practitioners’ Associations Malaysia, notes that GPs have observed the growing presence of foreign firms in primary care over the last few years. One such foreign conglomerate, with no prior healthcare experience, boasts of expanding to over 100 clinics in just four years. Another claims to operate more than 200 clinics, further increasing competition for the smaller, solo GP-run clinics.
In Malaysia, there are between 7,000 and 8,000 private GPs, a drop from 9,800 in 2022. While the exact number of clinics acquired by foreign entities remains unclear, GPs fear that solo practices, especially in rural areas, are at risk of being replaced by these large clinic chains, which are better equipped financially.
While GPs can choose not to sell their practices, the proximity of “hyperclinics” with their larger offerings of services, including primary care, dental services, and imaging, could force smaller clinics to close their doors over time. As a result, even smaller local clinics are beginning to consolidate, with multiple GPs joining together to form larger practices. However, solo GP clinics in rural or less urbanized areas may not survive the competition in the long run.
This situation poses a further risk to the accessibility of affordable healthcare. As smaller, independently operated GP clinics struggle to stay afloat, many Malaysians, especially those who rely on affordable care, could be pushed toward already overcrowded government clinics. This would further stretch the public health system, which is already facing significant strain.
To prevent this scenario, some argue that the government must step in to protect small GP practices, ensuring that they remain a viable option for the hundreds of thousands of Malaysians who depend on them daily for affordable primary healthcare. Supporting the survival of these local clinics could prevent an even greater burden on public services and maintain accessible healthcare for all.
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