LEADING FROM THE FRONT
As government-backed initiatives set up Oman's healthcare sector for further growth, Starcare Group is fast expanding its footprint across the country to capitalize on business opportunities.
BIOGRAPHY
Sadik Kodakat is the Chairman of Starcare Hospital, which he founded in 1983. He is a specialist in anesthesiology by profession, having received his education at South East School of Anesthesia and the Vaishampayan Memorial Medical College. He has practiced medicine at Central Manchester University Hospitals, Guy's & St. Thomas Hospital (NHS Trust), King's College Hospital, MCH, Medcare Hospital, National Hospital for Neurology and NeuroSurgery, Royal Brompton Hospital, St. George's Hospital, St. Thomas' Hospital, The Royal Sussex County Hospital, and William Harvey Hospital and more recently at Dubai Healthcare City Hospital.
What challenges does the healthcare sector in Oman face, and how should healthcare providers such as Starcare align their strategic priorities to overcome them?
A prolonged low oil price environment may influence the budget, and, therefore, healthcare spending. A good percentage of local patients travel abroad to seek treatment due to a lack of specialized providers and long waiting periods. Limited specialized care in areas such as oncology, cardiac surgeries, and other elective surgical cases are driving outbound medical tourism. Private-sector involvement is becoming imperative to meet the rising demand for healthcare as well as to reduce the burden on government finances. Government policies to increase insurance coverage and provide other infrastructure support are drawing investors to the healthcare sector. Efforts to improve the basic health indicators are leading to a shift from curative to preventive care. The rising prevalence of chronic diseases alongside an anticipated increase in lifestyle disorders is also prompting the need for long-term and post-acute care facilities. Starcare Group operates hospitals in Seeb and Barka as well as large medical centers in Bousher, Duqm, and Samail. The group is rapidly expanding its footprint across Oman, and its Cuddles Women's and Children's Hospital in Al Hail, the first of its kind in Oman, will be operational by mid-2020. Starcare Health City, the largest private hospital in Oman, is another ambitious project and will be functional by 2023.
The broader health sector is bound to undergo a strong privatization process. What are the main business opportunities for the private sector?
Oman's healthcare market is likely to witness a huge transformation. The Ministry of Health is counting on private players to further improve the quality and standard of care in the healthcare sector, thereby opening up new investment opportunities. Oman's healthcare sector is all set for further growth, aided by the introduction of mandatory health insurance for expats. The government has decided to introduce a compulsory health insurance, Dhamani, to create a private healthcare industry capable of meeting the demands of the local market, which will in turn strengthen the private sector. The main purpose of this move is to support the national healthcare industry and create huge opportunities for the medical insurance industry. By the time the schemes of the health insurance are finalized, it will have targeted around 2 million people in Oman.
What is the key to balancing profitability and affordability in Oman?
In Oman, about 45% of the population is made up of expats who work in the private sector. The government's decision to make health insurance mandatory for expats is merely a tool to develop the industry. The introduction of this insurance scheme will provide the required health services to 45% of the population employed in the private sector. The idea is to create a private healthcare industry that can meet the demands of the local market and strengthen the private sector. Over a period of time, the entire population, including Omanis, will have health insurance.
Where do you expect technological advancements to have the biggest impact?
The healthcare industry is at the forefront of technological transformations, with medical and digital technologies assisting in the mitigation and prevention of both communicable and NCDs. The UAE start-up company, Quanterium Blockchain Solutions, has been one of the principal innovators in the country, using AI, big data, Internet of Medical Things (IoMT), blockchain, robotics, and AR and VR to find solutions such as 3D diagnostics, patient records, and other healthcare management platforms. These are in line with global trends, positioning the region as a future leader in this space. AI-based cognitive technologies are proving to be most useful for drug discovery and research, clinical decision support, medical imaging, and diagnostics capabilities. In recent years, the majority of health technology start-ups in the region have focused on radiology solutions, with innovators designing various algorithms that use deep learning to interpret medical images, thereby accurately diagnosing diseases such as breast cancer and tuberculosis.
LEADING FROM THE FRONT
TABLE OF CONTENTS
Focus: Future foreign policy
Friends to all, enemy to none
In championing the late Sultan Qaboos' non-interference foreign policy, the new ruler of Oman, Sultan Haitham bin Tariq Al Said, is determined to work for friendship and peace, justice and harmony, and coexistence and positive constructive dialogue.
read articleInterview
David Kalife, CEO, Oman Oil Marketing Company (OOMCO)
Despite Oman's fuel market slowing down, OOMCO increased its sales volume of lubricants by 36% in 2019 and is constructing a greenfield bunker terminal at the Port of Duqm. The company has transformed while growing its expertise in Marketing and Digital.
read articleInterview
Azzan Al Busaidi, CEO, Ithraa
Azzan Al Busaidi is an expert in competitiveness and economic growth. He was appointed CEO of Ithraa in 2019 after 17 years spent covering managerial roles in the organization. Al Busaidi was previously Ithraa's director general of planning and studies and is a strong advocate of the potential of digitization. He holds an MBA from the University of Strathclyde and a BSc in Economics from Sultan Qaboos University.
read articleInterview
Qais bin Mohammed Al Yousef, Minister of Commerce, Industry & Investment Promotion & Former Chairman, Oman Chamber of Commerce and Industry
Private Omani companies will be able to benefit greatly from the Fourth Industrial Revolution by enhancing their local value-added strategies and upskilling the workforce.
read articleInterview
Tahir Bin Salim Bin Abdullah Al Amri, Executive President, Central Bank of Oman (CBO)
The Central Bank of Oman's job is to ensure there is adequate liquidity in the system and that banks remain robust and resilient to meet the credit requirements of all segments without undermining financial stability.
read articleB2B
Capital markets
CMA and MSM are supporting Vision 2040 by providing financing to government companies that intend to go public, financing expansion of existing and new IPOs, and widening the investors base in Oman by enhancing and developing the investment funds and insurance industries.
read articleInterview
Khalid Al Balushi, CEO, Khazaen Economic City
International investors and business owners can benefit from Khazaen Economic City's strategic location and its close proximity to the main gateways of the country to import, process, manufacture, distribute locally, and export their goods and services.
read articleFocus: Port 4.0
Destined for greatness
Investments in world-class infrastructure have generated huge rewards for Oman. The goal now is to leverage technology as a disruptive enabler, build human capacity across the public and private logistics sectors, and drive operational efficiencies to build an integrated logistics business environment that is benchmarked against the world's best.
read articleFocus: Gap in tourism services
All bases covered
An amalgamation of local companies and unique experiences in Oman has created an original flavor that is further differentiating Oman's tourism offering from other countries and in the process attracting scores of tourists from all across the world.
read articleB2B
Engineering design
Renardet Engineering Consultants and Design Unit Engineering are recognized experts in their fields. While the former is an international company strongly committed to excellent engineering consultancy services and environmental practices, the latter is an Oman-based team of architects and engineers that incorporates local culture and traditions.
read articleB2B
Construction materials
Oman's construction sector is facing a host of challenges, but Hempel Paints and Al Maha Ceramics are confident that a mix of forward-thinking business models, unique products, and strong government initiatives will help them through turbulent times and generate positive returns in the long run.
read articleInterview
Salim Razvi, CEO, Oman Academic Accreditation Authority (OAAA)
Focusing on higher education institutional accreditation, program accreditation, and the updating and maintaining of the Oman Qualifications Framework, OAAA is helping further advance higher education in the Sultanate.
read article
