Innovation is the best way to develop the healthcare sector in Egypt

What is the next step for health technology in Egypt and how can healthcare operators catch up: Health technology start-ups are having a good year in Egypt, thanks to funding rounds such as those completed by Rologi and Otida. Today, we look at the healthcare technology that drives the industry and the trends that insiders expect in the industry, both from beginners and traditional healthcare providers.

We are also exploring how traditional healthcare companies can adapt to new technologies: What we have found is that healthcare companies are already embracing new technologies, and some are being developed internally. However, insiders see mergers and acquisitions as the best way to acquire technology and expect this trend to grow. The insider also recommends setting up technology divisions, in addition to taking advantage of partnerships with other sectors.

But first we take an overview of the prevalence of health technology in the market: For beginners, the trend seems to be traffic discussion programs. Of the 53 health technology businesses tracked down by the Ministry of Communications and Information Technology in 2021, nearly a quarter focus on facilitating bookings for patients.

Other trends in the field of beginners: Other companies focus on medical practice management, procurement, telecommunications health, health information, diagnostics, insurance and emergency response.

Which technology do traditional healthcare providers prefer? With a comprehensive history of patients and medical services, says Hassan Fikri, Director of Strategic Planning and Investor Relations at Cleopatra Hospitals Group. “The most important component of healthcare digitization is access to all healthcare services online and to have a comprehensive healthcare profile of patients on a single digital platform,” he adds.

Cleopatra Hospitals Group introduced the electronic medical record system, Similar to electronic banking portals, which combine patient history and ease of use. Records can be accessed through a website via a patient identification code. Patients can log on to the system, discuss their appointments, view test results, radiology and medical history, in addition to ordering medications and obtaining additional consultations. “It’s a combination of what different companies are trying to do,” says Fikri.

In what areas is the health technology sector in Egypt expected to focus in the future? “The advent of fintech will pave the way for improved access to and affordability of healthcare,” believes Vezeeta founder and CEO Amir Barsoum. “We are already seeing improvements in regulations and legislation in countries like Egypt to build the foundation for the distribution of fintech, and we are committed to an integrated vision between these two industries in the coming years.”

Fikri believes the future lies in diagnosis and follow-up through technology. This means, for example, that postoperative patients can be followed up at home by hospitals through teleconsultations or medical equipment technology. So instead of post-operative care in a hospital, it takes place at home.

Inclusion remains the biggest trend in healthcare: Consolidation in the healthcare sector has been escalating since at least 2019 and especially last year. This is currently happening between start-ups, such as the acquisition of “Delni Tech” by US Astute Imaging, and the acquisition of the Egyptian platform One through healthcare platform, “Omit”.

There is more to come: Vezeeta is actively looking for other players to work together to increase its operational capacity, Bassam tells us.

Traditional companies are expected to acquire new technology by acquiring new businesses. “I foresee that there will be a lot of mergers between traditional and digital companies and smaller, fragmented companies within the healthcare technology sector,” says Barsoum.

Some argue that consolidation is not beneficial to consumers: “The distribution of new players is an indication of the health of the market,” Abdellatif Olama, chief growth officer at Eltibbi, told us. “Different players are trying to add to the industry with new angles that differentiate them. I’m pro-competitive to get the best service for users.” Although he is not opposed to large companies taking over smaller players, Olama believes that mergers between large companies will benefit companies more than patients.

Others argue that declining mergers hurt small businesses: This in turn can lead to less customer acquisition in general. “In the last two or three years, many new businesses have come up with new ideas in health technology, but customer acquisition seems to be declining,” says Fikri.

So, how can a healthcare company prepare better? First, build the company’s digital transformation division and train employees on how to use the new tools. “Healthcare companies, especially existing ones, need to establish a strong digital transformation division to prepare for what’s coming,” says Fikri, adding that they are “just as important as medical works today.” But to use this department properly, staff, including nurses and doctors, must be trained to use the tools the department creates.

Second, build partnerships across industries. “Working with different partners can lead to much better outcomes for patients and in turn a greater positive economic impact,” says Barsoum.

And of course, fostering an innovative climate: By embracing innovation because it is inevitable, says Barsoum. “The MENA region has been slower than most to embrace change and transformation within the sector, but it is happening, and the sooner the companies, the better for our communities,” says Barsoum. Olama agrees and notes that incumbents need to be aware of new services already in the market to prepare for the future, which can be summed up in the integration of healthcare and technology.

Highlights of future trends this week:

  • Digital healthcare platform Vezeeta aflê 10% of its employees With the persistence of unfavorable global conditions.
  • My healthcare investment company closed a deal its acquisition at a stake of 51%. in the Egyptian Center for IVF for 126 million pounds.
  • Raid this week: Wael Alma, Co-Founder and CEO of Jahez Market, Who shares with us his experiences of launching a start-up company.
  • US green hydrogen startup Electric Hydrogen raised $ 198 million Secondary funding round, Which will help the company achieve its goal of making green hydrogen more cost effective.

Leave a Comment