Headline Expenditure Projections
- Pharmaceuticals: KES55.29bn (USD642mn) in 2013 to KES64.32bn (USD742mn) in 2014; 16.3% growth in local currency terms and 15.6% in US dollar terms.
- Healthcare: KES178.67bn (USD2.07bn) in 2013 to KES205.30bn (USD2.37bn) in 2014; 14.9% growth in local currency terms and 14.2% in US dollar terms.
In BMI's Q314 Pharmaceutical and Healthcare Risk/Reward Ratings (RRRs), Kenya is 20th in the Middle East and Africa (MEA). A large counterfeiting industry, poor healthcare funding, corruption, regulatory deficiencies and a number of other issues will conspire to keep Kenya in a low position in the MEA matrix. Nevertheless, in comparison with many other African markets, most of which are not surveyed by BMI, Kenya offers more commercial promise and a more stable overall business environment.
Key Trends And Developments
Expanding its portfolio of innovative non-voice services, in April 2014 it was reported that Kenya's largest telecoms operator Safaricom has partnered insurance companies Britam and Changamka to launch a health insurance product in the country, specifically targeting the micro-insurance sector. Changamka provides financing mechanisms to deliver affordable healthcare to Kenya's low income population using primarily mobile phone and smart card technologies.
The Kenya Pharmaceuticals & Healthcare Report features Business Monitor International (BMI)'s forecasts for drugs and healthcare expenditure and imports and exports, focusing on the growth outlook for the prescription, OTC, patented drugs and generics market segments.
BMI's Kenya Pharmaceuticals & Healthcare Report provides industry professionals, strategists, company executives, investors, analysts and sales/marketing heads with independent forecasts and competitive intelligence on the Kenyan pharmaceutical and healthcare industry.Key Benefits
CoverageBMI Industry View & Industry SWOT
- Benchmark BMI's independent pharmaceutical and healthcare industry forecasts for Kenya to test other views - a key input for successful budgeting and strategic business planning in the Kenyan pharmaceutical and healthcare market.
- Target business opportunities and risks in the Kenyan pharmaceutical and healthcare sector through our reviews of latest industry trends, regulatory changes and major deals, projects and investments in Kenya.
- Assess the activities, strategy and market position of your competitors, partners and clients via our Company Profiles (inc. SWOTs, KPIs and latest activity) and Competitive Landscape Tables.
An at-a-glance perspective on latest regulatory developments, key forecast indicators and major corporate developments, covering the prescription, OTC and generics markets. The SWOT outlines strategic factors which affect BMI's forecast analysis, and taken together with BMI's political, economic and business environment SWOTS, it gives a complete overview of market climate.Market Summary
Snapshot of key market characteristics, including total size of pharmaceuticals and healthcare segments, growth drivers, leading therapeutic areas and the competitive landscape.Regulatory Regime
Details of the industry regulatory framework and key legislation covering the licensing of new products/services, pricing and reimbursements, intellectual property, taxation and advertising, as well as an analysis of the overall regulatory burden.Industry Developments
Focus on government healthcare reforms, epidemiological trends, company M&As, product launches, market entries, FDI activity, R&D, biotechnology, clinical trials and supply chain issues.BMI Industry Forecasts
Forecasts to end-2018 for all key industry indicators (see list below) supported by explicit assumptions, plus analysis of key downside risks to the main forecast, including:
Healthcare: Total healthcare expenditure (US$bn), healthcare expenditure (% of GDP), healthcare expenditure per capita (US$), hospital beds (per `000 population), doctors (per `000 population), birth and mortality rate (per `000 population)
Pharmaceutical market: Drug expenditure (US$bn), drug expenditure (% of GDP), drug expenditure per capita (US$)
Patented drug market: Prescription drug sales (US$bn), prescription sales (% of total sales), sales broken down by 14 therapeutic areas (cardiovascular, anti-infectives etc.)
Generic drug market: Generic product sales (US$bn), generic sales (% of total sales)
OTC drug market: OTC sales (US$bn), OTC sales (% of total sales), sales broken down by product types (analgesics, skin treatments, vitamins and minerals etc.)
Medical Devices: Medical device sales (US$bn), medical device sales (% of total healthcare market)
Macroeconomic Forecasts: Nominal and real GDP, % real GDP growth, % private consumption growth, % industrial output growth, % consumer price index, % GDP price deflator, exports, imports, trade balance, current account balance, foreign direct investment, exchange rate against US$, government expenditure, external debt.Competitive Landscape
The competitive landscape section provides comparative company analyses and rankings by US$ sales and % share of total sales - for the total pharmaceutical sector, as well as the OTC, generics, and distribution sub-sectors.Company Profiles
Examines the competitive positioning and short- to medium-term business strategies of key industry players. Strategy is examined within the context of BMI's industry forecasts, our macroeconomic views and our understanding of the wider competitive landscape to generate Company SWOT analyses. The latest financial and operating statistics and key company developments are also incorporated within the company profiles, enabling a full evaluation of recent company performance and future growth prospects.
The growing Kenyan population will support the growth of the country's pharmaceuticals and healthcare industry. While fertility rates have dropped over the l ast decade, from 5.0 births per woman in 2003 to 4.4 births per woman in 2013, we note that these figures are well above developed state fertility rates. In 2009, the EU-27 average stood at 1.59 live births per woman. However, we note that the country's young population will act as a limiting factor for pharmaceutical demand, presenting a challenge to drugmakers. In 2013, the median age of the population was 18.8 years and by 2050 this will increase marginally to 25.5 years.