Vietnam Home Healthcare Market Outlook to 2030

Vietnam Home Healthcare Market Overview

• The Vietnam home healthcare market is valued at USD 2 billion, driven by a growing aging population and an increase in chronic diseases like diabetes, cardiovascular conditions, and respiratory disorders. The rise of telehealth services and the government's focus on healthcare infrastructure development further drive market expansion. Additionally, an increasing demand for cost-effective healthcare services has pushed more patients towards home care, which is also supported by advancements in healthcare technologies such as wearable monitoring devices. These factors together have bolstered market growth over the past five years.
• Dominant cities in the Vietnam home healthcare market include Hanoi and Ho Chi Minh City. These cities lead due to their advanced healthcare infrastructure, higher disposable incomes, and the availability of skilled medical professionals. In addition, these urban areas have a higher adoption rate of technology-driven healthcare solutions such as remote monitoring devices and telemedicine platforms, making them central to the home healthcare industry's growth. These cities also see a greater level of private and government investment in healthcare services, positioning them as leaders in the sector.
• The Vietnam Health Insurance Law, updated in 2024, plays a crucial role in shaping the home healthcare market. The law mandates that public health insurance partially covers home-based care for certain chronic conditions. This legal framework encourages the development of home healthcare services, but coverage remains limited, particularly for advanced medical equipment and treatments. Efforts are underway to expand the scope of services covered under the health insurance law to include more comprehensive home-based care options.

Vietnam Home Healthcare Market Segmentation

The Vietnam home healthcare market is segmented by service type and by device type.

• By Service Type: The market is segmented by service type into skilled nursing services, physiotherapy services, palliative care, primary care, and rehabilitation services. Among these, skilled nursing services dominate due to the rising number of patients requiring post-operative care and long-term care for chronic conditions. The segment benefits from the increasing preference for home care over hospitalization due to cost savings and personalized attention. Patients with conditions such as stroke or diabetes particularly opt for home-based skilled nursing services because it provides specialized care within the comfort of their homes, avoiding the higher costs of hospital stays.
• By Device Type: The market is further segmented by device type into diagnostic devices, therapeutic devices, mobility assistance devices, monitoring devices, and respiratory devices. Monitoring devices dominate the market, driven by the increasing need for continuous health monitoring among patients suffering from chronic diseases like hypertension, diabetes, and heart conditions. Wearable health devices that track vital statistics, such as heart rate and glucose levels, are in high demand, especially with the expansion of telehealth services. These devices allow patients and healthcare providers to track health conditions in real-time, reducing hospital visits and enhancing personalized care.

Vietnam Home Healthcare Competitive Landscape

The Vietnam home healthcare market is dominated by key players including Medcare Vietnam, Katalon Healthcare, and Philips Healthcare Vietnam. These companies, along with international healthcare firms, have significantly shaped the market through strategic investments in technology and service diversification. Local companies like Vinmec International Hospital have formed collaborations with international healthcare brands, driving innovation in the sector. The competitive landscape is defined by service quality, partnerships with government and private entities, and a focus on expanding home care services to rural areas.

Vietnam Home Healthcare Industry Analysis

Growth Drivers

• Aging Population: Vietnam's aging population is a major growth driver for the home healthcare market. In 2024, 12 million people are aged 60 and above, accounting for nearly 12% of the total population. The Vietnam General Statistics Office projects this number will rise steadily due to increasing life expectancy, currently at 75.4 years, according to the World Bank. The elderly population is more prone to chronic illnesses such as cardiovascular diseases and diabetes, necessitating home-based care solutions. The growing demand for elderly care services is expected to sustain the growth of the home healthcare market in Vietnam.
• Rising Prevalence of Chronic Diseases: Chronic diseases are becoming more prevalent in Vietnam, creating a need for home healthcare services. According to the Vietnam Ministry of Health, in 2024, around 10 million people suffer from non-communicable diseases, such as diabetes, hypertension, and cardiovascular conditions. Chronic illnesses account for 77% of all deaths in Vietnam. Home-based healthcare solutions help in continuous monitoring and treatment, reducing hospital readmissions and easing the burden on public healthcare facilities. This significant demand for disease management from home has been driving the expansion of the home healthcare market in the country.
• Increased Government Healthcare Expenditure: The Vietnamese government's increased healthcare expenditure is directly influencing the home healthcare market. In 2024, Vietnam allocated VND 300 trillion (USD 12.5 billion) to healthcare, representing a significant increase over previous years. The budget includes funding for initiatives that promote home-based healthcare services, as outlined in the government's "National Strategy on Elderly Health Care." These initiatives aim to reduce hospital congestion and shift the burden of chronic disease management to home settings. Increased government support has played a pivotal role in expanding the availability of home healthcare services.

Market Challenges

• Lack of Skilled Healthcare Providers: A major challenge facing the home healthcare market in Vietnam is the shortage of skilled healthcare professionals. Vietnam has around 8 healthcare workers per 10,000 people, significantly lower than the global average of 23. The World Health Organization (WHO) highlights that Vietnam needs to train and retain a larger workforce to meet the increasing demand for home care services. The lack of specialized training in geriatric and chronic disease management exacerbates this challenge, impacting the quality of care provided in home healthcare settings.
• Limited Insurance Coverage: Despite the increasing demand for home healthcare services, insurance coverage for these services remains limited in Vietnam. Only a small proportion of the population has access to health insurance plans that cover home-based care. This limits the adoption of home healthcare solutions, as patients must pay out of pocket for many essential services. The Vietnam Health Insurance Law offers limited coverage for home-based treatment, and efforts to expand insurance schemes to encompass these services are still ongoing. This gap in coverage presents a significant barrier to the growth of the home healthcare market.

Vietnam Home Healthcare Future Outlook

The Vietnam home healthcare market is expected to witness substantial growth in the coming years, driven by increased government support, advancements in healthcare technology, and the rising prevalence of chronic diseases. Furthermore, the increasing acceptance of telemedicine and wearable health monitoring devices will continue to reshape the market, allowing for more efficient and personalized care. The expansion of services into rural areas is also anticipated to contribute to market growth, addressing the demand for affordable and accessible healthcare in underserved regions.

Market Opportunities

• Growth in Telemedicine and Remote Monitoring Technologies: Telemedicine and remote patient monitoring technologies are providing significant opportunities for the expansion of home healthcare services in Vietnam. The government, through the Ministry of Health, has actively promoted telehealth services, and by 2024, around 200 hospitals across Vietnam are connected through telemedicine platforms. Remote monitoring solutions for chronic diseases, such as blood pressure monitors and glucose trackers, are becoming increasingly popular, with over 1 million patients using telemonitoring services to manage their conditions. This rise in telehealth adoption is creating new growth opportunities in the home healthcare sector.
• Collaborations Between Healthcare Providers and Tech Companies: Collaborations between healthcare providers and technology companies are creating a fertile ground for innovation in Vietnams home healthcare market. Tech companies like Viettel and FPT have partnered with healthcare providers to develop platforms that integrate wearable devices and patient data monitoring, improving the quality of care delivered at home. These partnerships have resulted in the implementation of over 50 digital health initiatives nationwide, driving the expansion of home healthcare services, particularly for chronic disease management and elderly care.