Government subsidy upgrades could uplift Raffles Medical

All of its clinics are approved to provide the Community Health Assist Scheme in Singapore.

Raffles Medical Group (RMG) could get a boost in its local patient load amidst Singapore’s revamp of its healthcare subsidies as announced during the National Day Rally 2018, CGS-CIMB said.

CGS-CIMB believes that RMG could uplift its potential earnings as its over 80 clinics around the Lion City are all approved to provide the Community Health Assist Scheme (CHAS).

The initial form of the programme only limits its coverage to Singaporeans who have household monthly income per person of $1,800 and below. It also includes those with households with no income with Annual Value (AV) of home of $21,000 and below.

“Overall, we expect demand for Singapore healthcare services to be underpinned by an ageing population and increasing insurance penetration,” the firm said.

Prime minister Lee Hsien Loong has announced that the CHAS will extend their services to Singaporeans with chronic health care conditions regardless of income. He noted that the new scheme will let Singaporeans to continue having their benefits tiered according to their income.