Investing in Africa’s Healthcare Sector
By Leandro Cuccioli, Head of Consumer Services & Social Infrastructure, British International Investment
The COVID-19 pandemic put public health processes around the world to the test and under immense pressure, often exercising workforces beyond capacity. This caused nations worldwide to re-evaluate how much is invested in healthcare. It also led to patients becoming more mindful of their health, and as a result, monitoring accelerated through increased interest in portable devices (such as smartphones and watches).
A seismic shift is occurring with individuals seeking more interest in well-being, in which active health assessment could prevent harmful diseases later in life. Brick-and-mortar businesses are still adapting to this change by trying to convert a supplier-patient relationship to one in which the healthcare institution's data helps the patient more effectively in managing her life.
Africa has not been immune to these changes in the sector, and we have seen them first-hand. As an example, British International Investment (BII), the UK’s development finance institution and impact investor, invested $100 million in Alfa Medical Group (AMG), one of Egypt's leading medical care companies. AMG is aiming to digitise the patient journey by virtually interacting with patients, generating automatic appointments, collecting patient samples remotely, and progressively employing AI to gather data for preventative care strategies, and interpreting diagnostics quickly and more accurately through machine learning.
However, challenges remain. While the pandemic has catalysed a move towards more cohesive strategies, the healthcare sector still encounters regulatory hurdles to integrate physical and digital care. An example is the ability to perform teleconsultations or to be able to build online pharmacy businesses, two activities restricted in several countries in Africa.
Furthermore, implementing Electronic Health Records (EHR) is another crucial step that can help to integrate physical and digital healthcare infrastructures, allowing for immediate access to critical information and speeding up efficiency and greater effectiveness of care in developing countries. Establishing a clear roadmap to digitise systems can relieve the pressure on many health systems in Africa that are currently under stress.
At BII, we believe in universal access to healthcare for all and we believe in the central role of technology in this task. The core value proposition of digitalisation in healthcare is to reduce the cost of supplying quality healthcare and to boost access to underserved members of society. With this in mind, we have partnered with innovative businesses and funds such as MedAccess, Alfa Medical Group, Kelix Bio, the Medical Credit Fund and many more to extend the reach of healthcare across Africa. Our healthcare investments reflect BII’s mission to increase access to quality and affordable healthcare, which is a key component for improving development outcomes in any country. As a provider of patient and flexible capital, we take a long-term view that can help to achieve best patient outcomes.
There is still a lot to be done. At BII we plan to continue mobilising the resources required to create market-shaping impact through breakthrough companies. We believe in building bold platforms to solve complex development challenges and to improve the availability of life-saving medical innovations in health markets across Africa.