Hong Kong's current health expenditure rose 8.6 percent year-on-year to reach HK$251.2 billion ($32.3 billion) in the 2023/24 fiscal year, representing 8.3 percent of the city's GDP — a slight per capita increase to HK$33,334.

Public healthcare spending constituted 51.8 percent (HK$130.07 billion) of total recurrent expenditure, representing 4.3 percent of GDP — a 1.5-fold jump from a decade ago.

The Health Bureau, which released Hong Kong's Domestic Health Accounts 2023/24 on Thursday, attributes the long-term rise primarily to its rapidly aging population and overall inflation.

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The growth rate aligns closely with the increase in the population aged 65 or older, which rose from 14.2 percent in 2013 to 21.8 percent in 2023.

The government pointed out that older adults rely more heavily on public services: the per-capita service cost for senior residents is 4.3 times higher than for non-senior residents, while the number of inpatient days per 1,000 elderly people is 5.3 times that of non-elderly people.

The primary healthcare expenditure — accounting for 29.3 percent of the overall current health expenditure in Hong Kong — hit a record-high in the decade. The government said this demonstrates that the efforts it has been making to promote primary healthcare development “are bearing fruit”.

Despite this, Hong Kong’s public healthcare spending as a share of GDP remains among the lowest for regions with similar elderly demographics. The city also boasts one of the world’s highest life expectancies and near-universal immunization coverage, with a 97 percent vaccination rate for preschool children in 2023.

Private healthcare spending reached HK$121.1 billion. Over the past decade, the proportion of private healthcare spending funded by medical insurance surged from 33.4 to 45 percent, reflecting a shift toward private financing.

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To enhance the sustainability of its healthcare system, the Hong Kong Special Administrative Region government has been committed to advancing healthcare system reforms. These include strengthening primary healthcare and expanding the role of family doctors in chronic disease management, with the aim of reducing reliance on more costly hospital services.

Contact the writer at stacyshi@chinadailyhk.com