Cambodia – opportunities in a growing sector of Medical Technology
Cambodia – opportunities in a growing sector of Medical Technolgoy – the times when the people of Cambodia were treated with baths in the four elements in temples such as Neak Pean – the ‘hospital of the 12th century’ – are long gone. Likewise the dark era of the Khmer Rouge. Nevertheless, the country is still one of the poorest in the world. However, a clear change is emerging in the healthcare sector: the medical technology market is in a dynamic growth phase.
June 2025, in the last 20 years, healthcare expenditure has increased six-fold. According to current forecasts, the market will reach a turnover of around 95 million euros in 2025 and grow to 125 million euros by 2029 – an annual growth rate of 7.28%. This upturn will be fuelled by government investment and international partnerships.
Structural challenges in the healthcare sector
In Cambodia are opportunities in a growing sector of medical technology. The positive development, medical care in Cambodia remains inadequate. Per capita income is only USD 1,500 (2020), and around 90% of those employed work in the informal economy without adequate cover. The population bears around two thirds of healthcare costs themselves, while the rest is financed by state funds and international aid organisations.
The overall quality of medical care in Cambodia is very low. The reasons for this are the low per capita income, the lack of comprehensive health insurance and the inadequate coverage of employees in the informal economy. Compared to other Asian countries – in particular its neighbour Vietnam – Cambodia is a small country with a population of 17.4 million. It is estimated that the population will increase to 19.5 million by 2034. The age structure is relatively young: 46.9% of the population is between 25 and 64 years old. Due to the significant decline in infant mortality, 30% of people are now between 0 and 14 years old.
The state-run Techo Santepheap National Hospital in Phnom Penh, which opened in 2023 with over 10,000 beds, is an example of the government’s efforts to improve infrastructure. In addition, numerous ‘friendship hospitals’ have been built with foreign support in the past, including by Japan, France and South Korea (USD 66 million for the University of Health Sciences Hospital in Phnom Penh).
At the same time, the private healthcare sector is growing thanks to the establishment of new branches by foreign hospital companies. For example, the Thai healthcare group Bangkok Dusit Medical Services has built the Royal Phnom Penh Hospital and the Royal Angkor International Hospital. The Sunrise Japan Hospital in Phnom Penh is operated by Japanese investors and relies on modern medical technology.
Growth areas and market opportunities for medical technology
The demand for medical equipment is increasing, particularly in the following areas:
- Diagnostics: Ultrasound, CT and MRI equipment
- Telemedicine: solutions for rural care (70% of the population live outside the cities)
- Chronic diseases: Diabetes care
- Dental technology: Favourable treatments attract medical tourists
- Protective equipment: hygiene products
- Devices for geriatric medicine: the over-65 age group, which currently accounts for 6% of the total population, will grow in the coming years
- Medicines and food supplements
As private hospitals and international clinics increase, there is also a need for high-quality equipment – however, the solutions must be cost-effective and easy to use, as there is a shortage of skilled labour.
Regulatory framework for medical devices
The authorisation of medical technology is regulated by the Department of Drugs and Food (DDF). Manufacturers have two options:
1. set up their own subsidiary
2. appoint a local representative
The following documents are required for registration:
- Application form
- Letter of Authorisation (LoA)
- Declaration of Conformity (DoC)
- ISO/GMP certificate
- Technical dossier (according to Prakas 2138 and the CSDT template according to ASEAN MDD standard)
- The product labelling should be in Khmer and the certification is valid for three years.
Conclusion: Attractive entry opportunities for German providers
Despite financial and structural hurdles, Cambodia offers promising prospects for medical technology manufacturers. The growing private sector, government investment and increasing demand for affordable but reliable solutions are creating good market entry opportunities – especially for companies that offer cost-effective and user-friendly devices.
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