KSA Hospital Market: Current Analysis and Forecast (2025-2033)

KSA Hospital Market Size & Forecast

The KSA Hospital Market was valued at USD ~24,400 million in 2024 and is expected to grow to a strong CAGR of around 3.40% during the forecast period (2025-2033F), owing to the increasing demand for hospital services in expanding cities like Riyadh and Jeddah.

KSA Hospital Market Analysis

A hospital is defined as a healthcare institution providing medical and nursing services by qualified staff that is licensed to provide medical or surgical treatment to sick or injured people. This typically is a vital point for diagnosis, treatment, emergency care, and rehabilitation, and is staffed with medical personnel and often supported by diagnostic laboratories and imaging centers and operating theatres, and intensive care units. Rising demand from a growing population, expanded private sector involvement, and increased prevalence of chronic disease are driving growth factors, as is government funding as per Vision 2030.

Hospitals in Saudi Arabia are increasingly going digital when it comes to transformations, using AI-driven diagnostics, electronic medical records (EMR), telemedicine, and automated pharmacy systems. In addition, smart infrastructure, specialist departments, and partnerships are being used by leading providers of healthcare as part of the Vision 2030 framework. In addition, decentralization of care and service delivery is being done through Public-Private Partnerships (PPPs) and regional health cluster models by the government.

On May 14, 2025, King Faisal Specialist Hospital & Research Centre (KFSHRC) signed five key international agreements during the Saudi-US Investment Forum 2025, underscoring its commitment to advancing medical innovation and strengthening strategic global collaborations. The agreements were formalized during a high-level roundtable session titled "Next-Generation Healthcare: Saudi-US Collaboration in Biotechnology and Digital Health", held at the King Abdulaziz International Conference Center in Riyadh.

KSA Hospital Market Trends

This section discusses the key market trends that are influencing the various segments of the KSA Hospital market, as found by our team of research experts.

Integration of Smart Hospital Technologies

Saudi Arabia transforms its healthcare system through the adoption of smart hospital technologies. Moreover, IoT devices and artificial intelligence–powered diagnostic tools are being integrated by hospitals to improve operational efficiency and patient care with real-time patient monitoring systems and robotic surgery. These technologies drive data-based decision making, decrease human error, and flow through workflows. This digital evolution is backed by the government’s Vision 2030, which has invested in health IT infrastructure. Moreover, smart technologies contribute to more efficient resource management and more customized treatment that allow hospitals to respond to a growing demand and standards that are increasingly raised abroad.

For example, on May 13, 2025, Dr. Sulaiman Al-Habib Medical Group launched the first-of-its-kind robotic system, AuxQ, powered by Abbott’s AlinIQ AMS technology, in collaboration with FLOW Medical Solutions. This milestone marks an unprecedented achievement and ushers in a new era in intelligent diagnostics and medical automation.

Hospital Industry Segmentation

This section provides an analysis of the key trends in each segment of the KSA Hospital Market report, along with forecasts at the regional and state levels for 2025-2033.

The public hospitals (Ministry of Health) market held the dominant share of the hospital market in 2024.

Based on the hospital ownership, the market is segmented into public hospitals (Ministry of Health), private hospitals, and quasi-government hospitals. Among these, the public hospitals (Ministry of Health) market held the dominant share of the market in 2024. The reason for this is because of extensive government funding, widespread geographic coverage, and the importance of delivering free or subsidized healthcare to citizens. The majority of the bed capacity and health infrastructure in the Kingdom is contained in these hospitals. The Ministry of Health modernizes public facilities, improves the quality of service, as well as Digital e.g, Seha Virtual Hospital, while being backed by Vision 2030. The public hospitals are also referral centers for complex and critical care cases. It still serves as a pillar of high-quality national healthcare access and especially in rural, underserved regions.

The More than 500 Beds market is expected to grow with a significant CAGR during the forecast period (2025-2033) of the KSA Hospital Market.

Based on the bed capacity, the market is segmented into up to 100 beds, 100–500 beds, and more than 500 beds. Among these, the more than 500 beds segment is expected to grow with a significant CAGR during the forecast period (2025-2033). With more than 500 beds, hospitals are key players in driving growth by delivering full, high-capacity care across multiple specialties. It can handle complex cases, decrease patient wait times, and incorporate the latest technologies such as robotic surgery and smart ICUs. These facilities are high-return opportunities for investors and companies as they lead to an increase in patient throughput & government support under Vision 2030.

Hospital Industry Competitive Landscape

The KSA Hospital Market is competitive, with several global and international market players. The key players are adopting different growth strategies to enhance their market presence, such as partnerships, agreements, collaborations, new product launches, geographical expansions, and mergers and acquisitions.

Top KSA Hospitals

Some of the major players in the market are Dr. Sulaiman Al-Habib Medical Group, Mouwasat Medical Services, Middle East Healthcare Company (Saudi German Health), Care Medical Company, Al Hammadi Holding Company, Fakeeh Care Group, King Faisal Specialist Hospital & Research Centre (KFSHRC), International Medical Center, ALMOOSA HOSPITAL, and King Saud Medical City (KSMC).

Recent Developments in the KSA Hospital Market

• On May 27, 2025, ImmunityBio, Inc. announced the signing of a strategic Memorandum of Understanding (MOU) with the Ministry of Investment of Saudi Arabia (MISA), King Faisal Specialist Hospital & Research Centre (KFSHRC), and King Abdullah International Medical Research Center (KAIMRC). This multi-party collaboration will introduce the FDA-approved Cancer BioShield platform to Saudi Arabia and the broader Middle East, paving the way for a new era of immune-restorative therapies for cancer patients.

• On April 22, 2025, Saudi Arabia’s Ministry of Health announced the launch of a public electronic consultation to identify key health topics for which medical consultations should be delivered via virtual services.

• On March 26, 2025, King Faisal Specialist Hospital and Research Centre launched the first dedicated palliative care program for adolescents and young adults in the Arab world. This initiative aims to improve the quality of life of young patients with life-threatening illnesses by offering integrated care throughout their treatment journey.

KSA Hospital Market Report Coverage

Reasons to Buy the KSA Hospital Market Report:

• The study includes market sizing and forecasting analysis confirmed by authenticated key industry experts.

• The report briefly reviews overall industry performance at a glance.

• The report covers an in-depth analysis of prominent industry peers, primarily focusing on key business financials, Hospital Ownership portfolios, expansion strategies, and recent developments.

• Detailed examination of drivers, restraints, key trends, and opportunities prevailing in the industry.

• The study comprehensively covers the market across different segments.

• Deep dive regional-level analysis of the industry.

Customization Options:

The KSA Hospital Market can further be customized as per the requirements or any other market segment. Besides this, UnivDatos understands that you may have your own business needs; hence, feel free to contact us to get a report that completely suits your requirements.