This growth in spending is attributable to new drugs, especially those for rare diseases, and increased access to medicines in emerging markets, according to the report.
Here are six more statistics cited in the report.
- Patent expirations will reduce spending on brand names by $178 billion.
- In the next five years, 4.5 trillion doses of medicine will be dispensed.
- Each dose will cost an average of 30 cents.
- Developed markets will account for 63 percent of spending.
- The nine most developed countries in terms of pharmaceuticals will spend $880 billion in 2020.
- As the largest emerging market, China is predicted to spend $165 billion on pharmaceuticals in 2020.
More articles on finance:
US hospitals see decline in uncompensated care rates due to the declining uninsured population: 6 findings
Mayo Clinic Q3 operating margin falls to 4.8% as labor costs grow
13 statistics on value-based purchasing — Top challenges by hospital type & geographic location
At the Becker's 11th Annual IT + Revenue Cycle Conference: The Future of AI & Digital Health, taking place September 14–17 in Chicago, healthcare executives and digital leaders from across the country will come together to explore how AI, interoperability, cybersecurity, and revenue cycle innovation are transforming care delivery, strengthening financial performance, and driving the next era of digital health. Apply for complimentary registration now.