02.01.02. The private health sector | Indonesia

02.01.02. The private health sector | Indonesia

13 Apr 2022

The healthcare infrastructure in Indonesia is dominated by private players. As of 2017, 1,767 out of 2,776 hospitals were privately-owned (Deloitte Indonesia, 2019). After the introduction of the national health insurance programme (JKN), the capacity of the private hospital sector in Indonesia has expanded. Approximately 75% of hospitals contracted by BPJS (social security agency for health) increased the types of services they offer, for instance the number of outpatient and inpatient departments, the number of beds, and investment into equipment (X-ray, CT scan, MRI, and incubator) (Ross et al., 2018).

Key health areas and services include non-communicable diseases (cardiovascular disease diagnosis and management, orthopaedic services, dialysis, cancer diagnosis and management, and chemotherapy), reproductive, maternal and newborn health (antenatal and postnatal services, immunization, family planning counselling and services, obstetric care, C-sections, and neonatal emergency care), tuberculosis services (diagnosis, outpatient and inpatient treatment), and diagnostic tests (X-ray, CT scan, MRI, and GeneXpert).

From 1993 to 2014, the inequality in accessing private hospitals and services has narrowed. In 1993, public and private outpatient care services were utilised at similar level, but private outpatient care utilisation continued to increase until 2014. This includes an increase in utilisation of inpatient care in the private sector by the lowest income group, which in 1993 was virtually non-existent (Mulyanto et al., 2019).


Deloitte Indonesia. (2019). The Clouds Covering the Healthcare Business are not Always Grey: Welcoming the Future of Indonesia’s Healthcare Business in 2019. In Deloitte Indonesia Perspectives (Issue September).

Mulyanto, J., Kringos, D. S., & Kunst, A. E. (2019). The evolution of income-related inequalities in healthcare utilisation in Indonesia, 1993–2014. PLOS ONE, 14(6), e0218519. https://doi.org/10.1371/journal.pone.0218519

Ross, R., Koseki, S., Dutta, A., Soewondo, P., & Nugrahani, Y. (2018). Results of a Survey of Private Hospitals in the Era of Indonesia’ s Jaminan Kesehatan Nasional: Impact of Contracting with National Health Insurance on Services, Capacity, Revenues, and Expenditure. http://www.healthpolicyplus.com/ns/pubs/8224-8400_JKNPrivateHospitalSampleSurveyreport.pdf