According to a research report announced by Global Industry Analysts, the need for medical and healthcare institutions to purchase new and advanced medical equipment, or upgrade existing equipment in a cost-effective manner, is driving the global medical equipment rental and leasing market.

The global healthcare industry is expanding rapidly, with a large number of hospitals, clinics, nursing homes, diagnostic centers, and blood banks mushrooming across the world. The developing healthcare system presents a strong business case for the sales of new medical equipment.

Medical equipment leasing is gaining in prominence due to the ease of securing leasing agreements, when compared to the hassles of a getting bank loan approved. Through equipment leasing, healthcare institutions can avoid locking-in capital into new equipment purchases, and improve the return on investment.

The report notes that Europe and the U.S. represent the major regional markets worldwide. Emerging markets, driven by Asia-Pacific, will witness the fastest CAGR of 7% over the analysis period. Growth in these regions will be led by improving healthcare infrastructure, rising per-capita medical spending, and funding constraints which are shifting preferences towards leasing and rental alternatives for procuring sophisticated medical devices. The key factors aggravating funding constraints include healthcare reforms, slowdown in government annual healthcare expenditure, and changing medical reimbursement structure.

To view the full Global Industry Analysts news release, click here.