THE GROWTH OF CORPORATE PRIVATE HOSPITALS IN MALAYSIA - POLICY CONTRADICTIONS IN HEALTH SYSTEM PLURALISM

The rapid growth of corporate investment in the Malaysian private hosp ital sector has had a considerable impact on the health care system. S ustained economic growth, the development of new urban areas, an enlar ged middle class, and the inclusion of hospital insurance in salary pa ckages have all contributed to a financially lucrative investment envi ronment for hospital entrepreneurs. Many of Malaysia's most technologi cally advanced hospitals employing leading specialists are owned and o perated as corporate business ventures. Corporate hospital investment has been actively encouraged by the government, which regards an expan ded private sector as a vital complement to the public hospital system . Yet this rapid growth of corporately owned private hospitals has pos ed serious contradictions for health care policy in terms of issues su ch as equity, cost and quality, the effect on the wider health system, and the very role of the state in health care provision. This article describes the growth of corporate investment in Malaysia's private ho spital sector and explores some of the attendant policy contradictions .