India’s position as a major global hub for medical tourism is now facing pressure due to the ongoing US-Israel-Iran conflict, which is beginning to impact patient inflows from the Middle East. Hospitals across the country are reporting a sharp decline of 50–75 per cent in international patients from key countries such as Oman, Saudi Arabia, Iran, Iraq, and Yemen, indicating that the ripple effects of the war are extending beyond energy and supply chains into the healthcare sector.
This downturn is significant because the Middle East forms a crucial segment of India’s medical tourism market. According to earlier projections, the sector—valued at around $6.5 billion in 2022—was expected to cross $13 billion by 2026. However, continued instability in the region now threatens to derail this growth trajectory. The decline in patient arrivals could also impact India’s broader foreign exchange earnings from tourism, which had been steadily rising, reaching over $35 billion in 2024.
India has consistently ranked among the leading global destinations for medical and wellness tourism, supported by cost-effective treatment, skilled professionals, and advanced healthcare infrastructure. The sector was also expected to grow at a strong annual rate of over 21 per cent. After a pandemic-induced dip, medical tourism had rebounded significantly, with patient numbers rising steadily from 2022 to 2023, before seeing a slight decline in 2024 and a more noticeable drop in 2025.
Data highlights the importance of Middle Eastern patients in this ecosystem. Nearly 18 per cent of all visitors from the region in 2024 travelled to India specifically for medical treatment, the highest proportion compared to any other region. These patients also tend to stay longer, averaging nearly two weeks per visit, which increases their economic contribution.
While Bangladesh remains the largest source of medical tourists overall, countries such as Iraq and Oman contribute significantly within the Middle East segment. At the same time, overall tourist arrivals from the region had only shown modest growth between 2023 and 2024, suggesting that the current decline is directly linked to geopolitical tensions rather than broader travel trends.
The ongoing conflict is therefore creating a dual impact—reducing patient inflow while also introducing uncertainty into a sector that had been one of India’s fastest-growing service industries. If the situation persists, it could slow down investments, affect hospital revenues, and weaken India’s competitive position in the global medical tourism market.
