IHS Global Insight study shows slow growth for European drug sales through 2015, but global health care spending will pick up

Pharmaceutical sales will grow slowly in Europe, at only 2% average annual growth between 2010 and 2015, according to the newly launched World Markets Healthcare Forecasts by IHS Global Insight. Drug sales will be held down by slow economic growth and cost containment measures imposed across much of Europe.

In contrast, health care spending growth will pick up across the world beginning in 2012 as countries begin to emerge from recession. Private health care expenditure growth on out-of-pocket and insurance will be strongest across Europe with 5% compound annual growth from 2010-15, compared with 3% in North America and slower growth in Asia. Public health expenditure growth will be strongest in Asia with 7% growth expected over the five-year forecast horizon.

"Health care expenditures are caught in a complex web of both positive and negative drivers," according to Gustav Ando, director of IHS Global Insight's Healthcare and Pharma group. "Downward pressures stem from austerity measures across southern Europe, which are having a knock-on effect around the world; general European cost containment policies; and Health Technology Assessment implementation. Balancing these downward pressures are continued innovation, particularly in the area of oncology and vaccines, and untapped demand in emerging markets. This is evidenced by expected 5% compound annual GDP growth in BRIC countries [Brazil, Russia, India and China] over the next five years,” he added.