Moreover, Asian countries have to meet the dual need of funding higher investment to sustain growth and rising social expenditure on account of an ageing population. However, as saving rates are expected to continue to be higher in Asian countries, it may not necessarily inhibit the process of capital formation.
In most Asian countries, long-term medical facilities cannot be met through regular market service providers. Provision of such services through community-based schemes will only add to the financial burden. Moreover, old age family care schemes are an additional burden.