SEC urges private hospitals to tap capital market

The Securities and Exchange Commission is urging private hospitals to tap the capital market to support expansion and modernization needs, as the government pushes to improve the quality and accessibility of healthcare services nationwide.

The call was made during the conference titled “SEC HOPES: Streamlining Capital Market Access for the Philippine Healthcare Industry,” held on Nov. 25 at the SEC headquarters in Makati City, which brought together hospital entrepreneurs, administrators and medical professionals.

The event highlighted the Commission’s Securing and Expanding Capital for Hospital Entrepreneurs, or SEC HOPES, program, which is designed to help hospitals raise funds through the capital market for the construction and expansion of healthcare facilities.

Issued under SEC Memorandum Circular No. 11, Series of 2017, SEC HOPES streamlines the registration process for hospital securities offerings, providing easier access to funding while maintaining regulatory safeguards.

Under the program, the SEC shortened the review period for the registration of hospital securities to 28 days from the standard 45 days through the use of a Simplified Registration Statement.

“The financing needs of the healthcare sector continue to grow, whether in expanding capacity, upgrading facilities, adopting new technologies, or improving service delivery,” SEC Chairperson Francis Lim said in his opening remarks.

“While the public sector continues to lead major investments in infrastructure and service delivery, the private sector plays an equally important role—especially in areas of healthcare where there is a strong business case for expansion. Public and private investments must complement each other to ensure that Filipinos across the country gain access to safe, modern, and adequate health facilities,” Lim added.

As of December 2025, the SEC has registered 18 private hospitals under the SEC HOPES program, with total registered shares amounting to PHP 19.95 billion and a total issue value of PHP 17.05 billion.

The Commission said improved access to capital is expected to help address the country’s acute shortage of hospitals, a long-standing challenge in the Philippine healthcare system.

According to the Department of Health, the current hospital bed-to-population ratio stands at 0.5 beds per 1,000 people, far below the target of 2.7 beds per 1,000 population needed to meet rising healthcare demand under the Philippine Health Facility Development Plan 2020–2040.

“This is precisely why capital markets must remain open and accessible to all sectors and industries—including healthcare. By providing hospitals with the ability to raise funds efficiently and transparently, we empower them to modernize facilities, scale operations, and bring quality care closer to communities that need it most,” Lim said.

The conference also featured discussions led by SEC Commissioner McJill Bryant T. Fernandez and officials from the Markets and Securities Regulation Department, Company Registration and Monitoring Department, Financial Analysis and Audit Department, and the Office of the General Accountant, who outlined the requirements and processes under SEC HOPES.