Healthcare leaders globally are accelerating investments in AI, digitalisation, and workforce transformation as rising demand, staffing pressures, and operational complexity reshape the sector, according to KPMG International’s 2025 Healthcare CEO Outlook.

The report, based on responses from 110 healthcare CEOs across global markets including India, reflects cautious optimism across the healthcare industry despite persistent concerns around workforce shortages, cybersecurity risks, supply chain disruptions, and regulatory challenges.

According to the findings, 85 per cent of healthcare CEOs remain confident about industry growth over the next three years, while 92 per cent believe their boards are equipped to navigate advanced technologies such as AI. At the same time, 55 per cent expressed concerns over data readiness, highlighting the infrastructure challenges tied to AI adoption.

The report also found that 72 per cent of healthcare CEOs believe their organisations are keeping pace with the rapid evolution of AI technologies, while 71 per cent are prioritising talent retention and workforce upskilling.

For healthcare organisations, the top operational priorities over the next three years include advancing digitalisation and connectivity, AI education and workforce upskilling, and execution of ESG initiatives.

Lalit Mistry, Partner and Co-Head, Healthcare Sector, KPMG in India, said, “As reflected in the global findings, healthcare systems are navigating rising demand, workforce pressures, and evolving risks, with increasing attention on the role of AI and digitalisation in supporting care delivery and operational processes. At the same time, these technologies are not a standalone solution and require strong data, infrastructure, and organisational readiness to be effective.”

He added, “In India, these considerations are equally relevant, as healthcare stakeholders continue to engage with digital health initiatives and explore ways to strengthen capacity, improve coordination, and address access across the ecosystem. This Outlook highlights how healthcare organisations are assessing a range of approaches spanning technology adoption, workforce strategies, and partnerships in response to a changing healthcare environment.”

The report noted that healthcare providers are increasingly exploring AI and digital tools across care delivery, operational efficiency, and workforce management, alongside investments in data integration and digital infrastructure.

The findings come at a time when India’s healthcare sector is witnessing rapid expansion in digital health adoption, telemedicine, AI-assisted diagnostics, and technology-led patient engagement, while continuing to grapple with resource and workforce constraints.