1 '  
FOURTEENTH CONGRESS OF THE REPUBLIC ) 
OF THE PHILIPPINES 
1 
First Regular Session 
1 
S.B. NO. g 3 3  
Introduced by Senate President Villar 
EXPLANATORY NOTE 
Due to the high cost of healthcare and medical facilities in their countries, 
medical patients from other countries are seeking quality medical treatment in 
countries where they could spend their money at a higher value. The desire to 
seek medical treatment abroad not only benefit the patients but also the favored 
countries of their destination. Hence, medical tourism became a global business 
endeavor. 
Responding to the growing needs of medical patients around the world, the 
Philippine government launched in 1994, through Executive Order No. 372 the 
Medical Tourism Program to attract medical tourists. Since then the country has 
proven to the world that it has the competence and skill to assure the well-being 
of foreign patients availing of our healthcare facilities and personnel. With the 
development of our facilities and the ease and affordability of travel for foreigners 
to our country, there is no reason for us not to capture a portion of this multi- 
billion dollar global industry. Medical tourism, therefore, offers 
very bright 
prospects for the country and our medical and other health practitioners. 
Records show that medical tourism industry was successful in its initial 
stage. Hence, the Department of Health will hold the first Medical Tourism 
Congress and Exposition on November 20-21 to showcase the best providers of 
healthcare and wellness and our prime private medical institutions such as the 
Asian Hospital, Medical City, St. Luke's Medical Center, among others. 
This bill, 
therefore, seeks to give emphasis on the development and 
promotion of the medical tourism in the country with the active participation of 
the people and the concerned government agencies. Linkages between or among 
vital institutions like the medical schools, hospitals, wellness centers, medical 
insurance companies, tourism enterprises, local government units, and other 
associations shall likewise be established. Incentives like reduced taxes, priority 
treatment to would-be investors with respect to their transactions with 
government entities shall also be provided. 
Developing and promoting the industry may yet be the solution to the 
country's "brain drain" problem brought about by 
the exodus of medical 
professionals to foreign countries for greener pasture. 
In view of the foregoing, approval of this bill is ea 


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FOURTEENTH CONGRESS OF THE REPUBLIC ) 
OF THE PHILIPPINES 
1 
i 
i f 2 ’ ] :  
First Regular Session 
1 
S.B. NO. 
3 
I 
Introduced by Senate President Villar 
AN ACT 
TO DEVELOP AND PROMOTE 
MEDICAL TOURISM, PROVIDING FUNDS 
THEREFORANDFOROTHERPURPOSES 
Be it enacted by the Senate and House of Representatives in Congress 
assembled: 
SEC. 1. Short Title. - This Act shall be known as the “The Medical 
Tourism Act of.2007”. 
SEC. 2. Declaration of Policy. - It is hereby declared the policy of the 
State to develop the country’s potential and readiness actively promoting the 
country as a prime 
medical tourist destination and showcasing its globally 
competent medical and healthcare providers and professionals and tourist spots. 
SEC. 3. Definition of Terms. -When used in this Act, the following terms 
shall mean: 
1. Accreditation - the certification issued by the Department of Health 
recognizing the holder as having complied with the minimum standards 
and requirements prescribed by the Department for the operation and 
maintenance of prime medical private institutions; 
2. Medical Tourism - the traveling of persons to other countries for the 
purpose of availing health care services, treatment of illnesses and other 
health problems in order or to maintain one’s health and wellness; 


3. Tertiary Hospital for Medical Tourism - an institution that provides 
clinical care and management, as well as specialized and sub- 
specialized forms of treatments, surgical procedure and intensive care. 
SEC. 4. Information Regarding Medical Tourism Destinations. - The 
Department of Health, in coordination with the officials of all local government 
units nationwide, shall identify the hospitals, health and wellness clinics and 
other health-related service providers that have the capability to engage in 
medical tourism services. 
The Department of Tourism shall, on the basis of the information furnished 
by the Department of Health, prepare an inventory of all prime medical 
institutions in the country as medical tourist destinations and shall adopt and 
implement on a continuing basis a system of information dissemination. 
SEC. 5. Promotion of Medical Tourism. - The heads of offices of all 
health-related government and private agencies and institutions shall encourage 
the Philippine Medical Associations (PMA), the Philippine Dental Association, and 
other allied health service associations and their healthcare professionals and 
workers to promote and disseminate information on medical tourism industry in 
our country. 
The consular officers and employees of the various Philippine embassies 
and consulates based in other countries shall likewise encourage the officers and 
members of the Overseas Filipino Workers (OFW) associations to promote and 
disseminate information regarding medical tourism in the country as their 
contribution towards a sustainable industrial growth. 
SEC. 6. 
Accreditation of Prime Medical Institutions Involved in 
Medical Tourism. - To guarantee quality health services to potential foreign 
patients, the Department of Health (DOH) is hereby mandated to conduct a 
national accreditation and affiliation program to identified hospitals, health and 
wellness clinics and other health care services in the country. 
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SEC. 7. Assistance for International Accreditations. - The Department 
of Health (DOH), in coordination with the Department of Foreign Affairs (DOF) 
shall assist the various hospitals, health and wellness clinics and other health 
service facilities in seeking accreditation from foreign governments so that they 
may qualify to serve foreign patients. It shall likewise conduct consultations 
with foreign health accreditation agencies to facilitate the accreditation of our 
hospitals, medical practitioners and health service delivery facilities. 
SEC. 8. 
Fiscal Incentives. - Accredited medical, health and wellness 
institutions and other health service providers actively participating in the 
medical tourism industry shall be exempt from payment of EVAT and customs 
duties for the importation of medical facilities and equipment necessary for their 
operation. 
SEC. 9. Preferential Treatment on Government Transactions on 
Medical Tourism. - To ensure active promotion and full development of the 
medical tourism in the country, all government transactions concerning the 
business 
operation of health institutions involved in the medical tourism 
industry shall be given preferential treatment. 
SEC. 10. Available Credit Facilities and Loan Package to Stakeholders 
of Medical Tourism. - The Land Bank of the Philippines (LBP) is hereby 
mandated to formulate a Medical Tourism Credit Facility and Loan Package 
Window which shall provide 
low-interest loans for medical institutions and 
health service providers seeking to improve and modernize their health facilities, 
equipment and services in order to participate in the medical tourism program 
implemented by the government. 
Within six (6) months from the date of effectivity of this Act, the LBP is 
mandated to formulate the necessary guidelines, procedures and requirements 
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for the various stakeholders to avail of the Medical Tourism Credit Facility and 
Loan Package, as mandated under this Section. 
SEC. 11. 
Implementing Rules and Regulations. - The Department of 
Tourism (DOT) shall promulgate the necessary implementing rules and 
regulations in the accreditation of medical, health and wellness facilities and 
other medical health providers within six (6) months from the effectivity of this 
Act. 
The Department of Health (DOH) and the Department of Trade 
and 
Industry (DTI), in consultation with the Department of Foreign Affairs (DFA); shall 
promulgate the necessary implementing guidelines for medical institutions to 
seek accreditation to quality them to serve foreign patients within six (6) months 
from the effectivity of this Act. 
SEC. 12. 
Appropriations. - The amount necessary to implement the 
provisions of this Act shall be included and incorporated in the annual general 
appropriations of the various agencies of the government involved in the 
implementation of this Act. 
SEC. 13. 
Separability Clause. - If for any reason, any provision of this 
Act is declared invalid or unconstitutional, the remaining provisions not affected 
thereby shall continue to be in full force and effect. 
SEC. 14. 
Repealing Clause. 
All executive issuances, rules and 
regulations or parts thereof which are inconsistent with the provisions of this act 
are hereby repealed, amended or modified accordingly. 
SEC. 15. Effectivity Clause. - This Act shall take effect after fifteen (15) 
newspapers of general 
days after its complete publication in at least two (2) 
4