Toshiba Medical in particular is strong in all three modalities of MRI, CT, and ultrasound scanners. European and American brands have minimal presence in Indonesia compared with their prevalence in Malaysia and Singapore. Indonesia has been affected more than any other Southeast Asian country by the economic crisis. As a result of the currency depreciation, MRI scanners that sold at 1.3 million rupiah before the crisis sold for as much as 18.2 million rupiah in early 1998. It is expected that there will be few purchases of MRI and CT scanners in 1999, and that those purchases that do occur will be financed by foreign companies through soft loans.
Demand continues, albeit at a slower pace, for ultrasound and x-ray equipment.
Unlike Singapore and Malaysia, Indonesia has a domestic assembler of these modalities, Rajawali Nusindo, that buys its components from France. The company is expected to fare slightly better than other suppliers because of the price advantage it has gained in the marketplace. Demand for medical diagnostics is not expected to show a significant upturn until the economy stabilizes, and this will depend to a large extent on political factors. Although the short-term outlook appears bleak, the market for medical diagnostic equipment in Indonesia holds enormous potential in the long run. The market for medical diagnostic equipment in the region is not expected to recover until the Southeast Asian economy as a whole improves.