Evangelos Kalamakis, SOFMEDICA: We aim to contribute to healthcare improvements AI and cutting-edge technologies

During Panel 1, Day 2 of Foreign Investors Summit 2023, “Sustainable Investments”, Evangelos Kalamakis, Managing Director at SOFMEDICA brought a unique perspective on the intersection of healthcare and sustainable development. He highlighted the critical role of sustainable investments in fostering long-term societal and economic growth, drawing parallels between the evolution of energy sources and healthcare practices.

“You might wonder, what connection does healthcare have with a circular, green economy? Sustainable investments are fundamentally about the long term – they endure over time. In planning sustainable investments, one must consider the long-term trade-offs. Consider the evolution of energy sources, from wood to coal, and then to oil. Each shift brought a benefit: higher energy density in a smaller volume, facilitating long-term growth.

However, these energy sources also had long-term drawbacks, such as pollution. This realization led to the shift towards green energy sources like wind power and photovoltaics, which, despite having lower energy density, offer long-term environmental benefits and cost-effectiveness. To facilitate this transition, corporate governance regulations were implemented in public markets to ensure accountability for environmental commitments.

The same principles apply to healthcare, which I believe is crucial for long-term societal and economic development. Healthy, economically active people drive growth and development. Healthcare systems, especially state-funded ones, should focus on achieving superior clinical outcomes. Romania, for instance, pioneered public-private partnerships in healthcare nearly 20 years ago, starting with dialysis centers. This approach demonstrated how the government could reduce risks and provide predictability in healthcare compensation, encouraging private investment and innovation in healthcare sectors.

There’s no reason why Romania, or any other country, couldn’t leverage private talents and capital to enhance clinical outcomes over the long term. Ultimately, the goal isn’t just about acquiring medical gadgets; it’s about equipping healthcare professionals with the resources they need to deliver a healthier society.

During my tenure as a banker, I financed four public-private partnerships in waste management with regional governments. In these partnerships, the government made a long-term commitment to provide a minimum quantity of waste for collection and agreed to a minimum payment. Conversely, the private partner was obligated to meet certain recycling targets and limit the amount of waste sent to landfills. These targets were monitored by waste management experts, and penalties were imposed if the private partner failed to meet them. The operation involved advanced technology, including optical sensors for waste sorting and elements of artificial intelligence for risk assessment. This setup ensured accountability and precise measurement of results, all stemming from long-term commitments.

These private partners often approached capital markets to issue green bonds for funding these investments, thereby connecting with investors and savers for such environmentally friendly projects. Moving to healthcare, some of you might be aware that we are developing an ecosystem for robotic surgery in Romania. Robotic surgery represents the pinnacle of artificial intelligence application, as it involves meticulous measurement of every surgical move and clinical outcome, thereby generating substantial data that aids physicians in refining their techniques.

Much like how Romania previously improved the lives of people with kidney failure through public-private partnerships, there’s a significant opportunity for the Romanian healthcare system to advance operating room practices. By committing to medium and long-term goals, we can mobilize private funding from entities like ours. Having been established for nearly 30 years, with plans for another three decades, our goal is to assist in the enhancement of the Romanian healthcare system. We are prepared to commit and be evaluated based on the clinical outcomes we facilitate, through the education and support of healthcare professionals in operating rooms and beyond. By providing access to the extraordinary advantages of artificial intelligence and cutting-edge technology, we aim to significantly contribute to healthcare improvements.”