On 17 February 2026, the National Defence and Security Council enacted the Amendment to the Private Health Care Services Law (Law No. 7/2026) (“Amendment”) pursuant to Section 427 of the Constitution. The Amendment introduces two new categories of regulated private health care businesses, revises key terminology and licensing procedures, and strengthens compliance obligations and penalties.
New Categories of Regulated Private Health Care Service Businesses
The Amendment creates two new regulated business categories, each subject to detailed requirements, as set out below.
- Private Health Training School Business
Operators must maintain an appropriate administrative and management system, affiliate with hospitals for clinical training, ensure adequate facilities for non-clinical programmes, comply with prescribed building and safety standards, appoint qualified instructors, follow approved curricula, and implement student admission and assessment policies.
- Private Outpatient Surgical Services Business
Operators must use a separate, compliant building with a sterile operating theatre and necessary surgical equipment, and be capable of providing emergency life-saving treatment. They must also maintain safe blood transfusion and referral systems, adequate infection control and waste disposal measures, 24-hour electricity, clean water and sewage systems, effective communication and disaster response arrangements, and comply with any additional requirements prescribed by the Central Body.
Revised Licensing and Approval Procedures
The Amendment clarifies the respective roles of the Central Body and the Nay Pyi Taw/Region/State Supervisory Committees:
- For businesses other than private clinics and private diagnostic services: The Supervisory Committee must submit applications for prior recommendation on building construction or renovation, along with licence applications, to the Central Body, together with its remarks.
- For private clinics and private diagnostic services: The Supervisory Committee may directly scrutinize and approve or refuse applications for such prior recommendations and licences.
Notably, the Amendment replaces “prior permission” with “prior recommendation,” reflecting a shift in the administrative approval process.
Enhanced Compliance and Penalties
The Amendment introduces additional compliance obligations, including a prohibition on false or misleading advertisements, a requirement to operate strictly within the scope of the relevant licence, and training-school-specific duties such as curricula adherence, trainee record-keeping, and protection of trainee rights upon suspension of operations. Penalties for unlicensed operation are as follows:
- Operating a private hospital, Private Health Training School, or Private Outpatient Surgical Services Business without a licence is punishable by 1–5 years’ imprisonment and a possible fine.
- Operating other private health care service businesses without a licence may result in a term of imprisonment of 3 months to 1 year and a possible fine.
The inclusion of the two new business categories in the higher penalty bracket signals the importance the authorities attach to regulating these activities.
Practical Implications
Health care operators, investors, and training institutions should assess whether their activities fall under the new categories and determine whether structural upgrades, policy changes, or renewed licence applications are required.
The information provided here is for information purposes only and is not intended to constitute legal advice. Legal advice should be obtained from qualified legal counsel for all specific situations.
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