Evaluating Cyber Assurance Maturity Levels And Their Impact On Foreign Direct Investment In The Indian Healthcare Sector

Abstract

Background: The rapid digitalization of India’s healthcare sector has underscored the critical need for robust cybersecurity frameworks to protect sensitive patient data and essential healthcare infrastructure. However, existing cybersecurity frameworks (CSF) lack the specificity needed to address the unique challenges faced by Indian healthcare organizations, leaving systems vulnerable to cyber threats that could lead to operational disruptions, financial losses, and compromised patient safety. With foreign direct investment (FDI) increasingly reliant on organizational security standards, understanding the relationship between cybersecurity maturity and FDI attractiveness in the healthcare sector has become essential.
Methods: This study evaluates Cyber Assurance Maturity (CAM) levels within the Indian healthcare sector, focusing on stakeholder engagement’s role in enhancing cybersecurity maturity and its impact on FDI. A novel CAM model tailored to the digital healthcare landscape was proposed and assessed. Using a quantitative case study approach, data was collected from five major healthcare institutions in India, comprising super-specialty hospitals, Pharmaceutical and Biotechnology companies, resulting in 60 structured survey responses and document examinations. The data were analyzed to assess CAM levels, variations across institutions, and correlations between CAM maturity, stakeholder engagement, and FDI attractiveness.
Results: The study reveals considerable disparities in CAM levels across surveyed healthcare organizations. Super-specialty hospitals demonstrated higher CAM levels (MIL3) in domains like compliance, risk management, and incident response, while Pharmaceutical and Biotechnology companies achieved moderate CAM levels (MIL2), reflecting documented but less comprehensive cybersecurity practices. A strong positive correlation was identified between stakeholder engagement and CAM, suggesting that multi-tiered involvement enhances cybersecurity maturity. Furthermore, institutions with higher CAM levels were more attractive to foreign investors, emphasizing the economic benefits of advanced cybersecurity measures in securing FDI.
Conclusions: The findings illustrate that robust cybersecurity practices not only safeguard patient data but also contribute to economic growth by making healthcare organizations more appealing to foreign investors. The proposed CAM model provides a structured approach to enhance cybersecurity maturity, which policymakers and healthcare administrators can leverage to strengthen defenses, improve patient trust, and attract FDI. Advocacy for adopting CAM as a national policy could standardize cybersecurity practices across India’s healthcare sector, promoting both security and economic viability.