Asia is rapidly ageing for two main reasons: People are living longer, and birth rates are falling. According to the World Economic Forum’s Longevity Dividend report, co-authored with Marsh, the global over-65 population will grow by 53%, while the working-age population will rise by a mere 13% by 2040.

Asia’s ageing population is no longer just a HR prerogative — it is now a board-level agenda. The report estimates what inaction could cost the world: $645 billion in lost productivity and $5.8 trillion in avoidable healthcare costs by 2040.

However, the upside is just as momentous. The silver economy represents a $10.2 trillion growth opportunity across Asia Pacific by 2036, driven by the ageing populations of Japan, South Korea, China, and Southeast Asia. This opportunity is closely tied to healthy ageing: if governments and businesses invest in improving the human capital of older individuals, global GDP could rise by up to 0.4% annually through 2050. Besides super-aged and ageing societies, traditionally “young” countries such as Indonesia and Vietnam are also seeing some of the fastest growth in their over-65 populations, with steep longevity transitions ahead.

Tapping into the longevity economy requires extending health, work and wealth spans in tandem, the three interconnected areas that determine whether longevity becomes a drag on growth or an economic catalyst. Poor health shortens careers, and shorter careers weaken financial security, so a setback in one span can quickly ripple all three.

Health span: Where the longevity economy begins
Philosopher Ralph Waldo Emerson wrote that “the first wealth is health”. This is also the starting point for the longevity economy: health spans, more than lifespans, decide whether those extra years add up to quality of life and robust career paths. Healthy people are able to work longer and meaningfully contribute to the workforce, and by extension, the economy.

Yet, poor health doesn’t stay contained to the individual. On a macro level, healthcare systems and resources can come under strain and lead to longer wait times, while employers, employees, and governments end up shouldering higher costs. When more national capital pivots towards treating illness and reactive care, less goes towards investment in infrastructure, education and technology.

Health promotion and chronic disease prevention are core to increasing health span and driving economic growth in the longevity economy. However, short-term cost pressures and limited visibility in the returns of preventive care investment can be a deterrent for many companies.

What can governments, businesses and individuals do to build a sustainable roadmap for longevity?

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