Report: Arkansas hospitals pump $19.73 billion into state economy
A new economic impact report released by the Arkansas Hospital Association compiles statewide data on employment, payroll, purchasing, and capital spending to illustrate how hospitals help drive the Arkansas economy.
According to the “Arkansas Hospitals: 2026 Economic Impact Report,” the total estimated annual economic output of Arkansas hospitals is $19.73 billion.
As employers, the state’s hospitals directly provide 48,630 jobs with a combined annual payroll expenditure of more than $4.76 billion. Payroll earnings ripple through local economies via spending on groceries, clothing, mortgages, and rent, generating approximately $8.66 billion in additional economic activity and supporting nearly 48,000 secondary jobs, according to the report.
Hospitals have $5.58 billion in annual non-salary expenditures for supplies and utilities, and $500.9 million in capital infrastructure investments.
“Arkansas hospitals are proud to provide quality, efficient healthcare for communities throughout our state. Hospitals stand ready to care for everyone, with our doors open to all – 24 hours a day, seven days a week, 365 days a year,” the report said.
In data cited from 2024, that comes down to more than 360,000 patients admitted for care and more than 5.3 million outpatient visits.
“This record of service is – and always will be – our most valuable contribution to the state.”
Data from a December 2024 RAND Corporation study cited in the report reveals that Arkansas has the lowest commercial reimbursement rate in the nation, trailing the average of its neighboring states.
According to the report, failing to properly reimburse facilities directly restricts their capacity to absorb inflationary pressures, recruit and retain clinical staff, and maintain specialized services locally. Attracting employers and employees to Arkansas is closely linked to thriving hospitals and high-quality healthcare providers.
The report concludes that “to sustain job growth and safeguard the health of Arkansas families, the state must prioritize attracting high-quality healthcare providers and expanding access to services.”
Read the full report here.