Private hospitals were in existence prior to the World War Two period, and the growth of this sub-sector coincided with the emergence of a market economy in the country, along with the entry into the market of the pharmaceutical industry, medical equipment industry and private insurance. This review attempts to document, understand, and offer suggestions concerning the private hospitals in some specific areas such as characteristics, distribution, incentive mechanism for the private health sector, involvement of government and foreign doctors in the private sector, user fees charged, medical negligence and the role of the regulatory regime. It has utilised published and unpublished empirical studies, reports in electronic and print media on the private health sector, findings of survey results, interviews with professional associations, and respective hospital authorities.