The aim of the study was to carry out an economic evaluation of the therapeutic effects achievable with Ginkgo special extract EGb 761 in dementia in Austria. The care-cost savings that could be achieved with Ginkgo special extract EGb 761 therapy were estimated on the basis of the extent to which it delayed growing dependency and an increasing need for care – this being ascertained from the active treatment/placebo differences on Geriatric Evaluation by Relative’s Rating Instrument (GERRI) after 6 months of treatment with EGb 761 and evaluated using the rates of the Austrian Federal Care Allowance Law, and compared with the cost of this therapy. The duration of illness, the start and duration of treatment, and the EGb 761 dose were varied in a series of scenarios in a sensitivity analysis. In all the scenarios, the care-cost savings exceeded the costs of the Ginkgo special extract EGb 761 therapy. The cost–savings ratio is most favourable when the treatment is started early and when it is used in patients with dementia of the Alzheimer type. For every month by which the transition from the stage requiring a small to moderate amount of care to the stage requiring considerable or very considerable care can be delayed, one can save €812.