The UAE has a strong healthcare infrastructure as one of the most economically developed and diverse marketplaces in the Middle East. The UAE government prioritizes the development of world-class healthcare infrastructure, and as a result, the sector has changed and expanded greatly in recent years.
Following the onset of COVID-19 in January 2020, the UAE government took immediate preventive health measures. Due to the tremendous efforts of the UAE leadership, the UAE has been ranked as one of the top countries in the world and one of the best in the Arab world in terms of COVID-19 response.
The healthcare market is growing rapidly. Total health spending is expected to account for 4.6% of countries’ GDP in 2026, compared with 4.27% in 2018.
According to the research, the UAE has a track record of good health policy supported by continuous investment and openness to private innovation. However, in the years preceding the pandemic, federal healthcare spending fell in absolute terms. This was attributed in part to the expansion of high-quality private healthcare facilities, which was fueled by a favorable regulatory environment.
It illustrates how tight collaboration between the public and private sectors has resulted in a reduction in noncommunicable disease (NCD) fatalities. The UAE’s medical infrastructure is dispersed around the country, however Abu Dhabi boasts the most private and governmental hospitals.
SEHA, or Abu Dhabi Health Services Company, is a key player in Abu Dhabi’s healthcare sector. It handles all public hospitals and clinics in Abu Dhabi and services both natives and expatriates. SEHA actively collaborates with the Mayo Clinic in the United States to assist bring the emirate’s care and services up to worldwide standards.
The organization is focused on innovation, adaptability, and the effective use of new technology, and it has been able to respond swiftly to the pandemic’s problems and help national efforts to control the virus’s spread and effects.
SEHA currently operates two blood banks, three mobile clinics, four dental centers, ten disease prevention and screening centers, 14 hospitals totaling 2,644 beds, 36 primary clinics, and 64 ambulances.
Despite the post-pandemic environment in Dubai, the healthcare sector is rapidly developing, attracting large international firms. The same is true for the growth of other Emirates. Dubai’s objective is to be a global destination for both domestic and international patients, as well as a destination for medical tourists from all over the world, by providing high-quality and cost-effective treatments and procedures.
However, as the population of Dubai and the other Emirates grows and ages, there is a strong need for healthcare, accompanied by high expenses. The prevalence of chronic diseases in the population reinforces this. As a result, another priority of the government is to attract reputable, world-class healthcare providers.
Dubai’s overall goal is to increase competition among healthcare providers while also raising healthcare quality. The Ministry of Health, Abu Dhabi Health Department (HAAD), Dubai Health Department (DHA), and Dubai Health Department (DHD) are now contributing to this aim (DHCC).
The healthcare industry has grown significantly in recent years, especially in medical spas. According to Euro monitor International, the UAE spa market forecast for 2015 was $ 411 million. The Global Wellness Institute states that the Middle East and North Africa are the second fastest-growing spa markets in the world.
United Arab Emirates spa market revenue is expected to reach up to the US $ 495 million.
Patients in the UAE tend to over-consume expensive medical services, resulting in higher per capita health care and wellness spending.
This is due to overconsumption of medical services, rising costs of medical equipment, competition for skilled workers, and an increase in chronic illness.
Medical and surgical costs have increased by 30-40% over the last three years, and so have the medical costs of large corporations. This is due to overconsumption of medical services, rising costs of medical equipment, competition for skilled workers, and an increase in chronic illness.
Dubai is known for its highly specialized care and excellent clinical services. Apart from LASIK, dental and rejuvenation treatment qualified professionals, the demand for qualified cosmetologists is increasing. The men’s plastic surgery market alone offers opportunities in areas such as rhinoplasty, flocking, and liposuction.
Due to the growing elderly population and the high number of chronic illnesses, long-term care facilities are in constant demand from the market. High healthcare costs also contribute to this, paving the way for investment in home health services and private providers.
Leading Sub-Sectors
• Pharmaceuticals
The UAE pharmaceutical market is growing rapidly. The UAE currently imports most medicines, but this is starting to change, with some international pharmaceutical giants partnering with UAE companies to manufacture their products locally. The COVID-19 pandemic has forced the UAE to focus on investing in life sciences both in the UAE and abroad.
• Medical Equipment
The projected growth of the UAE medical device market largely reflects the growth of other sectors. Given the relatively small number of medical devices produced domestically by the UAE, this represents an important business opportunity for international companies. However, the pandemic has led the UAE to consider the local production of certain medical devices. Diagnostic imaging equipment occupies most of the medical device market in the United Arab Emirates.
• Healthcare Information Technology
The UAE medical information technology market is expected to grow rapidly over the next few years. Pandemics continue to create opportunities for expansion of the telemedicine/healthcare sector through telemedicine services through technology platforms. The Ministry of Health is working with the Emirates Integrated Telecommunication Company PJSC (DU) to improve tele-based health care options. This included a “virtual hospital” where doctors and nurses could remotely care for patients using AI and smart intelligence.
- Education and Research
To meet the growing need for qualified medical professionals, the UAE has sought to expand its nascent medical education and training capacity. It also aims to make the country a regional hub for medical research and events.
The Ministry of Health continues to modernize national hospitals with the latest technology to prevent and treat the development of an increasing number of non-communicable diseases, especially cardiovascular disease, cancer, and diabetes. The Dubai Health Department will continue to tailor medical technology to smart city plans and implementations.
Restructuring efforts proved necessary not only to increase efficiency but also to reduce costs, scale, units, departments, and levels of the restructured organization and enhance overall competitiveness.
