Private healthcare sector to bolster UAE's role as a medical tourism hub

The country’s per capita healthcare spending is forecasted to rank second highest in the GCC by 2030.

The UAE's private sector is expected to support its growing status as a medical tourism hub, with the country's per capita healthcare spending projected to rank second highest in the GCC by 2030, after Qatar.

A BMI report said that medical tourism activity will be targeted by private healthcare providers through public-private partnerships between international conglomerates and UAE-based sovereign wealth funds.

“For example, US-based Mayo Clinic partnered with Abu Dhabi in 2019 to run the Sheikh Shakhbout Medical City, following a similar agreement in 2015 with Cleveland Clinic to open a new multi-speciality hospital,” it said.

Meanwhile, commercial investments are expected to drive the development of the country’s healthcare system. Sovereign wealth funds Mubadala and Abu Dhabi Developmental Holding Company (ADQ) have been particularly active, with ADQ consolidating several companies in 2022 to form Pure Health.

“We expect this trend to continue to drive high private expenditure growth over our forecast period, increasing the UAE’s prominence as a high-tech and high-quality medical tourism hub,” the report added.