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The company’s latest report* states that medical tourism, straightforward regulatory guidelines and increasing healthcare expenditure will also be key factors driving the UAE’s pharmaceutical market, which Kulkarni forecasts to be worth $3.7 billion by 2020.
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Joshua Owide, GlobalData’s Director of Healthcare Industry Dynamics, states that the UAE is benefiting from the establishment of health-related free zones, such as the Dubai Biotechnology and Research Park (DuBiotech), which have encouraged global pharmaceutical players to set up regional centers in the country.
Owide explains: “The big draw for companies located in DuBiotech is that they receive a 100% exemption on corporate and personal tax, which is guaranteed for 50 years
“Expenditure on pharmaceutical research and development in the UAE is very low compared to other countries, meaning that novel medicines must be imported at a high price, but projects such as DuBiotech may help to redress the balance.”
The UAE’s healthcare market will also be boosted by medical tourists, of which Dubai is aiming to have more than 20 million by 2020, according to UAEinteract.
Owide says: “Affluent patients from across the globe are willing to travel to find the best hospitals and healthcare facilities. The UAE offers a world-class service in terms of availability and quality, and is easily accessible to the rest of the world thanks to its airline and airport infrastructure.
“The Dubai Health Care City is providing a platform for increased medical tourism and will bring more revenue to Dubai and the UAE, driving market growth at a much faster rate than historically.”
