UAE: Healthcare spending to increase by one-third in coming years

UAE: Healthcare spending to increase by one-third in coming years

GCC healthcare market set to reach half-a-trillion-dirham mark by 2027, says Alpen Capital

Published: Mon 20 Mar 2023, 5:43 PM Last updated: Mon 20 Mar 2023, 5:53 PM

Healthcare spending by UAE residents is set to grow by nearly one-third in the coming years due to a rise in the ageing population and more people suffering from lifestyle diseases.

According to Alpen Capital’s latest report on GCC healthcare, the per capita healthcare spending in the UAE stood at $1,992.1 (Dh 7,300) in 2020, the second highest in the GCC.

“The country’s healthcare spending is projected to outpace its GCC peers at 7.4 per cent CAGR to reach $30.7 billion by 2027 from $21.5 billion in 2022. As per IMF, UAE’s population base is expected to rise at a CAGR of 1.6 per cent between 2022 and 2027. Therefore, per capita healthcare spending is expected to grow from $2,041.3 (Dh7,500) in 2022 to $2,689.4 (Dh9,870) in 2027,” said Krishna Dhanak, executive director, Alpen Capital.

As a result of the growing demand for healthcare services, Dhanak told Khaleej Times that the density of physicians (including dentists) and nurses in the UAE has improved over the years.

“UAE had more than 3.4 physicians and nearly 6.0 nurses per 1,000