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At a time when governments in the Middle East are seeking to increase localization to achieve self-sustainability in the healthcare sector, strong investor confidence is adding momentum to the continuing demand across the healthcare value chain in the region.
According to a report from JLL, an American research company, healthcare spending in Gulf Cooperation Council countries is projected to hit $135 billion by 2027. This growth is attributed to investor confidence in the booming healthcare market across the GCC countries.
The company, which has a long history of providing leading professional services specializing in real estate, investment management, and development advisory services, highlighted that at a time when governments in the Middle East are seeking to increase localization to achieve self-sustainability in the healthcare sector, strong investor confidence is adding momentum to the continuing demand across the healthcare value chain in the region.
Aware of the promising landscape of the healthcare and life sciences sector in the Middle East and North Africa region, JLL recently advised a consortium led by the UAE-based Fajr Capital to acquire a 65% stake in the activities and businesses of Aster DM Healthcare in the GCC countries.
Having worked on more than 100 healthcare projects in the region, the research firm’s healthcare advisory team supported this prestigious deal and ensured its successful outcome by conducting a comprehensive technical due diligence study for Fajr Capital.
The company’s long-term strategy will unlock value within the dynamic healthcare landscape in the GCC and enable greater access to high-quality services across physical and digital channels.
In this context, Sandeep Sinha, head of healthcare consulting in the Middle East and Africa region at JLL, said:
“The expected increase in GCC spending on healthcare comes within the framework of the economic diversification agenda led by the GCC countries, in addition to the process of transformation in this vital sector through infrastructure development, clinical capabilities, human capital development, digital transformation, and the establishment of healthcare innovation centers. This has attracted more private equity firms and witnessed an increase in active deal-making, strengthening the region’s position as a major healthcare player on the global stage.”
Drawing support from strong economic growth potential and in line with national priorities, more regional healthcare players in the GCC are acquiring local companies or global brands to build their portfolios and transform their business models.
