The pharmaceutical industry in the UAE is experiencing significant growth, with its market currently valued at $4.15 billion. It is expected to double in size by 2033.
This insight was shared by Dr. Fatima Al Kaabi, Director General of the Emirates Drug Establishment, during her remarks to the local press on the occasion of the World Local Production Forum 2025 taking place in Abu Dhabi.
Dr. Al Kaabi attributed this growth to several factors including innovation, regulatory efficiency, and increased investment in domestic manufacturing. Moreover, the expansion of healthcare policies and mandatory insurance plans is greatly enhancing access to crucial medications.
UAE as a Global Pharmaceutical Hub
As for the UAE’s position as a center for international pharmaceutical and biotech firms, Dr. Al Kaabi stated, “The country provides a solid economic base along with a strong sense of stability and safety. These elements are key to fostering an environment conducive to investment and growth.”
“The presence of several of the world’s top 15 pharmaceutical companies in the UAE is no coincidence; it reflects the country’s attractiveness for investment.”
Dr. Al Kaabi acknowledged that while some might suggest that local demand is constrained by the country’s size, the real potential lies in its strong export capabilities, strategic partnerships, trade agreements, and supportive policies.
“These aspects position the UAE as a hub for global business operations. As these companies continue to grow, we observe a transition from simple transactional engagements to more profound involvement in community-oriented initiatives such as research and development and collaboration with local manufacturers to produce goods domestically.”
She also highlighted the positive effects of advancing healthcare policies and mandatory insurance plans in improving access to necessary medicines.
“From a regulatory viewpoint, our objective is to function as facilitators and enablers, even catalysts, to hasten progress. In the face of disease outbreaks or pandemics, speed is a vital issue. Thus, it’s crucial to have systems that are prepped and ready, allowing us to respond promptly and maintain control during such times.”
Furthermore, Al Kaabi indicated that both government and private sectors are increasingly leaning towards collaborative frameworks to address the rising demands in a more efficient and sustainable way. A notable model gaining traction is the Public-Private Partnership (PPP).
“The successful implementations seen here in the UAE have sparked a significant movement toward embracing the PPP model. This approach not only generates jobs and cultivates talent from a business perspective but also holds advantages in sustainability compared to many alternative approaches. It provides a robust groundwork for long-term growth.”
The Role of AI in the Pharmaceutical Industry
Dr. Al Kaabi also discussed the crucial role of artificial intelligence in transforming the pharmaceutical and healthcare environments in the UAE.
She emphasized that AI is enhancing various aspects such as improving Covid-related pharmacovigilance, streamlining clinical trials, and developing predictive models for innovative therapies. AI facilitates smarter data collection and quick decision-making, supporting more flexible policy development, ultimately leading to safer and more effective healthcare solutions.
“Our application of AI goes beyond simply gathering data; it translates that information into immediate, actionable results — from identifying real-time safety signals to reducing clinical trial periods from months to mere weeks. As advanced therapies like nano and stem cell treatments emerge, AI will aid us in establishing the necessary regulatory frameworks to ensure safety, quality, and preparedness for the future,” Dr. Al Kaabi concluded.