Health care and wellness have emerged as promising growth industries in Sharjah in recent years. With productive research centres, advanced facilities and global access, the health care sector is poised for continuous growth, underpinned by a commitment from the emirate’s government to establish Sharjah as a leading destination for health care services, medical education and innovation. As such, Sharjah’s government has cultivated an environment conducive to health care and wellness investment.
The emirate’s growing population – standing at 1.8m in December 2023, up 2.5% from 2022 – illustrates the potential for the expansion of the health industry. Sharjah is well situated to serve as a medical centre for the Northern Emirates, where there is a pressing need for additional health care facilities. Population growth and ageing at the national level has exerted pressure on existing health care services. Furthermore, rising GDP per capita and the prevalence of diseases such as diabetes and cardiovascular conditions have fuelled growing demand for specialised health care services. As the UAE works towards national policies and strategies designed to encourage preventive health care and promote well-being, Sharjah is poised to play a pivotal role in supporting the overall health of the country.
Oversight & Ecosystem
The health sector in Sharjah is overseen by the federal Ministry of Health and Prevention (MoHP). The MoHP’s local arm, the Sharjah Medical District office, allows citizens to renew their health cards, obtain fitness certificates and conduct other business with the ministry. Strategy and policy overseen by the MoHP in recent years has had a strong focus on prevention and pre-emption, including the National Nutrition Strategy 2022-30, the National Policy for the Promotion of Mental Health, the National Policy on Vaccinations, and the National Policy for the Promotion of Healthy Lifestyles. One of the main strategies guiding the sector is the National Well-being Strategy 2031, which was approved by the Cabinet in January 2023. It features 14 components and nine strategic objectives, which include enhancing overall social well-being by promoting healthy and active lifestyles, and positive mental health.
Established in 2010, the Sharjah Health Authority (SHA) works closely with the MoHP to coordinate and implement policies and strategies at the emirate level, though its primary responsibility is to manage Sharjah Healthcare City (SHCC), a dedicated health care and wellness city housing dozens of hospitals and clinics. Operating as a free zone, the SHCC offers investors a range of benefits including no taxes or duties, 100% ownership and repatriation of profit, a single-window system for establishing businesses and a streamlined licensing process. The SHCC aims to attract research and development centres, laboratories, hospitals and rehabilitation centres to set up and expand in the free zone. Located in proximity to Sharjah International Airport on a purpose-built, 2.5m-sq-metre site, the SHCC offers investors land for constructing hospitals, clinics, offices and other health care buildings available for long-term leases.
One of the strengths of Sharjah’s health ecosystem is strong partnerships between academia and industry. One key example is the University Hospital Sharjah (UHS), adjacent to the University of Sharjah. UHS aspires to become a pioneering specialty health care provider in the UAE and the wider region. UHS is located within the University City of Sharjah, a centre of education and research that is home to major universities, specialised labs and research facilities. Housing more than 47,000 students and 22 educational institutions, it is one of the largest tertiary education campuses in the region.
Non-Communicable Diseases
The reason for the strong emphasis on preventive health care in the UAE is related to the prevalence of non-communicable diseases (NCDs) in the country, which is linked to lifestyle factors. Like other countries in the GCC and developed markets in the West, rising disposable incomes and the tendency for people to work in white collar jobs has been accompanied by increasingly sedentary lifestyles and unhealthy eating habits. According to a 2021 report by the World Health Organisation (WHO), 55% of all annual deaths in the UAE are attributed to the four main NCDs: cancer, cardiovascular diseases, diabetes and chronic respiratory diseases.
In addition to the social impact, the prevalence of NCDs is placing a burden on public finances and national productivity. Indeed, it is estimated that the annual costs to the national economy associated with NCDs is Dh39.9bn ($10.9bn), of which 53% is attributed to productivity losses resulting from premature death, disability or illness. Smoking, fast-food consumption and lack of exercise were identified by the WHO as among the most urgent challenges to be tackled in the country.
At the emirate level, the Health Promotion Department (HPD) at the Supreme Council for Family Affairs executes various programmes to promote healthy lifestyles among the population in alignment with national objectives. In 2015 Sharjah became the first city in the region to meet the requirements of the WHO’s Healthy City initiative, attesting to its commitment to public health and well-being. Further, in July 2023 the HPD collaborated with UNICEF and local youth organisation Sajaya to operate the Suhbati (Companionship) 2023 programme, designed to empower adolescent girls to form healthy habits through a peer education approach.
New Developments
In September 2023 the SHA inaugurated the first phase of construction for the Sunny Wellness Centre, which is dedicated to women’s health. The facility, occupying an area of 11,000 sq-feet at the SHCC, will offer a comprehensive range of women’s health services. This development is expected to be a valuable addition to advanced healthcare services in the UAE, addressing a specific need for specialised women’s health care.
Elsewhere, in May 2023 Sharjah approved plans for the construction of a new health care and research district known as the Jawaher Boston Medical District. This project aims to establish an integrated network of health care systems in the emirate. The district, situated near the Sharjah Mosque on the Emirates Bypass Road, will feature hospitals, laboratories, and research and development centres. The Jawaher Boston Medical District is a collaboration between Sharjah-based public-private partnership company BEEAH Group; Mass General Brigham Hospitals Network, a US-based non-profit hospital network with 16 member institutions; and the Dana-Farber Cancer Institute, a cancer treatment and research centre in Boston.
This medical district will cover a wide range of specialisations, including lifestyle and preventive medicine, oncology, women’s health, paediatrics, cardiovascular diseases, neuroscience, behavioural health and rehabilitation medicine. A significant focus of the research in this district will be on cancer-related ailments. The project is intended to provide advanced diagnostic and therapeutic services to residents, while offering medical personnel access to the latest medical studies and research. This initiative represents a key step in advancing health care and research facilities in the emirate, although the expected completion date of the project had not been announced as of December 2023.
In June 2022 Neuropedia Children’s Neuroscience Centre, the UAE’s first highly specialised paediatric neuroscience centre, inaugurated its new branch in Sharjah at Sahara Healthcare City, a private medical complex developed by Dubai-based Al Nahda Properties, located near the border with Dubai. Neuropedia offers expertise in neurological, psychological, behavioural and rehabilitative science. With the new branch in Sharjah, the facility aims to provide comprehensive care for infants, children and young people facing a wide range of acute and chronic neurological, developmental, behavioural and psychological disorders. Neuropedia also provides evidence-based therapy for children and individuals with developmental delay and learning needs.
Sahara Healthcare City marked another milestone in August 2023 with the inauguration of FertiClinic Sharjah. In partnership with the UK’s Assisted Reproduction Gynaecology Centre, the clinic offers personalised care tailored to patients’ individual needs. It is the newest UAE branch of the FertiClinic Fertilisation Centre, which was established in 2018 in Abu Dhabi, and aims to expand the range of fertility services available in the emirate.
Health Insurance
The federal health authorities announced in November 2022 that health insurance would be made mandatory for all residents and expatriates in Sharjah and the Northern Emirates starting in 2023 as the country works to implement universal health insurance rules across its territory. Previously, in the UAE health insurance was mandatory only for residents of the more populous emirates of Dubai and Abu Dhabi. Although the end of the first quarter of 2023 was expected to be the date that health insurance was made mandatory in the rest of the UAE, no such formal announcement had been made as of December of that year. Nevertheless, it is expected to be only a matter of time before such rules are in place in Sharjah and the Northern Emirates, which will create new business opportunities for insurers, while consumers are expected to benefit from a more competitive marketplace.
Since 2020 the government of Sharjah has provided free health insurance coverage for UAE citizens living in Sharjah. Although coverage for foreign residents of Sharjah remained optional as of December 2023, private insurance coverage is typically included in a foreign worker’s remuneration package. The planned introduction of mandatory coverage for foreigners would likely add to the obligatory costs of businesses employing foreign workers. The cost of private health insurance coverage in Sharjah varies, with premium ranging from Dh400 ($100) to Dh3000 ($817), subject to policy terms and insurance company regulations. The extent of health coverage provided under insurance policies in Sharjah depends on the chosen premium range and the specific benefits covered. Group health insurance plans, such as those for families or employees, may offer further reduced premium costs.
Health care costs in Sharjah are typically lower compared to some other emirates, contributing to the affordability of health insurance. Premium for basic health insurance plans is commonly available at price ranges below Dh1000 ($272), with varying costs based on the individual’s age. Mandatory health insurance would be a step forward to ensure that all residents have access to medical care. This requirement is expected to provide residents with a range of medical insurance plans and benefits to choose from, allowing them to make informed decisions that align with their needs and budgets.
Facilities & Expertise
According to MoHP statistics, 24 of the UAE’s 166 hospitals were located in Sharjah in 2021, with the emirate’s proportion of public versus private hospitals mirroring the national ratio, at 67% public and 33% private. Across the UAE as a whole, that year 53% of hospital beds were in public sector institutions and 47% in the private sector, whereas in Sharjah the ratio of beds was 65%:35% in favour of public sector hospitals. Despite having a higher number of public hospitals than private ones, 38% of Sharjah’s doctors worked in the public sector in 2021 while 62% worked in the private sector – perhaps indicative of the more specialised nature of care on offer in private institutions. The ratio was much closer for nurses, with an almost 50%:50% split between nurses based in Sharjah’s public and private sector institutions.
Medical & Wellness Tourism
As well as providing quality care options for UAE residents, Sharjah’s health care system is well placed to serve the international medical and wellness tourism market. According to a report on the investment potential in medical tourism published by the Ministry of Economy in January 2022, the size of the medical tourism market in the Middle East and Africa is projected to reach $1.4bn by 2026, growing at a compound annual growth rate of 8.5% between 2021 and 2026.
That same report projected that medical tourism receipts in the UAE would grow from the pre-pandemic level of Dh12.1bn ($3.3bn) in 2018 to Dh19.5bn ($5.3bn) by the end of 2023. Several factors contribute to this positive outlook. Government initiatives at the federate and emirate level, including ongoing investment in medical technologies and infrastructure, are primary drivers of growth. The availability of skilled medical professionals further enhances the UAE’s appeal, as their expertise ensures the delivery of high-quality and complex medical services, a crucial factor for attracting international patients.
The advantageous geographical location of the UAE also plays a significant role in its prominence, offering accessibility for individuals seeking medical treatments, thanks to its proximity to Asia, Africa and Europe, and the connectivity levels of its national airlines and international airports. With 13m passengers arriving at Sharjah International Airport each year, Sharjah’s diverse health care ecosystem – underpinned by the SHCC and complemented by a growing network of private clinics and hospitals – is positioned to capitalise on the growth potential in the medical tourism market.
Private operators offer tailored packages, and online registration and payment services for international medical tourists. With affordability identified by UAE policymakers as being one the challenges the country faces in strengthening its position in the global medical tourism market, Sharjah can also take advantage of the relative cost-competitiveness of its health care services compared to other emirates. Furthermore, Sharjah benefits from the UAE’s 2021 introduction of a fast-track system for the registration of innovative and rare drugs, ensuring swift access to ground-breaking treatments for patients. The emirate can play a prominent role, utilising its manufacturing capabilities to produce drugs and complex medical products.
Pharmaceuticals & Medical Devices
The UAE market for pharmaceuticals and medical devices has witnessed significant growth in recent years, rising from a market value of $1.5bn in 2011 to $3.7bn in 2021 and projected to reach $4.7bn in 2025, according to a white paper published in 2022 by state holding firm ADQ, formerly known as Abu Dhabi Developmental Holding Company.
In 2021 there were 23 manufacturing facilities serving the sector in the UAE. Of these, 14 produced medicines, seven produced medical devices and two produced disinfectant solutions. Approximately 2500 medicines were produced in the UAE that year, with the country generating $258m from exports sales to 48 countries. In the face of the ongoing disruption and recalibration of global supply chains in the wake of the Covid-19 pandemic, the UAE has the potential to boost production to both strengthen national medical security and increase exports revenue from regional and global markets.
At the federal level, legislative and regulatory steps have been taken in recent years to boost investment and innovation in pharmaceuticals and medical devices. As well as the fast-track system for approving innovative and rare drugs, in September 2021 the UAE removed the requirement for companies in the sector to be 51% owned by UAE national shareholders and aligned UAE patent law with international patent legislation.
With its robust logistics and knowledge infrastructure, network of manufacturing zones and access to skilled labour, Sharjah is well placed to capitalise on production and investment growth in the UAE’s pharmaceuticals and medical devices market. The Hamriyah Free Zone is positioning itself to take advantage of this expansion, and in January 2023 it participated in the seventh edition of the International Conference of Pharmacy and Medicine in Dubai, where it showcased its offering to health care companies, including investment incentives and streamlined business processes. Among the pharmaceuticals and medical devices companies based in Sharjah is Al Hayat Pharmaceuticals, which operates in pharmaceuticals, medical devices, laboratory equipment and consumables, and dental equipment and supplies, as well as delivering turnkey projects.
Outlook
Sharjah is poised to continue its growth in the health care and wellness sector, with a strategic focus on providing innovative, comprehensive and accessible services. The commitment to fostering an ecosystem that combines research, education and patient care will further strengthen its position, while the introduction of compulsory health insurance should stimulate competition and ensure that health care services are accessible to all residents. With a robust foundation in place, Sharjah is well prepared to meet the rising demand for specialised services, and contribute to improving the overall health and well-being of its population.