Investors are eyeing the GCC region’s healthcare market as countries push for diversification.

According to a new JLL report, regional investors in the healthcare sector have significantly increased, acquiring local companies or international brands to expand their portfolios.

The real estate and investment management firm notes that this surge in investor confidence is driving demand across the healthcare value chain in the region, with the market forecast to hit $135 billion by 2027, according to the report. 

By 2028, healthcare spending within the GCC alone is expected to reach $124 billion, noted Sandeep Sinha, Head of Healthcare Consulting, MEA, JLL.

“Under their economic diversification agenda, countries in the GCC are driving the transformation of this critical sector within infrastructure development, clinical capabilities, human capital development, digital transformation, and establishment of healthcare innovation hubs,” Sinha said.

“This has attracted more private equity companies and witnessed an increase in active deal-making, further positioning the region as a key healthcare player on the global stage,” he added.

Recently, JLL’s healthcare advisory team supported UAE-based Fajr Capital to take a majority stake (65%) in the ownership of the GCC business of Aster DM Healthcare by providing comprehensive technical due diligence services.