Dubai is a home to many aspiring entrepreneurs who land here to make a mark and grab an opportunity in the market.
Before looking into the positive points of Healthcare Investment lets first understand what exactly is Healthcare Investment and how is it booming?
United Arab Emirates (UAE) – is investing heavily into healthcare ventures to support the increasingly varied healthcare needs of their rapidly growing populations. In the UAE, the government is looking to make the most of the country’s predicted medical investment a boom, which will result in revenues of an estimated 700 million USD by 2020.
The UAE government will be turning to the private sector to source the healthcare technology, medication and innovation necessary to support the continued annual influx of medical tourists into the country. This has translated into a willingness to invest in healthcare opportunities abroad in order to access medication, medical technology and knowledge outside of what is currently available in the UAE.
The UAE government is keen to attract investors to focus on the private healthcare sector to enable UAE to be self-dependant for it’s medical needs.
Now let’s look into an insight on how an investor that intends to invest in the healthcare segment can do so by establishing a medical clinic/polyclinic in Dubai, a prime Emirate in the UAE.
Regulation of the Health System in Dubai
The Dubai Health Authority (‘DHA’) was formed in 2007 and is the supervisory authority tasked with regulatory oversight of the health system in Dubai. It is responsible for licensing and regulating medical professionals and healthcare facilities including hospitals, medical clinics and pharmacies. On the other hand, the Ministry of Health and Prevention oversees the licensing of drug stores.
Over the past decade there have been numerous healthcare tech innovations that have been implemented at the national and local level.
- Electronic health system – In 2008 the UAE Ministry of Health (MoH) launched ‘Wareed’, an electronic healthcare information system that virtually links all the MoH’s hospitals and clinics in Dubai and the Northern Emirates. The system provides a centralized platform to store patient data, which enables physicians’ quick access to a patient’s medical history and other critical information.
- Prevention is better than cure – In Abu Dhabi, the largest of the seven emirates making up the United Arab Emirates, the Health Authority of Abu Dhabi (HAAD) has implemented a preventive health public service called the Weqaya Programme. Through the Weqaya web portal individuals can check their health status and get proper follow-up consultations if they are at risk of developing cardiovascular disease and diabetes, for example: 24/7 telemedicine – Mubadala Development Company, an investment and development company owned and operated by the Government of Abu Dhabi, partnered with Swiss company Medgate to establish the Abu Dhabi Telemedicine Centre. The centre operates 24/7 and provides consulting by phone by a staff of general practitioners who are specially trained to practice tele-medicine.
One thing that all of these examples have in common is they demonstrate the important role that government has in implementing new technology into healthcare systems and how investing into Healthcare industry is booming.
DED Activity for HEALTHCARE INVESTMENT:
Investment in Healthcare Enterprises & Development
Activity Group: Investment
License Type: Commercial
Activity Description: Includes holding companies formed in order to invest their own funds and hold the assets of subsidiary corporations which carry out various healthcare projects or other similar enterprises, it involves exercising operational control and managing the operations of said subsidiaries.
The investment company can hold subsidiaries which could be hospitals, clinics, healthcare facilities, etc.
Setting up a Clinic/Polyclinic
The process of establishing a clinic/polyclinic in Dubai is as follows:
Step 1 – Reservation of Trade Name
Step 2 – Initial Approval from the DED
Step 3 – Initial Approval by the DHA
Step 4 – Execution of Documents
Step 5 – Final Approval from the DED Planning Department and Issue of DED Licence
Step 6 – DHA Application and Final Approval/Licence by the DHA
The Dubai Government is strongly focused on the development of the healthcare sector which is evidenced by the establishment of Dubai Healthcare City Free Zone which is committed:
- To creating a health and wellness destination; and
- To attract investment and promote medical tourism
As the industry progresses, the Government is surely to keep positively investing and improving the sector to promote it further and make UAE one of the best healthcare destination in the world.
This blog is written by Ms. Nirmala, Business Advisor at Flyingcolour Business Setup, VAT and Accounting Services, Dubai. Given the complex nature of the process involved, it is quite important for practitioners/investors to consult professional advisors in order to complete the process seamlessly. For more information on setting up a healthcare investment or a clinic/healthcare facility, do contact us.