Government efforts to build domestic pharmaceutical industries are reshaping the GCC’s healthcare sector, with the regional pharmaceutical market set to surpass $30 billion in 2025 as countries invest heavily in local manufacturing, biotechnology, and healthcare innovation, according to a new JLL report.
The EMEA 2026 Life Sciences Industry & Cluster Report said that Saudi Arabia and the UAE are leading the region’s shift from dependence on pharmaceutical imports to innovation-led production, supported by investments in advanced manufacturing, research and development (R&D), biotechnology, and precision medicine. The strategy aims to strengthen supply chain resilience while supporting broader economic diversification.
JLL said recent geopolitical disruptions exposed vulnerabilities in global pharmaceutical supply chains, prompting governments to prioritize domestic production. Saudi Arabia’s Vision 2030 and the UAE’s Operation 300B, backed by $81.7 billion in investments, are driving the expansion of pharmaceutical and biotechnology manufacturing alongside broader industrial development.
The report said regulatory reforms, including faster drug approval processes and stronger intellectual property protections, are also supporting the sector’s growth.
The GCC pharmaceutical market is expanding at an annual rate of about 7.5%, while the regional biotechnology market is projected to reach $2.6 billion by 2028. The localized generics market is expected to grow to $14.7 billion by 2032, with the biosimilars segment forecast to expand by 15%-20% annually.
Sandeep Sinha, Head of Healthcare and Life Sciences Consulting, MEA at JLL, said government investment in pharmaceutical manufacturing and life sciences infrastructure is strengthening the region’s long-term healthcare resilience and competitiveness.
The report identified Saudi Arabia and the UAE as the GCC’s leading life sciences manufacturing hubs, with Riyadh and Dubai combining advanced manufacturing capabilities with robust research and development ecosystems to attract international pharmaceutical companies.
Abu Dhabi is expanding its biotechnology and precision medicine capabilities, while Doha is investing in genomics and clinical research. Oman, Bahrain, and Kuwait are also strengthening their life sciences sectors through investments in manufacturing, logistics, and technology.
Despite this progress, JLL said the region still lacks sufficient infrastructure for large-scale clinical trials, biotechnology research, and the production of biologics, biosimilars, and vaccines.
The report added that the GCC’s population, representing more than 200 nationalities, presents a significant opportunity to attract global investment in clinical research, particularly in genomics and oncology.