GCC emerges as global medtech investment hub amid healthcare transformation

The Gulf region is undergoing a structural transformation in healthcare, moving from a consumer of imported medical technologies to an emerging global hub for innovation and investment, according to speakers at a MedTech World panel.

The session, titled “The GCC MedTech Boom Today: State of the Market, Funding, and Scaling Healthcare Innovation,” was moderated by Matthew Foran, Healthcare Principal at LEAD VC. Panellists included Dr Khalid Kheder, Adviser to the Vice Minister for Planning & Development; Dr Alireza Daneshvar, CEO and Founder of Pioneera Biosciences; Dr Yazeed Alsufyani, CEO and General Partner at IV Ventures; Dr Ruchi Dana, Partner at MFV Partners; and Dr Dimah AlSaqabi, Healthcare Consultant at Welcome Health Ventures.

From importing care to shaping it

Dr Kheder opened the discussion by outlining what he described as a “fundamental transformation” in the GCC healthcare market. Driven by national reform agendas, significant public investment and the rapid adoption of digital and AI solutions, the region is repositioning itself as an innovation centre rather than simply a buyer of overseas technologies.

He pointed to the shift towards value-based healthcare, focused on outcomes and patient experience, as a key structural change underpinning this evolution. Strong governance, regulatory reform and data infrastructure, he added, are creating clearer conditions for both investors and operators.

“Technology alone is not enough,” he said, emphasising that successful deployment and measurable improvements in care quality remain critical.

Bridging Startups to the Market

Dr AlSaqabi described Welcome Health Ventures as an “innovation bridge” helping international and regional startups navigate entry into GCC markets. Beyond introductions, she said, companies require a detailed understanding of local reimbursement structures, regulatory pathways and clinical workflows.

In Saudi Arabia, she noted, around 70% of healthcare is publicly funded, with the remainder largely covered by insurance, leaving only a small proportion of self-pay patients. For startups, understanding who ultimately pays — and where their solution fits within primary, secondary or tertiary care pathways — is essential for scaling.

She highlighted the importance of local research and alignment with national priorities, arguing that solutions must address clearly defined system pain points to gain traction.

Venture capital and biotech momentum

Dr Alsufyani outlined IV Ventures’ mandate as Saudi Arabia’s first dedicated life sciences venture capital, incubator and accelerator. The firm focuses on identifying regional and global biotech entrepreneurs and anchoring them within the Saudi ecosystem.

He cited growing momentum in genomics, AI-driven drug discovery, clinical trials and green biotechnology, including biofuels and agriculture. However, he stressed that clinical relevance, reimbursement clarity and founder maturity are decisive factors in investment decisions.

“The hardest step in biotechnology is not discovery,” he said, “but translating it into a viable business.”

Understanding government priorities, reimbursement cycles and time to revenue, he added, is essential for founders pitching in the region.

Deep tech and robotics adoption

Dr Dana, drawing on her experience in surgical robotics and deep tech investment, said adoption challenges in hardware extend beyond regulation. Workforce training and clinical readiness are often limiting factors.

Advanced technologies, she noted, require skilled operators to unlock their potential. Nevertheless, she described the GCC — particularly the UAE — as supportive of early adoption and willing to “leapfrog” incremental stages of technological development.

She added that international funds are increasingly viewing the region as a viable deployment market for Series A to C portfolio companies, citing policy clarity and infrastructure development as enabling factors.

Biotech translation and regulatory maturity

From an operator perspective, Dr Daneshvar highlighted progress in regulatory frameworks in both the UAE and Saudi Arabia. He pointed to increasing flexibility and clearer pathways at authorities such as the Saudi Food and Drug Authority (SFDA) and the Department of Health – Abu Dhabi.

While acknowledging that the biotech ecosystem remains in relatively early stages, he described the current moment as a “golden time” for companies seeking to build and scale in the region, particularly as government strategies increasingly prioritise life sciences.

He emphasised collaboration across policymakers, investors and founders as essential to accelerating clinical translation.

Governance, trust, and local alignment

Throughout the session, panellists returned to themes of governance, trust and alignment with national strategy.

Dr Kheder reiterated that policy, capital and technology must operate together to position the GCC as a global innovation centre. Meanwhile, Dr Dana stressed the importance of relationship-building in what she described as a close-knit regional ecosystem.

For companies entering the market, speakers advised rigorous local research, clarity around reimbursement, and a shift in narrative from scientific discovery to business viability.

As the session concluded, a common message emerged: while capital and ambition are present, long-term success in the GCC medtech landscape will depend on translating innovation into practical, locally integrated solutions that align with public health priorities.