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Health
17 April 2025

UAE Healthcare Sector Evolves Amid U.S. Funding Cuts

Abu Dhabi Global Health Week highlights strategic initiatives and local responses to global challenges.

During the Abu Dhabi Global Health Week, significant developments in the healthcare landscape of the United Arab Emirates (UAE) were unveiled, reflecting a blend of challenges and opportunities. The event served as a platform for leaders in the healthcare sector to discuss the future of health in the region amidst sweeping changes in funding and strategic initiatives.

One of the most pressing issues highlighted was the Trump administration's plans to scale back billions in government funding for healthcare, research, and disease control and prevention. This move, which aims to reform U.S. government-backed health agencies, has raised concerns among global health experts about its potential impact on the fight against diseases and the prevention of future pandemics. Reports indicate that the U.S. Department of Health and Human Services (HHS) could see a cut of $40 billion, which represents one-third of its discretionary budget. Specifically, funding for the National Institutes of Health (NIH) is set to be reduced by $20 billion by 2026, marking a 40 percent overall reduction. This includes the consolidation of 27 divisions into eight and the complete elimination of four divisions.

In response to these anticipated cuts, Hasan Jasem al-Nowais, CEO of Abu Dhabi’s M42, expressed a proactive stance, stating, "Whatever is not being done in the US, we will do it here in Abu Dhabi." His remarks were made during an interview with Al Arabiya’s Hadley Gamble, emphasizing the UAE's commitment to filling the gaps left by potential U.S. healthcare funding reductions.

Meanwhile, Dr. Tom Mihaljevic, CEO and President of Cleveland Clinic, sought to downplay fears surrounding the funding cuts, arguing that the changes are not a defunding of the NIH but rather an effort to eliminate wasteful spending. He noted that for every dollar allocated for research, 60 percent goes to overhead costs, a practice that has not been questioned for too long. "I think there is a reasonable case to be made about how… we allocate the research dollars, and can we use them more efficiently?" he said, framing the administration's proposals as a necessary reevaluation of spending practices.

In contrast to the discussions about funding cuts, the Abu Dhabi Global Health Week also celebrated advancements in the UAE's healthcare system. Prof. Humaid Alshamsi, a renowned Emirati oncologist, launched his book titled Healthcare in the United Arab Emirates, which provides a comprehensive analysis of the UAE’s healthcare ecosystem. The book chronicles the evolution, achievements, and future direction of healthcare across all seven emirates. The launch featured a fireside chat with Dr. George Mathew, a pioneering doctor who has been instrumental in Abu Dhabi's healthcare landscape for nearly five decades.

During the launch, Prof. Alshamsi presented the first copy of his book to Dr. Mathew as a gesture of respect for his contributions to the healthcare sector. "I have always been deeply committed to advancing healthcare in the UAE. Witnessing the rapid transformation of our system—its innovations, milestones, and the challenges we continue to face—motivated me to compile this resource," Prof. Alshamsi stated. Dr. Mathew reflected on the changes in the healthcare system, saying, "It has been a privilege to witness the transformation of healthcare in this country. This book is a testament to the dedication and vision of our leadership that continues to shape its future."

The book, edited by Prof. Alshamsi and authored by a diverse group of experts, delves into healthcare policies, service delivery, and innovative practices that are shaping both the private and public sectors in the UAE. It also addresses contemporary topics such as artificial intelligence in healthcare, medical tourism, health economics, clinical research, and public health regulation. The event included a book signing session, allowing participants to engage personally with Prof. Alshamsi.

Another major highlight of the week was the strategic agreement signed by the Abu Dhabi Investment Office (ADIO) and the Department of Health – Abu Dhabi (DoH) with the Abu Dhabi Stem Cells Centre (ADSCC), New York University Abu Dhabi (NYUAD), and UAE University (UAEU) to accelerate the development of the emirate’s new Health, Endurance, Longevity, and Medicine (HELM) cluster. This groundbreaking initiative aims to establish Abu Dhabi as a global hub for biotechnology, MedTech, and digital health innovation, projected to contribute more than AED 94 billion to Abu Dhabi’s GDP and create 30,000 new jobs by 2045.

Her Excellency Dr. Noura Khamis Al Ghaithi, Undersecretary of the Department of Health – Abu Dhabi, remarked, "Abu Dhabi is not just investing in science, we are shaping the future of health. With the HELM cluster, we are bridging research, regulation, and real-world impact to create an ecosystem where innovation thrives and transforms lives." The partnership aims to establish a pioneering innovation hub that promotes cutting-edge research and development, commercialization, and new growth opportunities.

His Excellency Badr Al-Olama, Director General of ADIO, emphasized the importance of this collaboration, stating, "Abu Dhabi is advancing its role as a trusted destination for innovation, creating conditions for impactful research to thrive." The agreement aims to create a comprehensive framework to support advanced life sciences and biotechnology companies, facilitating their integration into global value chains.

Moreover, the partnership will focus on talent development, with plans for specialized training programs, internships, and workshops to nurture local talent in the life sciences sector. This collaborative approach will enhance the cluster’s capabilities and foster joint degree programs, research fellowships, and postdoctoral positions focused on human health research.

Fabio Piano, Vice Chancellor of NYU Abu Dhabi, remarked that this partnership builds on long-standing collaborations and sets the stage for significant progress in human health research. The strategic alliance marks a pivotal moment in the development of the HELM cluster, further solidifying Abu Dhabi’s position as a global leader in scientific innovation and knowledge-based economic growth.

As Abu Dhabi Global Health Week 2025 unfolded under the theme "Towards Longevity: Redefining Health and Well-being," the event showcased the emirate's commitment to advancing healthcare and innovation. With the potential challenges posed by U.S. funding cuts and the proactive strategies being adopted in the UAE, the future of healthcare in the region appears to be on a transformative path.