Saudi Arabia’s Biotechnology and Genomics Sector Set for Double-Digit Growth
Riyadh: In a bold move, Saudi Arabia plans to invest 2.5 percent of its gross domestic product in research and development by 2040, projecting a significant boost of $16 billion to its economy. This ambitious plan is expected to drive double-digit growth in the biotechnology and genomics sector.
Report Highlights Kingdom’s Growth Potential
A recent report by US-based consulting firm Arthur D. Little emphasized the substantial growth potential of Saudi Arabia in the biotechnology and genomics sector. The global biotech market, valued at $1.5 trillion in 2023, is projected to reach $4 trillion by 2030, driven by increased demand for improved healthcare and investments from both government and private sectors.
Strategic Investments and Expansion
The report highlighted Saudi Arabia’s directed R&D investments, totaling $3.9 billion in 2021, with a vision to become a global leader in innovation and R&D. By 2040, the Kingdom aims to invest 2.5 percent of its GDP annually, adding $16 billion to the economy and creating high-value jobs in science and technology.
Government Sector Leading the Way
In 2022, Saudi Arabia’s investment in research and development surged to $5.1 billion, marking a 32.7 percent increase from the previous year. The government sector played a significant role, infusing SR11.1 billion into R&D, constituting 58 percent of the nation’s total R&D budget.
Embracing Innovation in Healthcare
Patrick Linnenbank from Arthur D. Little highlighted the alignment between strategic investments and the growing demand for enhanced healthcare services in Saudi Arabia. The Kingdom’s biotech and genomics initiatives, including the Saudi Genome Project 2.0, are instrumental in propelling precision medicine forward using AI and genomics for personalized healthcare solutions.
Driving Genomics Research and Development
The transformative potential of AI and genomics in healthcare was underscored by Ankita Gulati, emphasizing Saudi Arabia’s current trajectory in genomics research and development. Collaborations with global pharmaceutical firms and key entities like King Abdullah International Medical Research Center are crucial for the Kingdom’s advancement in the biotech sphere.
Focus on Regulatory Framework and Collaboration
The report applauded the establishment of a regulatory framework in Saudi Arabia, with new guidelines from the Saudi Food and Drug Authority and oversight from the Saudi Research Development and Innovation Authority. Strategic collaborations and initiatives like KAIMRC’s Medical Biotechnology Park and KAUST’s Taqadam initiative are pivotal in nurturing a thriving biotech and genomics ecosystem.
Nurturing a Thriving Biotech and Genomics Ecosystem
While Saudi Arabia progresses towards leadership in the biotech landscape, the report acknowledged the need for further development across the value chain. Accelerator and incubator programs like the Biotech Startup Program in Dammam Valley play a crucial role in fostering innovation and growth in the sector.