Abu Dhabi: The UAE offers a very rewarding environment for investors in the education sector, experts said at the private education investment forum in the capital today (May 4).
This is because of the great demand for private school seats, especially affordable and medium-priced schools, said Robert Lyttle, partner and co-head of education practice at international business advisory, The Parthenon Group.
According to Lyttle, the size of the education market is much bigger in UAE cities at $1.9 billion (Dh6.9 billion). This is in comparison to other thriving markets such as China, which has a smaller education market size in its cities of $1.7 billion (Dh 6.2 billion), and Indian cities which offer a market of $4.8 million (Dh17.6 million).
“So, while the market is crowded in Abu Dhabi for schools with premium fees, there is real demand for affordable schools that still generate profit while providing quality education,” he said.
According to the Abu Dhabi Education Council (Adec), a total of Dh2.4 billion has been invested in the past four years to set up 44 new schools in the emirate.
School operators also announced plans to expand their offerings.
Aldar Academies currently operates six schools that enrol about 4,600 pupils between them. Mohammad Al Mubarak, chief executive officer of parent company and developer, Aldar Properties PJSC, said two new schools are scheduled to open in 2016, and that there are plans to enter the market for schools with mid-tier fees in 2017.
Adnan Abbas, director of Al Nahda National Schools, said the school board was also looking into the feasibility of expanding the existing schools. The two schools within the group currently boast nearly 6,500 pupils.
