UK Businesses Urged to Seek Opportunities in the Middle East
United Kingdom-based businesses have been urged to broaden their horizons into the Middle East.
Tim Reid, the chief executive officer of UK Export Finance (UKEF), believes the economic transformation taking place makes it hugely attractive for UK businesses.
Reid says companies in sectors such as digital innovation, medical systems, civil engineering, high-technology production and professional consultancy should target the region.
The Middle East is Changing Rapidly
Middle East governments are investing heavily in diversifying their economies after decades of depending on the same traditional sources of revenue.
The United Arab Emirates (UAE), Saudi Arabia, Qatar, Bahrain and Kuwait all have very ambitious economic visions, creating massive demand for international expertise, technology and infrastructure.
This presents an opportunity for UK-based companies to provide their knowledge and specialist capabilities. Reid highlighted some examples of UK businesses already benefiting from the demand.
For instance, Hertfordshire-based Masters Speciality Pharma secured over £2.3 million worth of contracts to supply medicines to Saudi Arabia in 2025.
UK companies have also been supplying microscopy equipment to Saudi Arabia, fire engines to Iraq and sports technology to the UAE.
Finance is One of the Biggest Challenges
Smaller companies often struggle to secure enough working capital, manage payment risks and deal with unfamiliar markets, making it difficult to pursue international contracts.
This is where the UKEF comes in. Its General Export Facility helps businesses to access finance which can support their export growth.
The Export Working Capital Scheme helps with specific international contracts, while the Export Insurance Policy protects businesses against losses that stem from non-payment.
Masters Speciality Pharma’s experience is a great example of how this support can make a major difference. UKEF insurance allowed HSBC UK to increase the company’s credit limit, giving them the working capital to fulfil their Saudi contracts.
For companies with the products and expertise that don’t have the financial capacity to pursue major Middle Eastern contracts, this support could be decisive.
Gambling is Another Potential Opportunity
The Middle East has traditionally frowned upon all forms of commercial gaming, with most countries instituting blanket bans on the activity.
However, that has not stopped many Arab citizens from bypassing the local restrictions to enjoy the thrill of playing games at online casinos.
The best online casino in Kuwait welcomes players from the region, but operates under a licence issued overseas. The Kuwaiti government misses out on the tax revenues generated.
Some Middle Eastern nations have reconsidered their stance towards gambling. These include the UAE, which has established a regulatory authority to oversee commercial gaming.
The UAE is eager to attract businesses with experience in regulated gambling markets, and the UK boasts one of the most mature gambling ecosystems worldwide.
They have companies operating across sportsbook technology, casino platforms, payments, identity verification, responsible gambling and compliance.
UK firms with the expertise can help new Middle Eastern markets develop the infrastructure they need to properly regulate online gambling. They can also supply world-class gambling products.
They can deliver technology platforms that assist in monitoring player activity, age and identity verification systems, anti-money-laundering tools, payment infrastructure and responsible gambling solutions.
Local Relationships and Engagement Matter
UK businesses need to understand local licensing requirements, consumer-protection rules and compliance obligations before they begin operations.
Reid noted that relationships and face-to-face engagement are important, with the UKEF maintaining teams in markets including the UAE and Saudi Arabia.
UK embassies and government trade teams can also offer useful insights into the local commercial scene and help businesses understand how to approach prospective customers and partners.
This local knowledge is especially important in new sectors where regulations and commercial practices are still taking shape.
Ultimately, the uncertainty of stepping into a new market in the Middle East should not lead to commercial paralysis. The bigger risk for UK firms is arriving too late.
