The Business of Healing: East Africa’s Untapped Strengths in the Global Medical Market
East African countries face significant challenges in meeting the essential healthcare needs of their growing populations. Traditionally positioned as recipients of healthcare solutions, it is time to shift the narrative toward how the region can actively contribute to the development and expansion of the global healthcare industry. The region’s success in mobile banking has created a digital foundation that presents an opportunity to leapfrog traditional models of healthcare delivery. Moreover, public trust in conventional pharmaceuticals is waning globally, fuelling renewed interest in traditional medicine. This conveniently positions the region due to its rich indigenous medical knowledge and biodiversity, particularly for cancer-related plant-based therapies. Advancements in research and development (R&D) and the potential for local pharmaceutical manufacturing could potentially redefine East Africa’s healthcare landscape.
These three pathways reflect a growing alignment between public health priorities, economic opportunity and cultural heritage, signalling a sustainable approach to health care that is both locally grounded and globally relevant. Each area’s unique limitations highlight the many challenges between the current healthcare system and the desired future. However, meaningful progress demands purposeful effort, and this article argues that East Africans can transform existing challenges into opportunities for innovation rather than viewing them as insurmountable obstacles.
Digital Health Innovation
As populations grow, many healthcare systems struggle to provide the resources necessary for adequate access to and quality of care. When it comes to access, close to 50% of the global population lacks access to basic healthcare services, largely due to financial barriers and a shortage of healthcare facilities and workforce relative to population size. On the other hand, quality care is the combination of safety, effectiveness, and patient-centeredness.
This widening gap presents an opportunity for mobile digital health innovations which can quickly expand access through remote services and contribute to improved quality of care through personalised health communication, for example.
East Africa has emerged as a global leader in leapfrogging traditional infrastructure by driving development through innovative mobile banking technologies. The region's widespread mobile money ecosystem not only transformed financial inclusion, but also lays a strong foundation for scaling mobile-based digital health solutions – particularly in regions where conventional healthcare infrastructure is limited. A study by McKinsey found that health systems in countries such as Kenya could achieve up to a 15% increase in efficiency by 2030 through the adoption of digital health tools, including virtual interactions and patient self-care and self-service, which can be assimilated into existing mobile-based platforms, such as M-PESA.
Figure 1: Projected impact of digital tools on healthcare expenditure efficiency gains in Kenya, Nigeria, and South Africa. Source
SMS-based mobile health interventions (mHealth) are already showing promising results across East Africa. Particularly in disease monitoring and improving antenatal care, therefore contributing to strengthened health systems. Programs like WelTel, mTRAC, and The Wired Mothers have helped reduce disease response times, improve medication availability and enhance maternal health through appointment reminders, health education and two-way communication.
However, 34% of the East African population has access to healthcare, surpassing internet access which stands at 26% of the population. This discrepancy along with a below average level of digital literacy and technology infrastructure in the region may reduce the feasibility of digital services as a means for improved healthcare access and quality.
It is worth noting that investments in digital infrastructure are generally more cost-effective and scalable compared to traditional healthcare infrastructure. The latter requires substantial investments which are more time-consuming and are less flexible in adapting to rapid population growth. Whereas digital infrastructure projects attract more investments through public-private partnerships and contribute to economic growth.
Ultimately, improvements in digital infrastructure and literacy require active support from governments, as they play a critical role in enabling access, funding, and policy direction. Equitable access to digital services and skills is already a key priority in East Africa, driven by the overarching goal of inclusive economic growth and social development. With this foundation in place, the next logical step is to explore how different industries can leverage the expanding digital market. Hence, digital health innovation presents significant opportunities for key players in the region.
Traditional Medical Knowledge & Resources for Research & Development
The Information Era has seen a rising tide of public scepticism toward major corporations, particularly in the pharmaceutical industry. Reasons include the perception that ‘Big Pharma’ prioritises profits over public health, and the cascading consequences of drug pollution. For example, the opioid crisis in the United States has been described as “a man-made plague”, in reference to the intentional promotion of the drug by pharmaceutical companies and the suspected corruption that enabled it. Additionally, pharmaceutical pollution is a growing threat, with improper disposal in East African countries contributing the rise of antibiotic resistance, further exacerbating public health risks.
Consequently, there has been a resurgence of public interest in herbal remedies for various reasons, though primarily driven by the dissatisfaction with manufactured drugs. Ethnobotany serves as an increasingly valued foundation for drug development by offering culturally rooted, cost-effective alternatives, while supporting biodiversity conservation. The global herbal medicine market is expected to be worth $533.6 billion by 2033, as extraction techniques and quality standards improve.
Therefore, East Africa is well-positioned to contribute to the global trend towards herbal medicine, as it is rich in medicinal plants and traditional knowledge that could feed into new drug discovery or products. Uganda, Ethiopia, and Kenya hold prominent positions in the region for having the highest documented number of plant species traditionally used for anti-cancer properties. With cancer-related deaths predicted to reach 8.8 million by 2030, these countries have the potential to become key R&D hubs for standardisation and export.
Developments in all three countries reflect the growing support for traditional medicine: Uganda is working to promote R&D under the Natural Chemotherapeutics Research Institiute, Ethiopia recognised traditional medicine as a core pillar of the National Health Policy, and Kenya is conducting community initiatives like the ‘Cancer Palliative Garden’ converging traditional knowledge and scientific research.
Significant challenges in this field, however, include weak enforcement of existing regulations as well as declining biodiversity and knowledge of traditional medicine. Low public appreciation coupled with fragmented stakeholder collaboration further hinder progress in translating indigenous knowledge and resources into validated healthcare solutions.
To overcome these limitations, broad stakeholder engagement, including local communities, researchers and policymakers, is essential for strengthened regulatory implementation, conservation efforts and efficient documentation. Traditional medicine is historically regarded as primitive or unscientific reflecting the erosion of cultural preservation. However, collaboration with researchers and policymakers can help shift these perceptions, fostering a more evidence-based and respectful understanding.
Regional Pharmaceutical Manufacturing Hub
To further tap into the market potential for herbal medicine, East African countries can expand beyond R&D by investing in pharmaceutical manufacturing. The pharmaceutical sector stands to benefit significantly from recent developments of frictionless trade across the continent, highlighting tremendous investment opportunities. Local governments are increasingly prioritising local production and regional integration to reduce dependency on imports. Moreover, nearly half of the entire continent’s population lacks regular access to essential medicines, which include antibiotics, antimalarials, and pain relievers.
Local production to meet the rising demand for accessible medicines shows potential for progress with industrial parks and tax incentives for pharmaceuticals emerging across the region, particularly in Kenya, Uganda, and Ethiopia. The East African drug market is expected to be valued at $4.4 billion by 2033 yet current manufacturers can only satisfy about 30% of the market demand.
Development in local production is largely inhibited by high capital costs and fragmented regulations which complicate drug registration processes leading to increased costs and delays. However, initiatives like the East African Community Medicines Regulatory Harmonization Programme can streamline drug regulations across the region therefore reducing compliance costs and attracting investments.
Localised pharmaceutical manufacturing would also necessitate improved intellectual property policies which nurture innovation, especially in digital health. Moreover, since breakthrough science relies on collaborative effort, expanding cross-country research is crucial. For example, Kenya’s KEMRI-Wellcome Training Programme and Germany’s Heidelberg University combine resources and expertise to advance malaria research and vaccine development
Conclusion
East Africa’s healthcare innovation has the potential to advance on multiple fronts. Digital health tools can expand access and improve quality. Whereas traditional medicine R&D validates cultural practices once dismissed as primitive and fosters a more inclusive view of healthcare. Concurrently, regional investments in pharmaceutical manufacturing offer solutions to medicine shortages and economic dependence. While challenges such as infrastructure gaps and regulatory fragmentation remain, coordinated efforts across government, academia and private sectors are paving the way for integrated, resilient systems. By embracing both modern technology and indigenous knowledge, East Africa can respond to its own healthcare needs but also position itself as a contributor to sustainable health innovation.
