The UAE hosts the largest concentration of international branch campuses in the world, with Dubai alone home to roughly 40 foreign universities;NYU Abu Dhabi among the most prestigious.

Yet the competition, particularly from neighbouring Saudi Arabia and to a lesser extent Qatar, is intensifying. The former is spending big on education as part of its Vision 2030 plan to reduce reliance on oil. The latter is backing Education City in Doha, a large site that brings together branch campuses of several US universities.

At the same time, the UAE wants its own universities to support new sectors of the economy, such as AI and renewable energy. Branch campuses are part of this push, competing to show how they add value in a crowded market.

“Dubai is one of the world’s most dynamic centres for international higher education,” says Cedwyn Fernandes, Pro Vice Chancellor and director of Middlesex University Dubai.

It is the largest UK university in Dubai, offering British degrees to a diverse student body. The school now teaches more than 6,400 students from more than 120 countries, illustrating how international the UAE’s higher education sector has become.

Regional Competition

But competition in the Gulf is intensifying as Saudi Arabia and Qatar expand their university sectors. Observers note, however, that glossy campuses alone will not secure lasting influence in higher education.

“There’s no doubt the Gulf region can expand its global footprint,” says Simon Marginson, professor of higher education at the University of Oxford. “The Gulf States including UAE offer attractive facilities and protections to incoming institutions, students and faculty.”

Beyond the Gulf, southeast Asia has already established itself as another strong region for international education. Singapore hosted about 70,000 international students in 2023, while Malaysia is aiming for 250,000 by 2025.

Yet Marginson stresses this is not a zero-sum contest. “The two contenders have different regional positionings and their markets only partly overlap,” he says.

He even sees room for collaboration. “Perhaps there’s scope for UAE to advance its global role as a hub location in a networked partnership with Malaysia or Singapore... something like the NYU model of a degree in two locations – likely to be attractive to many families,” adds Marginson.

But even with these opportunities, risks remain. Branch campuses depend heavily on international enrolments and tuition fees, and that can be unstable. “It is important not to plan on the basis of inflated forward estimates; this has brought down many offshore ventures,” Marginson warns.

From Oil to AI

The UAE links its education plans to a bigger goal of moving beyond oil. Universities are being encouraged to focus on areas like AI, renewable energy, logistics and biotechnology to match the country’s economic priorities.

“The UAE is actively using all means at its disposal to align universities with diversification goals,” says Natasha Ridge, founding Executive Director at the Sheikh Saud bin Saqr Al Qasimi Foundation for Policy Research, in the UAE.

This includes, she adds, “benchmarking against top performing education systems, actively engaging with AI – and reviewing and revising programmes to ensure that they are meeting the demands of the labour market and the future of the country.”

Universities are adding courses in areas like AI, renewable energy and logistics. Internships are now widely promoted.

NYU Abu Dhabi is an example of how universities are following this strategy. Piano says the school combines work across different disciplines, with research aimed at both national priorities and global issues. This includes everything from AI and data analytics to health.

Piano notes that recent donations are helping to fund new research areas. Last year, NYU Abu Dhabi received a donation from investor and philanthropist Alan Howard to expand its work in AI, supporting research in areas such as machine learning.

NYU Abu Dhabi is not alone in this shift. Across the country, universities are tying their growth to national priorities.

Universities are working more closely with government and industry, aiming for research that supports the economy as well as academia. At Middlesex Dubai, new programmes in data science, cybersecurity, AI, sustainability and sport science reflect the UAE’s diversification goals.

The Cost Barrier

But prestige comes with high costs, and tuition in the UAE can be a barrier for many international students. Fees usually range from about $10,000 to $28,000 a year, while elite institutions such as NYU Abu Dhabi charge more than $65,000 in tuition alone.

“For international students there are definitely growing concerns about the affordability of HE,” says Ridge at the Al Qasimi Foundation, “particularly as the majority of private higher education institutions are run as profit making ventures and thus fee hikes are commonplace.”

One response: scholarships. But Ridge says the problem goes deeper. “In order to truly be a global hub it is necessary for the UAE to not only attract the best students but also to attract and retain the best faculty, and this is the key challenge.”

Oxford’s Marginson also warns against pricing oneself out of the market. “Customers are price sensitive and education providers are customer sensitive,” he says. Citing UK and Australian tuition rates that often exceed £22,000 per year, he points to an opportunity. “It can be smart to undercut the fee levels at parent institutions wherever possible,.

To attract more international students, universities are testing cheaper options such as online programmes, joint degrees with overseas partners and shorter courses that still meet academic standards.

These efforts appear to be paying off for some institutions. “Middlesex University Dubai has experienced a significant surge in international student applications over the past few years, with enrolments growing by over 50 percent between the 2023/24 and 2024/25 intakes,” Fernandes says.

He notes that many students from India, Russia and Africa are drawn to Dubai for its career-oriented courses, British degrees and access to a major business centre.

Many others are attracted by English-language teaching, familiar university brands and the country’s location between regions. For some, studying in the UAE also offers a pathway to job markets that may be harder to reach from home.

Student visas have become more straightforward to obtain, though options for long-term residency remain limited. Even so, the UAE is still seen by many families as a stepping stone to careers in Europe, Asia and Africa.

Piano points to NYUAD’s global footprint: the school now draws students and faculty from more than 120 countries. This diversity matches the UAE’s long-term goals for its universities, but making it last will take time.

While long-term planning is part of national strategy documents, observers warn that in a region accustomed to rapid change, maintaining patience can be difficult.

Marginson argues that education hubs often need government support and may not make money on their own. “Hubs as such will always be a loss leader,” he says.

The UAE promotes itself as a bridge between East and West, and expects its universities to reflect that role. That strategy is shaping the kinds of courses and degrees universities are now offering.

NYU Abu Dhabi has added new graduate programmes, such as a PhD in Astrophysics and Space Systems and an MFA in Art and Media, showing its aim to grow in key fields.

The Race for Prestige

The UAE still faces tough competition, and the rivals are not only regional: the UAE is also competing with established study destinations around the world.

“There must be a critical mass of such prestige in order to compete with the prestige of providers in the Anglosphere, Western Europe and now also China,” Marginson warns.

This will take steady investment, not only in buildings but also in teachers, scholarships and research.

It also requires resisting the temptation to scale too fast. “Fees find their own level,” Marginson says. “It is important not to plan on the basis of inflated forward estimates.”

The UAE has grown its higher education sector quickly. The bigger test now is keeping standards high, making study more affordable and tying universities more closely to the economy.

If it can do this, it could become one of the few Gulf states with a lasting place in global higher education.