IFC, the investment arm of the World Bank Group, has partnered with Odisha government to improve health infrastructure under PPP mode in the state by developing around 12 speciality hospitals.
"IFC and Odisha government have partnered to improve health infrastructure on public-private partnership model," the World Bank group firm said in a statement.
As the lead transaction advisor, IFC would structure the rollout of low-cost hospitals that would offer quality medical care at affordable prices to residents, especially those living in smaller towns and rural areas.
Under the affordable healthcare project in the state, around 12 hospitals with 50-200 beds each would be developed, it said.
At its full capacity of 2,400 beds, the project would increase the total beds in the state by eight per cent and increase availability of private beds by 15 per cent, it said.
"The government has taken a lead in developing practical and larger-impact models involving private sector partnerships to provide critically-needed health infrastructure. This project would create affordable healthcare facilities on a decentralised model," Arti Ahuja, Principal Secretary, Odisha Health and Family Welfare department said.
She said the project would provide cost-effective, quality and efficient healthcare services to ensure better health outcomes, especially for the economically disadvantaged group of people.
"This is the first large and systematic rollout of hospitals under the PPP mode in India. IFC would bring its global expertise in PPPs and healthcare services and experience in engaging with potential investors to the project," Ahuja said.
The project is expected to attract private investments worthUSD 30-50 million.
In the past, IFC has worked with the Odisha government to promote private sector-led growth in the strategic sectors of agribusiness and tourism,and implemented PPP projects in sectors such as energy-efficient street-lighting and solid waste management, she added.
Commenting on the partnership, IFC India Country Head Jun Zhang said, "Improving health outcomes for the underserved and in the priority low-income states has been a special focus for all our work in IFC. PPP can help create the right mix and balance for society's need for affordable public health services with the private sector's need for reasonable returns."
As of June 30, 2015, IFC's committed portfolio in India is over USD 5 billion.
