New Delhi, India, September 3, 2003—
The International Finance Corporation, the private sector arm of the World Bank Group, has signed an agreement to provide a loan of 900 million rupees (about $19 million) to Max Healthcare Institute Limited, India.
IFC’s loan will partially finance an integrated health care network in the national capital region that is estimated to cost about 4.2 billion rupees ($92 million). The network will comprise primary care clinics, ambulatory care centers, and a multispecialty tertiary care hospital. Two primary care units and three ambulatory care centers are already operational.
Guy Ellena, IFC’s Director for Health and Education, observed, “IFC’s participation in this project is part of our ongoing effort to help private companies meet an increasing demand for high quality health care services. We expect that, by introducing international standards of patient-centered care, standardized operating procedures, and transparent management, Max Healthcare will develop into a preferred partner for health insurers in India.”
Dimitris Tsitsiragos, IFC’s Director for South Asia, added, “Providing support for the development of infrastructure, including social infrastructure, is one of IFC’s key priorities in India. Health care facilities typically are capital-intensive and have a long gestation period. By providing long-term, local currency loans, IFC is playing an important role in the development of this sector.”
Max Healthcare is sponsored by India’s Max Group, which has interests in a number of service-oriented sectors, including information technology, life insurance, and clinical studies. Its strategic decision to enter the country’s health care sector is a response to the need for easily accessible services where patients are assured of quality health care at an affordable price.
Mr. Analjit Singh, Chairman, Max India Limited, said, “Max Healthcare is proud to partner with IFC. This partnership recognizes our efforts to establish benchmarks of medical excellence and outstanding quality of service. IFC’s loan will help us bridge the gap in the delivery of medical services and realize our vision of emerging as one of India’s leading health care providers.”
IFC's mission is to promote sustainable private sector investment in developing countries, helping to reduce poverty and improve people's lives. IFC finances private sector investments in the developing world, mobilizes capital in the international financial markets, helps clients improve social and environmental sustainability, and provides technical assistance and advice to governments and businesses. From its founding in 1956, IFC has committed more than $34 billion of its own funds and arranged $21 billion in syndications for 2,825 companies in 140 developing countries. IFC's committed portfolio at the end of FY02 was $15.1 billion with an additional $6.5 billion held for participants in loan syndications.
