ADB Approves $500 Mn Loan to Boost Tertiary Healthcare & Medical Education in Maharashtra

ADB's contribution seeks to foster a favourable policy environment for medical professionals, involving performance incentives, a new talent management policy, and establishing India's first state-led centres of excellence in healthcare and medical education.

The Asian Development Bank (ADB) has approved a $500 million loan aimed at enhancing the quality and affordability of tertiary healthcare and medical education in Maharashtra, India.

"ADB has been working with the state government of Maharashtra to achieve its vision of providing affordable and accessible tertiary health care to all by 2030 and strengthen a cadre of quality and professional medical practitioners," ADB's health specialist Nishant Jain said in a statement.

The Maharashtra Tertiary Care and Medical Education Sector Development Programme, financed by the ADB loan, is set to usher in pivotal policy reforms to fortify tertiary healthcare services and expand medical education, especially in underserved regions.

The program's objectives include the construction of four new medical colleges with resilient features, gender sensitivity, and social inclusivity, all equipped with tertiary care hospitals.

As part of the initiative, bed capacity in state hospitals will be increased, and a recruitment drive aims to onboard at least 500 doctors for the new institutions.

ADB's contribution aims to create a favourable policy environment for attracting and retaining medical professionals. This involves implementing performance incentives, introducing a new talent management policy, and establishing India's first state-led centres of excellence in healthcare and medical education.

The program's overarching goal is to alleviate the financial burden on patients by improving access to quality drugs. It also focuses on sustainable asset management with a pioneering climate-resilient asset planning policy.

Additionally, a performance management system will be introduced to foster competition among medical colleges, promoting excellence and efficiency in healthcare and education.

Through these measures, the ADB-backed program seeks to significantly contribute to the improvement of healthcare services and medical education in Maharashtra, addressing critical gaps and ensuring a more robust and accessible healthcare system for the state's residents.

Just days back, in a similar development, the Industries Department of Himachal Pradesh announced that it is gearing up to secure a loan of INR 250 Cr from the Small Industries Development Bank of India (SIDBI) in a strategic move to expedite the construction of the INR 350 Cr medical device park in Nalagarh.

Faced with financial constraints, the state government's decision to pursue a loan underscores the commitment to realising this vital healthcare infrastructure. Spanning a substantial 121.80 hectares, the medical device park aims to address the region's growing healthcare needs.