Bangalore: The World Bank has approved the second phase of the Karnataka Health System Development and Reform Project (KHSDRP-II) at a cost of Rs. 897.79 crore, which will focus on improving health services in the less developed areas of the State and serve vulnerable populations.

Minister for Health and Family and Welfare R. Ashok told presspersons here on Friday that the project would be implemented in the next five years.

The World Bank was giving a soft loan of Rs. 616.68 crore while the State Government would contribute Rs. 281.11 crore.

The credit from the International Development Association, the World Bank's concessionary lending arm, carried a 0.75 per cent service fee, a 10-year grace period, and a maturity of 35 years. With this, the bank resumes lending to the State, which it had stopped following alleged irregularities in the execution of Reproductive and Child Health (RCH) project-I.

Mr. Ashok said that for the approval of the project, the World Bank had laid down the condition that the State should increase the expenditure on health to an average of 5 per cent of government expenditure every year.

The Government agreed to invest about Rs. 478 crore additionally on this sector while the World Bank would give a grant of Rs. 239 crore.

Karnataka was the only State in the country to get a World Bank loan for developing hospital infrastructure, he said.

Aid for 100 PHCs

The Minister said that under the project, Rs. 127 crore would be spent on infrastructure development, wherein 100 primary health centres (PHCs) and 216 sub-centres would be built in backward areas.

Around 2,000 other PHCs, primary health units and sub-centres would be repaired.

"The Government has decided to allow non-governmental and private organisations to adopt 45 PHCs in remote areas and Rs. 12 lakh will be given to each PHC.

These organisations will have to provide services to the public free of cost.

Specialists will be employed on contract basis in hospitals where there is a need. For this, Rs. 25 crore has been earmarked," he said.

Mobile health units

To improve the health of vulnerable communities, Rs. 29.80 crore would be spent on providing healthcare staff and drugs and to run 60 mobile health units in tribal and remote areas.

Two Auxillary Nurse Midwife (ANM) training centres would be established at a cost of Rs. 2 crore and Rs. 43 lakh would be spent on training 300 tribal girls as ANMs.

They would be given a stipend of Rs. 1,000, he said.

Mr. Ashok said Rs. 40 crore had been earmarked for maintaining cleanliness in hospitals and health centres and for an awareness campaign on public health activities.

Health insurance

The Government would spend Rs. 44 crore to provide insurance coverage to 20 lakh below poverty line (BPL) families and the existing health insurance schemes would be studied.

"We will develop a suitable scheme in six months and this would be extended to another 40 lakh families," Mr. Ashok said.

An integrated Health Management Information System will be established at a cost of Rs. 23 crore, he added.

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