International Finance Corporation (IPC), a member of the World Bank group, will provide $50 million as loan to Indian private healthcare major Apollo Hospitals for setting up hospitals in numerous smaller cities across the country.
The company expects to set up 15 new hospitals in the next three years, an initiative that will also create significant employment opportunities for local medical professionals.
"Creating an adequate hospital infrastructure alone will require $34 billion in private investment by 2012 in secondary and tertiary care hospitals, medical colleges, nursing, and hospital management schools," an IFC statement said.
"Apollo has long been one of IFC's key strategic clients both in the region and globally, given the scope of its operations and its willingness to invest in smaller cities," said IFC vice-president Rashad Kaldany.
"The project aligns with our strategy to invest in healthcare, one of India's largest service industries where the private sector's involvement is most critical," IFC said.
Added Apollo Hospitals founder and executive chairman Prathap Reddy: "This project will help us fulfil Apollo's vision to deliver medical services where they are needed most."