The World Bank-supported project will boost the Kyrgyz Government’s efforts to improve health care and better target social assistance
WASHINGTON, May 3, 2013 – The World Bank’s Board of Executive Directors today approved a US$16.5 million financing for the Second Health and Social Protection Project for the Kyrgyz Republic. The project contributes to a common effort of the Kyrgyz Government, the World Bank, Swiss Agency for Development and Cooperation, KfW – German Development Bank, and other development partners to improve health outcomes in support of the 2012-2016 Den Sooluk National Health Reform Program, as well as enhance effectiveness and targeting performance of social assistance and services.
The objective of the National Health Reform Program is to establish conditions for the protection and improvement of the population’s health irrespective of social status and gender differences. Four priority health improvement areas were identified in Den Sooluk: cardiovascular diseases, mother and child health, tuberculosis, and HIV.
The project will carry on with the sector-wide approach (SWAp). This approach allows the Kyrgyz Government and donors to pool funds at the Treasury and results in strong coordination and effectiveness of aid, while ensuring the government’s leading role in the reform process.
Another component of the project will support the Kyrgyz Government’s efforts to enhance effectiveness and targeting performance of social assistance and social services aimed at supporting the poor and the vulnerable. The primary target groups to benefit from this component will be low income households, including those with special needs/disabilities, as well as poor families with children in general.
"We at the World Bank fully support the Kyrgyz Government’s determination to address a high burden of cardio-vascular diseases, including a high rate of mortality from strokes and heart attacks,” says Nedim Jaganjac, the Project’s Task Team Leader and the World Bank’s Senior Health Specialist in the Central Asia region. “Currently, the health sector in the country is struggling to reduce the rate of chronic diseases due to inadequate funding and deteriorated infrastructure. We are grateful that we can work together with the Kyrgyz Government and our development partners to address weaknesses of health care in the country."
The project will be implemented over five years by the Kyrgyz Ministry of Health together with the Ministry of Social Development. The World Bank allocates US$9.07 million as a highly concessional credit, and US$7.43 million as a grant. KfW and the Swiss Agency for Development and Cooperation have committed a total of US$32.5 million equivalent.
The World Bank’s overall mission in the Kyrgyz Republic is to reduce poverty, promote economic growth and shared prosperity. 45 percent of the World Bank’s assistance to the Kyrgyz Republic is in the form of grants. The other 55 percent is in highly concessional credits – no interest, and only a 0.75 percent service charge. Credits are repayable in 40 years, including a 10-year grace period, while grants require no repayment. The financial assistance to the Kyrgyz Republic since 1992 amounts to over US$1 billion.