Skip to Main Navigation
PRESS RELEASE June 27, 2019

USD 328 million World Bank loan for improved health services in Andhra Pradesh

NEW DELHI, June 27, 2019 –The Government of India, Government of Andhra Pradesh and the World Bank Executive today signed a loan agreement of USD 328 million to help improve the quality and responsiveness of public health services in Andhra Pradesh.

The state of Andhra Pradesh has over the years demonstrated a strong commitment to improving health outcomes. In 2017-18, it allocated 5 percent of its total public expenditure towards health and has initiated significant steps towards strengthening its public health system.

Maternal mortality ratio in the state declined by 52 percent and infant mortality fell to 35 per 1,000 live births from 54 over the decade from 2005. Ninety-three percent women now opt for institutional deliveries.

Despite these positive steps, there exist disparities within the state in coverage of maternal and child health services and quality of service delivery. Non-communicable diseases are also on the rise and form 60 percent of Andhra's burden of disease.

The World Bank loan will support the Government of Andhra Pradesh (GoAP) as it scales up its efforts to bring better health care to all its citizens, especially pregnant women and those at risk of non-communicable diseases, like hypertension, diabetes and cervical cancer.

The loan agreement was signed by Sameer Kumar Khare, Additional Secretary in the Department of Economic Affairs, Ministry of Finance, on behalf of the Government of India; Shanker Lal, Acting Country Director, World Bank India and Dr KS Jawahar Reddy, Principal Secretary, Department of Health, Medical & Family Welfare, Government of Andhra Pradesh.

“The Government of India's commitment to improve the country's health outcomes are fully mirrored in the state of Andhra Pradesh. This new project will help leverage the state’s own systems and processes, and build capacity, thus enhancing the sustainability of the interventions,” said Sameer Kumar Khare.

Public health institutions in the state will be strengthened through quality accreditation, putting in place an integrated online patient management or electronic health record system, and generation of quality information and its use in day-to-day management. Public feedback will be sought as a performance indicator for the state's public health institutions.

“Andhra Pradesh has been fully committed to improving its health outcomes of its citizens. The project will support the state in adopting innovative and technologically-driven approaches to improve access and quality of health services,” said Country Director, World Bank India, Junaid Kamal Ahmad.

The project will facilitate engagement of private service providers for improved quality of care of public health facilities;, improve the existing pharmaceutical stock management system and encourage empanelment of private pharmacies to dispense state-financed medicines to improve their access to the population. It will also support the rollout of a system for measuring and reporting on patient experience.

An important innovation in this project is the creation of pilot electronic sub-centers which will help those at risk of non-communicable diseases at the sub center or village level.

“Today, a primary health care facility exists for every 5,721 population on average in Andhra Pradesh and a secondary/tertiary care facility exists for every 200,000 population in the state. A continued focus on quality of care and availability of services will ensure quality health services to all, especially the poor,” said the World Bank Task Team Leader for the project, Mohini Kak.


New Delhi
Sudip Mazumder
Principal Communications Officer
Washington D.C.
Elena Karaban
Senior Communications Officer