World Bank supports Turkey’s plan to expand public health
19-Dec-14, IFC
The International Finance Corporation (IFC) and Multilateral Investment Guarantee Agency (MIGA), members of the World Bank Group, announced today their support for the development of a €433 million integrated health campus in Adana, southern Turkey. The Adana campus is part of a nation-wide public-private partnership (PPP) program being implemented by the Turkish Ministry of Health to provide improved public healthcare services.
IFC will lend €35 million in loans to ADN PPP Saglik Yatirim,a special purpose company established by a consortium to build, finance and maintain the health campus, and arrange another €136 million from other financing sources, development finance institutions and international commercial banks. The German development finance institution DEG – Deutsche Investitions- und Entwicklungsgesellschaft mbH and Proparco, the subsidiary of the French Development Agency dedicated to financing the private sector, each provided long-term loans to the amount of €30 million. Other lenders include EBRD, KDB, BBVA, Siemens Financial Services, SMBC, and HSBC.
MIGA is issuing guarantees worth €142.1 million covering an equity investment into the project by Meridiam Eastern Europe SARL of France, one of the consortium members that established ADN PPP Saglik Yatirim. MIGA guarantees provide coverage against the risks of transfer restriction, expropriation, and breach of contract for a period of up to 20 years.