DBP and the Asian Development Bank (ADB) recently signed a P2.2-billion loan agreement for the ADB-Credit for Better Health Care (CBHC) project which will finance improvements in the country’s health care system.

DBP president & chief executive officer Reynaldo G. David said the loan will help make health care services more accessible and affordable to the poor, particularly women and children residing outside of Metro Manila. It is also in support of the national government’s health sector reform agenda and implementation program, Fourmula One for Health.

The loan, which will be coursed through DBP’s Sustainable Health Care Investment Program (SHCIP), will finance the construction of public health facilities and the acquisition of modern equipment of health care providers. Providers of maternal and child health care services and those who have established partnerships with the private sector will be given priority, enabling them to qualify for higher accreditation and increased financing from the Philippine Health Insurance Corporation.

The loan will also be used to fund small private health providers like midwifery clinics, community drug stores and diagnostic facilities to help them move to rural areas. It will likewise provide funds for capital investment and working capital to promote a more efficient health care delivery system through the outsourcing of services and establishment of private insurance schemes.

Local government units and private sector borrowers may apply for a loan ranging from P4.7 million to P23.5 million. DBP is also making the loan available for wholesale lending to accredited financial institutions such as microfinance institutions and rural and thrift banks. Eligible projects include civil works, infrastructure and equipment for clean water supply, sanitation, waste handling, mobile clinics, mobile diagnostics, and initial stock of drugs and medical supplies.