MANILA, Philippines – The state-run Development Bank of the Philippines (DBP) has provided a syndicated loan worth 5 billion pesos to the local government of Makati City for the construction of a hospital.
DBP Chairman and CEO Emmanuel Herbosa said the government company assumed half of the 2.5 billion peso loan, while the state-run Land Bank of the Philippines and the Union Bank of the Philippines led by Aboitiz contributed 2 billion pesos and 500 million pesos respectively.
Herbosa said the loan was arranged by GIV Capital and co-arranged by DBP and Landbank.
On the other hand, UnionBank participated as a co-lender in the financing facility.
“This [hospital] The project will help meet the growing needs of the country’s healthcare infrastructure landscape. It also addresses the pressing need to develop efficient, effective and responsive health systems that deliver affordable, quality care,” Herbosa said.
According to the plan, the proceeds of the loan will be used to raise a 15-storey level 2 hospital that can accommodate a capacity of 360 beds and will be equipped with the latest equipment and facilities for medical operations, specializing in procedures and treatment. treatment of cardiovascular disease and cancer.
This will help increase the bed-to-population ratio of not only Makati City, but also Metro Manila, as the region’s figure currently stands at 1:741, below the norm of 1:500. established by the World Health Organization (WHO).
The hospital will be built as a joint venture between Makati City and Life Nurture Inc. through the public-private partnership (PPP) program.
Herbosa pointed out that PPP projects in general could accelerate the construction of any infrastructure given the variety of resources that can be exploited by developers.
Herbosa said the pandemic has prompted the public and private sectors to come together to strengthen health infrastructure to improve accessibility to medical services. As for the DBP, he promised that the bank would maintain its financing to the health sector to fill the gaps in equipment and services.
Last year, the country’s fifth-largest lender approved a total of 39.5 billion pesos in loans for infrastructure development and an additional 38.3 billion pesos in financing for local governments.