MIGA Supports Public Health Care in Turkey
Investment will renovate public hospital infrastructure
View the press release in Turkish
Istanbul; Washington, DC, July 28, 2015 – The Multilateral Investment Guarantee Agency (MIGA)—the political risk insurance and credit enhancement arm of the World Bank Group—announced today it is supporting construction of a new hospital in central Turkey to help improve healthcare outcomes in the region. The project is part of the Turkish Health Public-Private Partnership Program (PPP) to renovate public hospital infrastructure.
MIGA has issued guarantees totaling $51.7 million to Meridiam Eastern Europe SARL of Luxembourg and Siemens Financial Services covering their investments in YZG Sağlık Yatırım A.Ş. in Turkey. The coverage is for a period of up to 20 years and 18 years respectively against the risks of transfer restriction, expropriation, and breach of contract.
The project involves the construction of a 475-bed hospital in the city of Yozgat under a 27-year design, build, finance, operate, and transfer project agreement. The project is expected to contribute to better health outcomes through the replacement of aging and obsolete infrastructure with more efficient buildings and modern technologies. The project is also expected to have a demonstration effect for other sectors where PPP models are under consideration as an alternative to improve social infrastructure.
MIGA has previously supported the Health PPP Program by issuing a guarantee to Meridiam for its investment in the Adana Integrated Health Campus—the first PPP developed under the program.
Meridiam CEO Thiery Deau said: "We welcome the continued collaboration with MIGA, especially as the transformation of Turkey's healthcare system is of vital importance and high on the government's agenda."
Keiko Honda, MIGA's Executive Vice President and CEO, said: "We are pleased to provide a second guarantee for Meridiam for its health care projects in Turkey. We continue to work to bring the public and private sector together in order to make a difference and meet the country's growing and evolving healthcare needs."
MULTILATERAL INVESTMENT GUARANTEE AGENCY
A Member of the World Bank Group
1818 H Street, NW, Washington, DC 20433
Mallory Saleson, MIGA
Tel: +1 202 473-0844
Cara Santos Pianesi, MIGA