Union Minister for Health and Family Welfare Jagat Prakash Nadda has called upon the Government of Andhra Pradesh to extensively adopt the Public–Private Partnership (PPP) model to accelerate the expansion of healthcare infrastructure and improve the quality, efficiency, and accessibility of medical services across the State.

In a letter addressed to Andhra Pradesh Minister for Health, Medical Education and Family Welfare Satya Kumar Yadav, the Union Health Minister highlighted that PPP projects have emerged as a well-established and proven mechanism for attracting private investment, leveraging expertise, and enhancing service delivery in infrastructure sectors across the country.  

The Union Health Minister informed that the Government of India is extending substantial financial support to States for PPP projects in the health sector through the Viability Gap Funding (VGF) Scheme. Under this framework, funding support can go up to 80 per cent of the project cost, along with up to 50 per cent assistance towards operational expenditure for the first five years. The VGF support is to be shared equally by the Central and State governments.

In addition, Union Minister JP Nadda drew attention to the India Infrastructure Project Development Fund (IIPDF) Scheme, which provides financial assistance of up to Rs 5 crore per project for project development activities, including feasibility studies and technical advisory services, to help States structure bankable and sustainable PPP projects.

Union Minister JP Nadda expressed confidence that proactive engagement by the State leadership and strategic adoption of the PPP model would result in significant improvements in healthcare infrastructure, service delivery, and patient outcomes in Andhra Pradesh, while ensuring equitable access to quality healthcare services for all sections of society.