Contacts: In Delhi: Sudip Mozumder (91 11) 2461-7241 smozumder@worldbank.org In Washington: Erik Nora (202) 458 4735 enora@worldbank.org WASHINGTON, July 31, 2008 ─ The World Bank today approved a US$520.75 million IDA credit to India in a major new attack on three diseases still killing thousands of Indians each year and affecting the lives of millions in poor and tribal communities. The credit also has tough new safeguards in place to prevent corruption. The National Vector Borne Disease Control and Polio Eradication Support Project – designed in cooperation with the Government of India, World Health Organization (WHO), and the Global Fund to fight AIDS, Tuberculosis and Malaria – will significantly boost effective prevention, diagnosis, and treatment services for malaria and kala azar in remote and backwards areas especially, and increase polio vaccinations. Malaria is still a significant health problem in India with more than two million cases reported every year. The severe form of falciparum malaria is often fatal and is rapidly increasing in India, reflecting growing resistance to chloroquine treatment, previously the primary malaria drug. Some 40,000 cases of kala Azar, a parasitic infection transmitted by sandflies, are reported yearly, mainly in very poor areas where housing conditions are unhygienic. Meanwhile, India is one of only four polio endemic countries left in the world and 268 cases of polio have been reported up to June this year, the majority in Uttar Pradesh and Bihar. “Malaria continues to be a major threat to the lives of millions of poor Indians through premature death, disability, and unnecessary suffering. This project uses the latest science on malaria control, including a new highly effective drug regimen, to effectively address this problem,” said Isabel Guerrero, World Bank Vice President for South Asia. “India, along with Nigeria, Pakistan, and Afghanistan, remains the only country still affected by the scourge of polio that shatters the future of hundreds of people, mostly young children. With this operation, we hope India will take the final step towards eradicating polio.” The World Bank has worked for the last seven months with the government of India to ensure that the project incorporates lessons learned from the recent India Detailed Implementation Review (DIR) which found indicators of fraudulent and corrupt practices, primarily related to procurement, in the earlier malaria control project as well as four other health projects. A comprehensive joint action plan by Government of India and the World Bank is the basis for the project’s procurement and financial management arrangements. The project design includes measures to reduce the risk of fraud and corruption including changes in project design, procurement, complaint handling, and increasing money and staff for supervision. The procurement of goods will be done through internationally-selected procurement agencies and special software will be used to detect indicators of fraud and corruption. Inspections will be performed on the quality and quantity of goods procured, before and after they are shipped. Special mechanisms have been put in place to monitor and evaluate the project implementation, including periodic reviews by third parties, local communities and household surveys. While proceeding with this project, the World Bank at the request of the government of India will not proceed with the three other health loans until procurement arrangements for these projects are satisfactory. “We have been working with senior officials in government for the last seven months to incorporate the lessons of the DIR in the design of the project,” said Guerrero. “It represents a significant departure from the past, both in terms of project design and project implementation.” India’s National Health Policy calls for reducing mortality from malaria by 50 percent and eliminating kala azar by 2010. The government has designed a significantly strengthened program to achieve these goals, which will be supported through this project. The program addresses technical and implementation deficiencies and includes new treatment policies and technologies prepared in partnership with national authorities and the WHO, incorporating lessons from international best practice. The areas in India most prone to malaria and kala azar are also among its poorest. The project will be implemented in 93 of the most malaria endemic districts in 11 states which account for about 90 percent of malaria cases in India. The project is expected to improve malaria prevention and treatment for over 100 million people living in these areas. The kala azar component will focus on 46 districts in three states ― Bihar, Jharkhand, and West Bengal ― that account for practically all kala azar cases in the country. India joined the global polio eradication efforts in 1995 by starting the “National Immunization Days” which now reach 180 million children. While India is close to being polio free, the India Expert Advisory Group for polio recently identified a substantial financing gap and expressed serious concerns about vaccine security. The polio eradication component of the project will therefore be used to purchase polio vaccines from UNICEF (acting as supplier) to cover vaccine requirements in the country from 2008 to 2011. This is expected to make a major contribution to the eradication of polio in India. The credit from the International Development Association, the World Bank’s concessionary lending arm, carries a 0.75 service fee, a 10-year grace period, and a maturity of 35 years. ### For more information on the Bank’s work in India, please visit http://www.worldbank.org.in For more project information, please visit: http://go.worldbank.org/DS30MBE050 |
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