Announcement of Tunisia Improves Family Health Care and Introduces Reforms in Hospital System on March 25, 1991

FOR IMMEDIATE RELEASE World Bank 1818 H Street.N.W., Washington. D.C. 20433, U.S.A. * Telephone: (202) 477-1234 BANK NEWS RELEASE NO.91/58 Contact: Fawzi Rihane (202) 473-2675 TUNISIA IMPROVES FAMILY HEALTH CARE; INTRODUCES REFORMS IN HOSPITAL SYSTEM WASHINGTON, March 25, 1991 -- Tunisia will use World Bank loans totaling $56 million to restructure the public health sector and improve family-planning services. Hospital Restructuring Support Project A $30 million World Bank loan will help Tunisia finance the restructuring of 22 of the country's largest hospitals and will support the implementation of reforms aimed at making the hospital system more efficient. Hospitals, which will be transformed into "public health establishments", will be granted financial and administrative autonomy and appropriate management procedures, human resource development programs and upgraded technical capabilities will be introduced. The restructuring program is expected to alleviate the heavy burden on government resources and help define new financial burden-sharing arrangements for the sector. Population and Family Health Project A separate project, supported by a $26 million World Bank loan, aims to reduce Tunisia's fertility rate by integrating strengthened basic health-care services into existing family-planning services to provide comprehensive, high-quality care for mothers and children. Clinics will be expanded while district hospitals, maternities and diagnostic centers will be strengthened through the provision of laboratories, X-ray equipment and ambulances. In addition, staff will be trained, and management capacity and strategic planning at the central and regional levels will be strengthened. The maintenance system for vehicles, equipment and buildings will be improved. The World Bank loans are for 17 years, including five years of grace, with a variable interest rate, currently 7.73 percent, linked to the cost of the Bank's borrowings. They also carry an annual commitment charge of 0.25 percent on the undisbursed balance. Note: Money figures are expressed in U.S. dollar equivalents.