CRAIOVA REGIONAL HOSPITAL

Promoter – Financial Intermediary

ROMANIA

Location

• Romania

Description

The project consists of the construction and equipment of the new Regional Hospital in Craiova. The new hospital will replace the existing fragmented Clinical County Emergency Hospital in the South West region.

Additionality and Impact

The project consists of the replacement construction and equipment of the new Regional Hospital in Craiova (Romania), which will be providing specialized health care services for the South West Region inhabitants. The project supports the Health policy objective. Health externalities include, but are not limited to, containment of infectious diseases and the indirect impact on economic productivity from a healthier population. The project also supports the increased quality of medical education. Strategic investments in human capital formation in the health care sector have significant economic and social externalities in the form of both wider health effects and knowledge. The new hospital will help attract and retain skilled medical professionals and increase productivity. The Project has benefitted from an extensive advisory and technical assistance package provided by EIB, including the European Investment Advisory Hub, JASPERS and PASSA, which had a significant impact on the operation. In order to ensure the proper project implementation, the promoter has been advised to create a Project Implementation Unit, supported by the Bank. The EIB's contribution will help accelerate these investments also by offering long-term financing at favourable conditions in comparison to the financial market, thus providing substantial value added. 

Objectives

The project's main objective is to improve the quality and efficiency of medical services for patients requiring acute emergency, secondary and tertiary level interventions requiring high-level technology and expertise as well as acting as the Cancer Treatment Centre (CTC) for the SW Region in Romania. In the current context of the COVID-19 crisis, the project is expected to contribute to the country's preparedness and response capacity against future pandemics.

Sector(s)

• Health - Human health and social work activities

Proposed EIB finance (Approximate amount)

EUR 368 million

Total cost (Approximate amount)

EUR 509 million

Environmental aspects

The project comprises the construction and equipping of medical facilities. Hospitals are not specifically mentioned in the EIA directive 2014/52/EU amending Directive 2011/92/EU, though the project is covered by Annex II of the Directive in relation to urban development. The Bank's services will verify during appraisal the screening decision of the competent authority. In line with Directive 2010/31/EU, the new and rehabilitated buildings will have to meet at least the relevant national targets on energy efficiency. The design energy performance of the hospital and any specific related targets to be met will be verified during appraisal. It is expected that the project will bring wider benefits to the community as healthcare is an element of social cohesion and economic development. The Bank will encourage the Promoter to take into account circular economy principles during the development and future operation of the project.

Procurement

The Bank will require the Promoter to ensure that contracts for the implementation of the project have been and will be tendered in accordance with the relevant applicable EU procurement legislation: Directive 2014/24/EU, as well as Directive 89/665/EEC as interpreted by the Court of Justice of the EU, with publication of tender notices in the Official Journal of the EU, as and where required.

Status

Signed - 11/04/2022