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RSAB Harapan Kita Construction and Integration of Three Diamond Hospitals Project

SUMMARY

STATUS
Approved
MEMBER
Indonesia
SECTOR
Health Infrastructure
E&S CATEGORY
Category B
PROJECT NUMBER
000945

FINANCING

APPROVED FUNDING
USD226.4 million
FINANCING TYPE
Sovereign

TIMELINE

CONCEPT REVIEW
March 6, 2025
FINANCING APPROVAL
October 30, 2025

OBJECTIVE

To enhance the availability, accessibility and quality of healthcare services at three national referral hospitals specializing in maternal and child health, cardiovascular diseases, and cancer care.

DESCRIPTION

The Project encompasses the reconstruction of the Rumah Sakit Anak Bunda Harapan Kita (Mother and Child Hospital) (RSAB Harapan Kita), provision of medical equipment at participating hospitals specifically for mother and child and cardiovascular services, and improvements to the connectivity and integration among RSAB Harapan Kita, Rumah Sakit Jantung dan Pembuluh Darah Harapan Kita (Cardiovascular Hospital) (RSJPD Harapan Kita), and Rumah Sakit Kanker Dharmais (Dharmais Cancer Hospital) (RS Kanker Dharmais).

The Project will increase the total bed capacity of RSAB Harapan Kita from 271 to 550 beds, provide specialized medical equipment, and integrate (physically, digitally and operationally) the three hospitals into an integrated healthcare complex to enhance service coordination and overall patient care. The Project centers on two transformative pillars: (i) digitalization, through the development of robust IT infrastructure to support electronic medical records, AI-enabled tools, and telehealth services; and (ii) green and resilience, by integrating energy-efficient systems, climate-resilient design including seismic response, and sustainable operational practices. Together, these components aim to modernize hospital operations, enhance service delivery, and ensure long-term environmental and system resilience.

Key Project Components:

  1. Component A: Infrastructure (Civil Works). This component focuses on the reconstruction of the RSAB Harapan Kita building and its supporting infrastructure at the existing site, covering a total construction area of approximately 141,688 square meters. The civil works under supporting infrastructure will also include features on advance waste management system i.e. expansion of the wastewater treatment plant and temporary hazardous waste storage area.
  2. Component B: Procurement of Medical and Non-medical equipment and Furniture. This component supports the enhancement of hospital service capacity through the procurement and installation of advanced diagnostic, therapeutic, and support equipment specifically for mother and child and cardiovascular services.
  3. Component C: IT system development (including consultancy services). This component aims to enhance hospital IT capacity to support the delivery of more effective and integrated healthcare services.
  4. Component D: Human Capital Development. This component focuses on strengthening the institutional capacity of healthcare and non-healthcare personnel to ensure effective operation of the upgraded facilities.
  5. Component E: Project Management. This component ensures effective planning, execution, and monitoring of the Project.

ENVIRONMENTAL AND SOCIAL INFORMATION

Applicable Policy and Categorization. AIIB’s Environmental and Social Policy (ESP), including the Environmental and Social Exclusion List (ESEL), the Environmental and Social Standards (ESSs), including ESS1 (Environmental and Social Assessment and Management), will apply to this Project. However, the Project does not trigger ESS 3: Indigenous Peoples, as there are no Indigenous Peoples within the Project area. The Project has been assigned a Category B classification due to its environmental and social (ES) risks and impacts, which are site-specific, temporary, reversible, and not unprecedented.

Environmental and Social Instruments. In line with the requirement of Bank’s ESP, an Environmental and Social Impact Assessment (ESIA) have been prepared, incorporating a social and gender assessment, a Stakeholder Engagement Plan (SEP), and an Environmental and Social Management Plan (ESMP). Abbreviated Resettlement Action Plan (ARAP), addressing land acquisition and resettlement impacts. The ESMP outlines a comprehensive set of mitigation measures and a monitoring plan to address the environmental risks and impacts during demolition and construction activities, and operation of new hospital buildings.

Environment and Social Aspects: The Project is located within a medical complex on the land owned by the Government of Indonesia. The key environmental risks and impacts identified include dust and fugitive emissions, noise and vibration from construction works and waste management challenges from hospital operation. This includes risks to public health and safety while hospital services remain operational during construction and demolition works, and management of hazardous waste during the operation. The Project is expected to provide significant social benefits, including enhanced hospital infrastructure and equipment, improved healthcare services, and job creation for local communities during the construction and operational phases. However, the Project may also generate certain social risks and impacts including economic displacement, Mitigation measures are proposed in the ESMP/ARAP to address or minimize those risks and impacts on the surrounding communities. Additionally, a gender assessment has been conducted, as part of the ESIA, to better understand the specific needs, priorities, and challenges faced by women, including vulnerable groups, in accessing hospital services. The findings informed the development of a Gender Action Plan (GAP), which includes capacity-building activities, addresses gender disparities and supports inclusive outcomes.

Occupational Health and Safety, Stakeholder Engagement and Information Disclosure: Risks include noise, dust, and pollution from demolition and construction activities, which could affect hospital staff, patients, and nearby communities. The ESMP outlines measures to mitigate these risks. Additional attention is given to the working conditions of health professionals and construction workers, ensuring compliance with occupational health and safety standards. The ESIA has identified relevant stakeholders, including Project beneficiaries, affected persons, and others interested in the Project, such as government agencies and hospital staff. A SEP, included within the ESIA, has been prepared. The SEP assesses stakeholder interests and concerns and outlines a strategy for engaging and consulting with them inclusively and effectively. The ESIA and the ARAP have been disclosed in English, with an executive summary provided in Bahasa Indonesia, ensuring accessibility for local stakeholders. These documents have been published on both the AIIB and Borrower’s websites, which will be updated as necessary. (Access link here, and here)

Project Grievance Redress Mechanism (GRM) and the Arrangement of Monitoring and Reporting: As part of the Project's ESIA and ARAP, a GRM is functional at the Project level. In addition, a separate worker-specific GRM will be established to address concerns and complaints from construction and hospital workers. The information of established GRMs and AIIB’s Project-affected People’s Mechanism (PPM) are disclosed appropriately. In addition, the PMU will be responsible for maintaining all Project progress, including the management of ES risks and impacts associated with the Project, and submitting regular Project progress reports to AIIB in accordance with the agreed reporting schedule. A dedicated Project Director will support the PMU Head in the monitoring and reporting work. AIIB will conduct periodic field monitoring and evaluation aligned with prepared ESMP/ARAP, making the Project in compliance with ESP and international good practices.

PROJECT TEAM LEADER

Asian Infrastructure Investment Bank

Deni Fauzi

Senior Investment Officer

deni.fauzi@aiib.org

 

BORROWER

Republic of Indonesia 

Dian Lestari

Director of Loans and Grants

dian.lestari74@kemenkeu.go.id

IMPLEMENTING ENTITY

Ministry of Health, Indonesia

Dr. Sunarto

Secretary-Director General of Advanced Health

Sunarto1006@kemkes.go.id