Patna, June 30: Chief minister Nitish Kumar held a high-level meeting with health department officials on Tuesday to discuss about the soon-to-be-launched state health investment promotion policy.

The policy aims to attract private investment in the state health sector.

On Monday, while holding Udyami Panchayat, Nitish had asked the health department officials to speed up the process of formulating the final draft of the policy. He had also said the state health investment promotion and the tourism policies would be launched in the state in July.

Sources said the health department, along with members of Bihar Chamber of Commerce and Industries (BCCI), Bihar Industries Association (BIA) and Confederation of Indian Industry (CII), has formulated the draft of the policy.

They added that Nitish held the review meeting on Tuesday to decide about the changes needed in the draft of the policy.

Talking about the present format of the draft of the health investment promotion policy, a source said: "The draft states that the policy would help attract private investment to the health sector, particularly in developing super-speciality hospitals, training institutes, paramedical institutions, nursing institutions and medical colleges. It would also help develop allied sectors such as pharmaceutical companies and manufacturers of medical instruments."

The source added: "Moreover, a private player would also be provided subsidy on loan. For example, an interested investor would be provided 7 per cent interest on the loan (up to Rs 35 crore) for five consecutive years."

Health secretary Anand Kishore said Tuesday's meeting decided that private players interested in starting, multi-speciality, super-speciality and medical college hospitals in the state would be provided term loans from banks.

"Private players would be provided subsidy on interests. This is being done so as to attract more and more private investment in the health sector in the state," Kishore said.

Kishore said the government had decided that it won't allow private players to start hospitals in the industrial areas of the state, including on land owned by Bihar Industrial Area Development Authority, because of the pollution factor.

The upcoming health policy drew mixed reactions from health experts.

Indian Medical Association state chapter vice-president Sunil Kumar Singh said: "Private investment in the healthcare sector would not only improve patient care facilities in the health sector but it would also improve the teaching and training of healthcare professionals."

Bihar Health Services Association general secretary Ranjit Kumar, however, said: "The state failed to spend Rs 5,500 crore under the National Rural Health Mission. Moreover, most state-run hospitals are facing infrastructure-related problems. Why cannot the government first improve the existing healthcare facilities in the state, mainly government hospitals, and then think about attracting private investments in the health sector?"