Karnataka directorate of health and family welfare is going for massive upgradation of health systems in the state with a total outlay of Rs 167 crore.

The funds have come in from three sources. Rs 120 crore came in from World Bank. Rs.21 crores came from the Union government disbursed under the 11th Finance Commission. The Karnataka government provided a grant of Rs 26 crore through the National Bank of Agriculture Development (NABARD).

Rs 120 crores of the World Bank aid for the State's health and nutrition scheme under the Karnataka Health Systems Development Project (KHSDP) will be utilised for the upgradation of the existing health care centres. The sanction of the World Bank is allocated for the State's Infrastructure Challenge Fund which aims to strengthen the ongoing activities in the directorate of health and family welfare which include civil works and medical equipment purchase. Plans are underway to announce an insurance scheme for the rural areas utilising the aid.

Under the health and nutrition scheme, the State government has identified hospitals in the 27 districts with an aim to outsource the clinical services through a private- public partnership.

There is also a proposal to constitute a District Project Monitoring Officer in the cadre of Deputy Director (Health) to monitor and implement the health and nutrition scheme. Under this scheme the 27 district health offices will be opened and the employees salary component would also be covered with the funds. There will be a recruitment of 500 personnel to man the district health offices. Plans are underway to outsource the services of Class IV employees like peons and drivers, stated the sources from the Directorate of Health and Family welfare.

With the Central government grant of Rs 21 crore, the State is setting up seven regional modern diagnostic labs. The labs are coming up in the districts of Tumkur, Bidar, Hubli, Bellary, Mandya, Bagalkot and Chitradurga. The State has already spent Rs. 10.5 lakh for the facilities and the remaining amount is being allocated for the purchase of lab equipment. The labs are expected to be commissioned in March 2005.

The State government has been sanctioned Rs 26 crore from NABARD for setting up an additional 94 primary health centres (PHCs) in 24 districts in the State under the Reproductive Child Health (RCH) programme. The funding will cover training, civil works, equipment and furniture purchase. With this, the total number of PHCs in the State will be 1694. The deadline for completion is March 2005. NABARD has released Rs 19 crore till date. Sources informed that the work progressive is impressive as it is being supervised by the KHSDP and the construction has been granted to the Nagarjuna Construction Works.