PPP Hospital Regional de Mato Grosso do Sul

Strengthening Healthcare Infrastructure in Mato Grosso do Sul through Public-Private Partnership

Brazil’s Sistema Único de Saúde (SUS) is one of the largest public health systems in the world, providing care for millions. But the sector faces mounting challenges of rising demand for specialized care, aging infrastructure, and the pressures of health and climate crises. Hospitals within the system need to modernize to keep up with new medical technologies and rising patient numbers.

In Campo Grande, Mato Grosso do Sul, the Hospital Regional de Mato Grosso do Sul (HRMS) is the main center for high-complexity care, including oncology, neurology, and organ transplants. With more patients needing care, it’s becoming essential to rethink how the hospital operates to maintain quality and efficiency.

A Public-Private Partnership for Health Infrastructure

The Regional Hospital of Mato Grosso do Sul is being developed through a public–private partnership (PPP) with support from the Inter-American Development Bank (IDB) and specialized consultants. The project will renovate the existing hospital and construct a new facility on the same site, significantly expanding capacity. The IDB supported financing strategies and risk mitigation to make the PPP more attractive to the private sector. 

Under the PPP model, the concessionaire will manage “Bata Cinza” (non-clinical) services, including logistics, cleaning, maintenance, pharmacy, and utilities, while the State retains full responsibility for clinical patient care. This ensures that medical services remain fully public and free under SUS, while operational efficiencies are introduced through private-sector management.

Key features and intended impacts include:

• The project is based on a 30-year concession, providing a long-term administrative model that ensures stability and supports sustained investment.
• Hospital capacity will expand significantly, with the number of beds increasing from approximately 362 to 577, representing a 60% growth.
• The hospital is expected to provide care to around 132,000 patients annually, covering consultations and medical procedures.
• Average hospital stays will be reduced from 7.1 days to 5.3 days, improving patient flow and overall efficiency.
• Approximately 20% of the hospital’s electricity will be sourced from solar power, reducing reliance on fossil fuels and lowering energy costs.
• A total investment of R$ 5.6 billion will be made over 30 years to cover construction, medical equipment, and infrastructure upgrades.

Embedding Sustainability and Social Inclusion

The HRMS PPP project has earned the FAST-Infra Self-Assessed Label for its integrated approach to sustainable performance and resilience. The project demonstrates positive contributions across five key criteria of the label: Climate Change Mitigation, Pollution Prevention, Resource Efficiency and Circularity, Inclusivity and Gender Equity, and Health and Safety across the Environmental and Social Dimensions. These are embedded into its operations, governance, and infrastructure.

• The project is aligned with the MS Carbon Neutral State Plan and foresees that 20% of the hospital's energy will come from renewable sources. 
• A photovoltaic system will generate a significant share of the hospital’s electricity, reducing costs and reliance on fossil fuels while ensuring reliable power for critical services.
• An on-site microwave treatment facility will process 438 tons of hospital waste per year, reducing landfill disposal by 146 tons and improving safety and efficiency in handling medical residues.
• Pollution prevention and control actions include investments in renewable energy, waste management, effluent treatment, rational water use, vector control, audits, and environmental education programs.
• The PPP creates employment opportunities for workers from 23% vulnerable groups, fostering inclusion and community development.
• Governance and diversity are strengthened, with women occupying 40% of board seats, promoting inclusive decision-making.

These commitments set a precedent for sustainability and equity in healthcare management.

Source: MS project is the second in the world to receive the FAST-Infra Label in the health sector

Recognized with the FAST-Infra Label

The Mato Grosso do Sul Regional Hospital PPP is the first healthcare project in Brazil and the fourth in the country to earn this Label. In the hospital sector, it is the second self-assessed project in the world alongside the International Children's Cancer Research Centre in Ghana.

 "This label reinforces Mato Grosso do Sul’s commitment to the social and environmental agenda and recognizes the good practices adopted in structuring the PPP of the Regional Hospital. The partnership with the private sector will play a very important role in the coming years, in promoting resilient and green infrastructure, aligned with global commitments and offering transparency and trust to investors. Beyond that, the project makes it possible to attract foreign investments, as it facilitates access to capital for those seeking this sustainability profile in projects." said the Secretary of Strategic Partnerships.

A blueprint for future healthcare projects

The HRMS PPP shows how hospitals can be designed to deliver high-quality care while addressing sustainability challenges. It demonstrates that health infrastructure can expand capacity, improve efficiency, and embed social and environmental responsibility from the ground up.

For Brazil, the project is a reference point in modernizing healthcare through PPPs. Globally, it provides a blueprint for how sustainable infrastructure can transform essential public services, creating hospitals that work for the people, the planet, and long-term growth.

In Brazil, the FAST-Infra Label is partnering with Pezco Economics to expand its adoption and capacity building.