Partnership with the private sector is key to expanding Indonesia's health coverage and delivering health care services efficiently under Jaminan Kesehatan Nasional (JKN), its universal health insurance program. More accessible and affordable medical services across Indonesia will particularly help reduce maternal mortality and end preventable deaths of newborns and children under 5 years of age.

ADB invested $10 million in Hermina Hospitals' initial public offering and administered another $10 million from Leading Asia’s Private Infrastructure Fund. This anchor investment also played a significant role in attracting third-party investors and establishing confidence in Hermina’s access to capital markets. A successful IPO for Hermina demonstrated the viability of a business model that focuses on JKN adoption. It is expected that this partnership will encourage other private hospital service providers in Indonesia to partner with JKN and contribute to the overall improvement of health care services in the country.

Read "In Indonesia, the Private Sector is Improving Health Care for Mothers and Their Children" to learn more about ADB and Hermina partnership and its development impacts.


A prosperous future starts with healthy mothers and children. But in many densely populated developing countries in Asia and the Pacific, pregnancy, and childbirth still pose risks to mothers and their unborn children. In Indonesia, ADB partnered with Hermina to deliver affordable, accessible, and high-quality health care services. 

It is one of the largest private hospital groups in Indonesia. Though it has expanded its operations and developed a chain of multispecialty hospitals, Hermina’s primary focus remains maternal health and childcare. Hermina serves current and emerging middle-income families, especially in small cities and rural areas outside Jakarta, like Wonogiri.

"Hermina Wonogiri has 100 beds. This makes us a C-type hospital with health facilities such as operating rooms, five birthing rooms, and also intensive care units for adults, newborns, and pediatric patients. Our prime service is perinatology and neonatal intensive care. It is aligned with Hermina's vision to maintain focus on maternal and child health care," shares Dr Wenny Retno Sarie Lestari, Hospital Director of Hermina Wonogiri.

ADB invested $10 million in Hermina's initial public offering and administered another $10 million from Leading Asia’s Private Infrastructure Fund.

"ADB's investment in Hermina will directly improve access of women to quality healthcare in Indonesia. In addition to that, Hermina has committed to gender equity and women's empowerment in its business activities. The unique aspect of Hermina's business is catering to patients from JKN, the universal health coverage program in Indonesia. It encourages other private health service providers to partner with JKN and went a long way in improving the access to quality healthcare in Indonesia," discusses Aniruddha Patil, Unit Head, Education and Health Investments, ADB.

Patil also underscored that ADB's role as an anchor investor in the IPO of Hermina helped the company successfully raise over $140 million from other third-party investors and also help demonstrate the viability of its business model.

ADB's anchor investment attracted other investors in the Hermina IPO. ADB worked with DBS Bank to mobilize private financing in the Indonesian capital market.

DBS Bank's Executive Director for Pharmaceutical and Health Care, Eugene Hong, M.D. explains, "The health care assets are a rarity, especially in Southeast Asia. At the start of 2018, we decided to launch this transaction. It was a very bullish market at that time. But things took a quick turn for the worse and even within Indonesia we have an issue of a falling rupiah. So we took a step backward and assessed if we should proceed with this transaction.  This is where ADB comes in, where they address these issues with their due diligence before investing. Therefore, it provides a lot of confidence for investors to take that jump, to take that leap into investing in this transaction."

Hermina is a great example of DBS Bank's support for developing Asia. "This is exactly the type of transaction where DBS and ADB can really work together to provide social benefits and economic benefits to companies and clients in the region," discusses Simon Ong, Managing Director and Head of Financial Institutions, DBS Bank.

A prosperous Asia and the Pacific needs healthy and well-nourished people. ADB and its development partners are helping the private sector to provide accessible and affordable medical care for women and children, laying a foundation for healthy and prosperous lives.