The Karnataka government has approved an agreement with the Azim Premji Foundation to construct a charitable tertiary super-speciality hospital on a 10-acre parcel within the Rajiv Gandhi Heart Centre campus in Bengaluru. The foundation has committed to finance the project, with construction costs estimated at ₹1,000 crore and annual operating expenditure projected at around ₹350 crore.
Azim Premji Foundation hospital will expand tertiary care in India
Medical Education Minister Dr Sharanprakash Patil announced the decision following a cabinet meeting chaired by Chief Minister Siddaramaiah. The land, originally reserved in 2016 for the Institute of Gastroenterology, Gastrointestinal Sciences and Organ Transplant (IGOT), will be granted to the foundation on a 99-year lease to enable the development.
Under the agreement, the Azim Premji Foundation will build and operate a tertiary care hospital that includes facilities for all organ transplants and comprehensive cancer treatment. The project aims for full establishment within five years, with an initial phase delivering a 300-bed hospital within three years.
Dr Patil said approximately 70% of the beds will be provided free of charge, while the remaining 30% will be available at minimal rates comparable to those in government hospitals. The foundation will also meet the hospital’s annual running costs, estimated at ₹350 crore, and will directly manage the facility.
Governance arrangements include an administrative board to be constituted by the Azim Premji Foundation, with state representation: the Medical Education Minister, the secretary of the Medical Education Department and the secretary of the Finance Department will serve as members. The foundation has reportedly accepted the state’s proposal and committed to the timelines outlined by the government.
Healthcare experts say the project could significantly expand access to advanced tertiary care in Bengaluru and the wider region. By combining philanthropic funding with a long-term lease of public land, the state aims to accelerate delivery of specialised services such as multi-organ transplants and high-end oncology care without immediate budgetary strain on public finances.
Project proponents point to several anticipated benefits: increased capacity for complex surgical procedures, a higher volume of free or subsidised beds for low-income patients, and the potential to establish the hospital as a referral centre for neighbouring states. The presence of experienced administrative oversight from both the foundation and state officials is intended to ensure regulatory compliance and continuity of services.
Details remain to be finalised on staffing, procurement and partnerships for specialised departments, but the state expects the foundation to follow national medical regulations and accreditation standards. The arrangement reflects a growing trend in India of large philanthropic organisations partnering with state governments to deliver major public health infrastructure.
As the project progresses, authorities will publish further timelines and implementation plans. For now, the cabinet’s decision and the foundation’s commitment mark a substantial investment in tertiary healthcare capacity in Bengaluru, offering a model that other states may study for scaling high-cost medical services through public‑private philanthropic collaboration.
Key Takeaways:
- Azim Premji Foundation hospital will construct a charitable tertiary super-speciality centre on 10 acres at Rajiv Gandhi Heart Centre, Bengaluru.
- The foundation will fund the ₹1,000 crore project and meet annual running costs of around ₹350 crore, with a 99-year lease.
- Initial phase: a 300-bed hospital within three years, 70% of beds free and the remainder at nominal rates.
- The facility will provide all-organ transplant services and comprehensive cancer treatment, governed jointly with state medical officials.
