The Asian Development Bank (ADB) said on Friday that it has approved a 150 million U.S. dollars loan to help develop a comprehensive elderly care system in Yichang in central China's Hubei Province.

"The project in Yichang, Hubei will serve as a model for a comprehensive elderly care system in the country and help promote the provision of suitable care for older people with good facility design and efficient services," said ADB Senior Social Sector Specialist Hiroko Uchimura-Shiroishi.

The Manila-based bank said China has the largest elderly population in the world and the growing demand for elderly care far outpaces existing services.

"Developing a suitable and efficient long-term elderly care system is a huge challenge faced by many municipalities in the country," the multilateral lending bank said.

To address these problems, the ADB said the project will improve home-based and community-based care services and facilities, including for those suffering dementia, build a geriatric hospital and nursing home, and help develop a management scheme to ensure proper services and monitoring.

It supports the Chinese government's Healthy China 2030 plan, the ADB added.