Common use of Execution of the Project Clause in Contracts

Execution of the Project. (a) The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this Agreement, and, to this end, shall carry out the Project through XXXX with due diligence and efficiency and in conformity with appropriate educational, administrative and financial practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower and the Association shall otherwise agree, the Borrower shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 to this Agreement. (a) Except as the Association shall otherwise agree, procurement of the goods, works and services required for the Project and to be financed out of the proceeds of the Credit shall be governed by the provisions of Schedule 3 to this Agreement, as said provisions may be further elaborated in the Procurement Plan. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference acceptable to the Association, and furnish such update to the Association not later than twelve (12) months after the date of the preceding Procurement Plan, for the Association’s approval. Section 3.03. For the purposes of Section 9.06 of the General Conditions and without limitation thereto, the Borrower shall: (a) prepare, on the basis of guidelines acceptable to the Association, and furnish to the Association not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower and the Association, a plan designed to ensure the continued achievement of the Project’s objectives; and (b) afford the Association a reasonable opportunity to exchange views with the Borrower on said plan.

Execution of the Project. (a) The Borrower declares its commitment to the objectives objective of the Project as set forth in Schedule 2 to this AgreementProject, and, to this end, shall carry out the Project Project, through XXXX MSPBS, with the assistance of the Participating Departments through their respective DRs, with due diligence and efficiency and in conformity with appropriate educationaladministrative, administrative financial, social, health care and financial environmental practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower and the Association shall otherwise agree, the Borrower shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 to this Agreement. (a) Except as the Association Bank shall otherwise agree, procurement of the goods, works and services required for the Project and to be financed out of the proceeds of the Credit Loan shall be governed by the provisions of Schedule 3 4 to this Agreement, as said provisions may be further elaborated in the Procurement Plan. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference guidelines acceptable to the AssociationBank, and furnish such update to the Association Bank not later than twelve (12) 12 months after the date of the preceding Procurement Plan, for the AssociationBank’s approval. Section 3.03. For the purposes of Section 9.06 9.07 of the General Conditions and without limitation thereto, the Borrower shall: (a) prepare, on the basis of guidelines acceptable to the AssociationBank, and furnish to the Association Bank not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower and the AssociationBank, a plan designed to ensure for the continued achievement future operation of the Project’s objectives; and (b) afford the Association Bank a reasonable opportunity to exchange views with the Borrower on said plan. Section 3.04. For the purposes of assisting MSPBS in the overall management of the Project, the Borrower shall: (a) maintain throughout the execution of the Project, within MSPBS, a project administration unit (the UAPI) with functions and responsibilities acceptable to the Bank; (b) create and maintain throughout the execution of the Project, within MSPBS, an insurance technical unit (the ITU) with functions and responsibilities acceptable to the Bank and staffed with a coordinator, technical experts and other personnel in number and with qualifications and experience acceptable to the Bank; and (c) create and maintain throughout the execution of the Project, an administrative unit for the MCBI Fund (the MCBI Fund Administrative Unit) with functions and responsibilities acceptable to the Bank and staffed with personnel in number and with qualifications and experience acceptable to the Bank. Section 3.05. For the purposes of implementing Part A.1 of the Project, the Borrower shall prepare, and thereafter maintain during the execution of the Project, a list of eligible health services which constitute the EPS and prices for such services (the Nomenclador), to be provided by the Authorized Health Service Providers, acceptable to the Bank. Section 3.06. The Borrower and the Bank shall jointly review once every year during Project implementation, beginning on January 1, 2007, the Capitation Payments amounts, the eligible health services and prices for such services included in the Nomenclador referred to in Section 3.05 of this Agreement and adjust as necessary in a manner satisfactory to the Bank. Section 3.07. (a) Without limitation of the provisions of Section 3.01 of this Agreement, the Borrower shall carry out the Project in accordance with: (i) operational guidelines for Part A.1 of the Project (the Operational Guidelines), satisfactory to the Bank, which shall contain, inter alia: (A) the terms of reference, functions and responsibilities for the personnel of the ITU responsible for Project coordination, monitoring and evaluation of the Project; (B) the criteria, detailed rules and procedures for the Capitation Payments; (C) the indicators to be used in the monitoring and evaluation of the Project; (D) draft models for the Annual Management Agreement and the Health Service Provider Agreements; (E) criteria for the conversion of Eligible Population into Enrolled Population, including procedures, activities and monitoring indicators for the enrollment of said population, (such criteria shall also ensure adequate and culturally appropriate access by indigenous peoples to the MCBI); (F) criteria for the conversion of Eligible Departments into Participating Departments, including procedures, activities and monitoring indicators for the compliance of the requirements for such conversion; (G) procedures for deletion from lists of the Enrolled Population of children as they become older than five years; and (H) criteria for selection of Authorized Health Service Providers and their certification by the Superintendencia de Salud; and (ii) an operational manual for Parts A.2 through E of the Project (the Operational Manual), satisfactory to the Bank, which shall contain, inter alia: (A) the procedures for procurement of works, goods and services, as well as for financial management and audits of the Project; and (B) the flow and disbursement arrangements of Project funds except for funds under Part A.1 of the Project.

Execution of the Project. (a) The Borrower declares its commitment to the objectives objective of the Project as set forth in Schedule 2 to this AgreementProject, and, to this end, shall carry out the Project through XXXX MINEDUC with due diligence and efficiency and in conformity with appropriate educationaladministrative, administrative education, economic, financial, social and financial environmental practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon The Borrower shall, in the provisions carrying out of paragraph Part B.1 of the Project, enter into agreements with each Beneficiary, under terms and conditions substantially similar to those of the model form contained in the Operational Manual (athe Grant Agreements), such agreements to provide for: (i) the transfer by the Borrower to such Beneficiary, on a grant basis, of this Section the funds required by such Beneficiary to carry out an Innovation Subproject; and except (ii) the obligation of such Beneficiary to carry out such Innovation Subproject as provided in the Operational Manual. (c) The Borrower shall exercise its rights under the Grant Agreements in such manner as to protect the interests of the Borrower and the Association Bank and to accomplish the purposes of the Loan, and, except as the Bank shall otherwise agree, the Borrower shall carry out the Project in accordance with the relevant provisions of the JFA as applicablenot assign, the Operational Manualamend, the EMPabrogate, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 waive or fail to this Agreementenforce any Grant Agreement or any provision thereof. (a) Except as the Association Bank shall otherwise agree, procurement of the goods, works and services required for the Project and to be financed out of the proceeds of the Credit Loan shall be governed by the provisions of Schedule 3 4 to this Agreement, as said provisions may be further elaborated in the Procurement Plan. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference guidelines acceptable to the AssociationBank, and furnish such update to the Association Bank not later than twelve (12) 12 months after the date of the preceding Procurement Plan, for the AssociationBank’s approval. Section 3.03. The Borrower shall maintain, during the execution of the Project: (a) a unit in DESUP responsible for Project coordination and management (the Project Department), such unit to maintain a structure and functions satisfactory to the Bank, and to have qualified staff in adequate numbers as required to carry out its responsibilities; and (b) a unit in DESUP responsible for the collecting, validating, evaluating and disseminating data on tertiary education (the Tertiary Education Observatory Unit), such unit to maintain a structure and functions satisfactory to the Bank, and to have qualified staff in adequate numbers as required to carry out its responsibilities. (a) The Borrower shall, in the carrying out of Part B.2 of the Project, through MINEDUC, enter into agreements with each University, under terms and conditions substantially similar to those of the of the model form contained in the Operational Manual (the Institutional Performance Agreements), such agreements to provide for: (i) multi-year Institutional Effectiveness Subprojects with related targets for implementation; (ii) funding commitments for implementation as per the costing of proposed activities, including the amounts to be financed out of the proceeds of the Loan; (iii) financial reporting requirements; (iv) payment provisions based on targets met; and (v) indicators to monitor progress of the Institutional Effectiveness Subproject and the related targets, and to be used as qualitative and quantitative evidence of targets achieved to pace funding under the Institutional Performance Agreement; (b) the Borrower shall exercise its rights under the Institutional Performance Agreements in such manner as to protect the interests of the Borrower and the Bank and to accomplish the purposes of the Loan, and, except as the Bank shall otherwise agree, the Borrower shall not assign, amend, abrogate, waive or fail to enforce any Institutional Performance Agreement or any provision thereof; and (c) not later than three months after the Effective Date, enter into at least three of such Institutional Performance Agreements. Section 3.05. The Borrower shall: (a) maintain policies and procedures adequate to enable it to monitor and evaluate on an ongoing basis, in accordance with the Performance Indicators, the carrying out of the Project and the achievement of the objective thereof; (b) prepare, under terms of reference satisfactory to the Bank, and furnish to the Bank, on or about April 15 each year, commencing April 15, 2007, a report integrating the results of the monitoring and evaluation activities performed pursuant to paragraph (a) of this Section, on the progress achieved in the carrying out of the Project during the period preceding the date of said report and setting out the measures recommended to ensure the efficient carrying out of the Project and the achievement of the objective thereof during the period following such date; and (c) review with the bank, by April 30 each year, or such later date as the Bank shall request, the report referred to in paragraph (b) of this Section, and, thereafter, take all measures required to ensure the efficient completion of the Project and the achievement of the objective thereof, based on the conclusions and recommendations of the said report and the Bank’s views on the matter. Section 3.06. The Borrower shall carry out the Project in accordance with an operational manual satisfactory to the Bank, said manual to include, inter alia: (a) the procedures for the carrying out, monitoring and evaluation of the Project; (b) criteria for selection of Beneficiaries, Universities, Innovation Subprojects and Institutional Effectiveness Subprojects; (c) requirements for implementation of Innovation Subprojects and Institutional Effectiveness Subprojects; and (d) model forms for the Grant Agreements and Institutional Performance Agreements. Section 3.07. The Borrower shall carry out the IPP in accordance with its terms. Section 3.08. For the purposes of Section 9.06 9.07 of the General Conditions and without limitation thereto, the Borrower shall: (a) prepare, on the basis of guidelines acceptable to the AssociationBank, and furnish to the Association Bank not later than six (6) months after before the Closing Date or such later date as may be agreed for this purpose between the Borrower and the AssociationBank, a plan designed to ensure for the continued achievement future operation of the Project’s objectives; and (b) afford the Association Bank a reasonable opportunity to exchange views with the Borrower on said plan.

Execution of the Project. (a) The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this AgreementProject, and, to this end, shall shall: (i) through the MSP, cause the XXXX Agency to carry out Part A of the Project through XXXX with due diligence and efficiency and in conformity with appropriate educationaladministrative, administrative financial, social security and financial technical practices; and (ii) carry out Parts B and C of the Project through the MSP with due diligence and efficiency and in conformity with appropriate administrative, financial, social protection and technical practices and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower and the Association Bank shall otherwise agree, the Borrower shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 5 to this Agreement. (c) The Borrower shall make the proceeds of the Loan allocated from time to time to Category (1) available to the XXXX Agency on a grant basis in accordance with its budgetary procedures. (d) The Borrower, represented by the Minister of Social Policy, shall conclude the Implementation Agreement with the XXXX Agency, represented by its President, under terms and conditions which shall have been approved by the Bank. (e) The Borrower, through the MSP, shall exercise its rights under the Implementation Agreement in such manner as to protect the interests of the Borrower and the Bank and to accomplish the purposes of the Loan and, except as the Bank shall otherwise agree, the Borrower shall not assign, amend, abrogate or waive the Implementation Agreement or any provision thereof. (a) Except as the Association Bank shall otherwise agree, procurement of the goods, works and services required for the Project and to be financed out of the proceeds of the Credit Loan shall be governed by the provisions of Schedule 3 4 to this Agreement, as said provisions may be further elaborated in the Procurement Plan. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference guidelines acceptable to the AssociationBank, and furnish such update to the Association Bank not later than twelve (12) months after the date of the preceding Procurement Plan, for the AssociationBank’s approval. Section 3.03. For the purposes of Section 9.06 9.07 (c) of the General Conditions and without limitation thereto, the Borrower shall: (a) prepare, on the basis of guidelines acceptable to the AssociationBank, and furnish to the Association Bank not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower and the AssociationBank, a plan designed to ensure for the continued achievement future operation of the Project’s objectives; and (b) afford the Association Bank a reasonable opportunity to exchange views with the Borrower on said plan.

Execution of the Project. (a) The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this AgreementProject, and, to this end, shall carry out the Project through XXXX SHD, assisted by the other Executing Entities, with due diligence and efficiency and in conformity with appropriate educationaladministrative, administrative public health, financial, managerial, social, environmental and financial practices, technical standards and practices and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower and the Association Bank shall otherwise agree, the Borrower shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 to this Agreement. (a) Except as the Association Bank shall otherwise agree, procurement of the goods, works and services required for the Project and to be financed out of the proceeds of the Credit Loan shall be governed by the provisions of Schedule 3 4 to this Agreement, as said provisions may be further elaborated in the Procurement Plan. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference guidelines acceptable to the AssociationBank, and furnish such update to the Association Bank not later than twelve (12) 12 months after the date of the preceding Procurement Plan, for the AssociationBank’s approval. Section 3.03. For the purposes of Section 9.06 9.07 of the General Conditions and without limitation thereto, the Borrower shall: (a) prepare, on the basis of guidelines acceptable to the AssociationBank, and furnish to the Association Bank not later than six (6) months after before the Closing Date or such later date as may be agreed for this purpose between the Borrower and the AssociationBank, a plan designed to ensure for the continued achievement future operation of the Project’s objectives; and (b) afford the Association Bank a reasonable opportunity to exchange views with the Borrower on said plan. (a) The Borrower shall adopt an operational manual, satisfactory in form and substance to the Bank, consisting of different modules setting forth rules, methods, guidelines, standard documents and procedures for the carrying out of the Project, including the following: (i) the detailed description of project implementation, including: (A) all Project activities, their sequencing and the prospective timetable and benchmarks in relation thereto; and (B) the institutional arrangements in respect thereof, including the allocation of responsibilities among Executing Entities, the terms and conditions for their participation and all related procedures; (ii) the Project administrative, accounting, auditing, reporting, financial, disbursement and procurement procedures including all pertinent standard documents and model contracts in relation thereto; (iii) the Environmental Framework prepared for the Project and disclosed to the public on July 27, 2005 including: (A) the Resettlement Framework for involuntary resettlements that may take place on account of Project implementation; and (B) the mitigation measures to prevent any adverse impact of Project implementation on the Borrower’s cultural property sites; (iv) the plan for the training programs and capacity building activities under the Project; (v) the plan for the monitoring and supervision of the Project, including environmental aspects in relation thereto; and (vi) the performance indicators for the Project. (b) The Borrower may amend the OM from time to time only with the Bank’s prior written consent. (c) In the event that any provision of the OM shall conflict with any one under this Agreement, the terms of this Agreement shall prevail. Section 3.05. No later than six (6) months after the Effective Date, the Borrower shall appoint the independent auditors referred to in Section 4.01 of this Agreement, in accordance with the provisions of section III of Schedule 4 to this Agreement. Section 3.06. No later than March 30, 2006 the Borrower, through SHD, shall, as part of the Subsidiary Agreement between SHD and FFDS, design and thereafter implement a financial management and accounting system, satisfactory in form and substance to the Bank, to manage and consolidate all financial information in relation thereto. Section 3.07. The Borrower shall: (a) establish and thereafter maintain at all times during Project implementation, a Project coordinating unit (UCP): (i) with staff having at all times during Project implementation, experience, qualifications, terms of reference, functions and resources satisfactory to the Bank, including a Director, a Financial Management Specialist, an Accountant, a Social Specialist and a Procurement Specialist; (ii) which shall be responsible for the effective coordination of all fiduciary aspects of the Project, including the procurement, financial management, audit, monitoring and evaluation aspects in relation thereto; and (iii) which shall remain under the direct administrative authority of SHD to which it will report periodically, as specified in the OM; (b) ensure that UCP, through SHD, submits annual Project operational plans and budgets to the Bank for its review and approval; (c) ensure that: (i) required environmental audits of the Project are carried out as specified in the OM and annual environmental compliance reports are furnished to the Bank’s review by April 15 each year; and (ii) all recommendations arising from the review are thenceforward implemented or caused to be implemented diligently by the Borrower. Section 3.08. The Borrower shall: (a) enter into an Implementation Agreement with each Executing Entity under the Project, pursuant to terms and conditions specified in the OM to ensure their respective participation in the Project, including all relevant arrangements for the disbursement of funds in relation thereto; (b) enter into a Subsidiary Agreement with FFDS, satisfactory to the Bank, therein setting forth all relevant fiduciary arrangements in respect of SDS’s participation in the Project, including all modalities for the disbursement of funds to FFDS in relation thereto; and (c) exercise its rights and carry out its obligations under the Subsidiary Agreement and Implementation Agreements in such a manner as to protect the interests of the Borrower and the Bank and to accomplish the purposes of the Loan, and, except as the Bank shall otherwise agree, the Borrower shall not assign, amend, abrogate, waive or fail to enforce the Subsidiary Agreement or any Implementation Agreement or any provision thereof. Section 3.09. The Borrower shall: (a) maintain policies and procedures adequate to enable it to monitor and evaluate on an ongoing basis, in accordance with indicators satisfactory to the Bank the carrying out of the Project and the achievement of the objectives thereof; (b) prepare, under terms of reference satisfactory to the Bank, and furnish to the Bank, on or about April 15 in each FY, a report integrating the results of the monitoring and evaluation activities performed pursuant to paragraph (a) of this Section, on the progress achieved in the carrying out of the Project during the period preceding the date of said report and setting out the measures recommended to ensure the efficient carrying out of the Project and the achievement of the objectives thereof during the period following such date; and (c) review with the Bank, by June 15 in each FY, or such later date as the Bank shall request, the report referred to in paragraph (b) of this Section, and, thereafter, take all measures required to ensure the efficient completion of the Project and the achievement of the objectives thereof, based on the conclusions and recommendations of the said report and the Bank’s views on the matter.

Execution of the Project. (a) The Borrower Recipient declares its commitment to the objectives of the Project as set forth in Schedule 2 to this Agreement, and, to this end, shall carry out the Project through XXXX with due diligence and efficiency and in conformity with appropriate educationaladministrative, administrative financial, agricultural, engineering, accounting, and financial environmental standards and practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions any of its obligations under paragraph (a) of this Section and except as the Borrower Recipient and the Association shall otherwise agree, the Borrower shall carry out Recipient shall: (i) not later than during thirty (30) days after the date of this Agreement open a separate project account (Project Account) in a commercial bank acceptable to the Association and deposit into said Account an initial amount equivalent to US$15,000; (ii) thereafter maintain the Project Account, and replenish said Account promptly before the beginning of each calendar quarter with funds sufficient to enable the Recipient to meet its obligations under this Section for such period; (iii) use the amount in accordance with the relevant provisions Project Account exclusively for financing the Recipient’s contribution to Project expenditures; and (iv) ensure that sufficient annual allocations will be made in the Recipient’s budget for the Recipient’s counterpart contribution to the costs of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 to this AgreementProject. (a) Except as the Association shall otherwise agree, procurement of the goods, works and services required for the Project and to be financed out of the proceeds of the Credit Grant shall be governed by the provisions of Schedule 3 to this Agreement, as said provisions may be further elaborated in the Procurement Plan. (b) The Borrower Recipient shall update the Procurement Plan in accordance with terms of reference guidelines acceptable to the Association, and furnish such update to the Association not later than twelve (12) 12 months after the date of the preceding Procurement Plan, for the Association’s approval. Section 3.03. For the purposes of Section 9.06 of the General Conditions and without limitation thereto, the Borrower Recipient shall: (a) prepare, on the basis of guidelines acceptable to the Association, and furnish to the Association not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower Recipient and the Association, a plan designed to ensure the continued achievement of the Project’s objectives; and (b) afford the Association a reasonable opportunity to exchange views with the Borrower Recipient on said plan.

Execution of the Project. (a) The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this Agreement, and, to this end, shall carry out the Project through XXXX with due diligence and efficiency and in conformity with appropriate educationaladministrative, administrative financial and financial information technology practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower and the Association shall otherwise agree, the Borrower shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 to this Agreement. Section 3.02. The Borrower shall open pursuant to Section 6.01(a) of this Agreement, and thereafter maintain in a commercial bank acceptable to the Association, an account (Project Account), wherein it shall deposit an amount from its own resources sufficient to cover the portion of counterpart financing requirements for local expenditures for which the Borrower is responsible under the Project financing plan and which are projected to be made under the Project in the three months succeeding. The balance in the Project Account, as of the first day of each quarter, shall not be less than $50,000 equivalent, or such other amount as may be approved by the Association on the basis of criteria agreed upon with the Borrower. (a) Except as the Association shall otherwise agree, procurement of the goods, works and consultants’ services required for the Project and to be financed out of the proceeds of the Credit shall be governed by the provisions of Schedule 3 to this Agreement, Agreement as said provisions may be further elaborated in the Procurement Plan. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference acceptable to the Association, Association and furnish such update to the Association not later than twelve (12) 12 months after the date of the preceding Procurement Plan, for the Association’s approval. Section 3.033.04. For the purposes of Section 9.06 of the General Conditions and without limitation thereto, the Borrower shall: (a) prepare, on the basis of guidelines acceptable to the Association, and furnish to the Association not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower and the Association, a plan designed to ensure for the continued achievement future operation of the Project’s objectives; and (b) afford the Association a reasonable opportunity to exchange views with the Borrower on said plan.

Execution of the Project. (a) The Borrower declares its commitment to the objectives objective of the Project as set forth in Schedule 2 to this AgreementProject, and, to this end, shall carry out the Project through XXXX PVD with due diligence and efficiency and in conformity with appropriate educationaladministrative, administrative social, financial, public utility and financial environmental practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower and the Association Bank shall otherwise agree, the Borrower Borrower, through PVD, shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 5 to this Agreement. (a) Except as the Association Bank shall otherwise agree, procurement of the goods, works and consultants’ services required for the Project Project, including those financed through Allocations, and to be financed out of the proceeds of the Credit Loan shall be governed by the provisions of Schedule 3 4 to this Agreement, as said provisions may be further elaborated in the Procurement Plan. (b) The Borrower Borrower, through PVD, shall update the Procurement Plan in accordance with terms the provisions of reference acceptable Paragraph 4 of Schedule 5 to the Association, and furnish such update to the Association not later than twelve (12) months after the date of the preceding Procurement Plan, for the Association’s approvalthis Agreement. Section 3.03. For the purposes of Section 9.06 9.07 of the General Conditions and without limitation thereto, the Borrower Borrower, through PVD, shall: (a) prepare, on the basis of guidelines acceptable to the AssociationBank, and furnish to the Association Bank not later than six twelve (612) months after before the Closing Date or such later date as may be agreed for this purpose between the Borrower and the AssociationBank, a plan designed to ensure for the continued achievement future operation of the Project’s objectives; and (b) afford the Association Bank a reasonable opportunity to exchange views with the Borrower on said plan. Section 3.04. The Borrower, through PVD, shall furnish or cause to be furnished to the Bank: (i) no later than six months after the Effective Date, the contract appointing the Independent Auditors referred to in Section 4.01 (b) (i) of this Agreement, under terms of reference and with qualifications and experience satisfactory to the Bank and in accordance with the provisions of Section III of Schedule 4 to this Agreement; (ii) no later than six months after the Effective Date, a ministerial resolution, in form and substance satisfactory to the Bank, for the creation of the Multisector Advisory Committee; and (iii) no later than eighteen months after the Effective Date the relevant and applicable legal framework for hierarchy of roads and the technical norms for the rehabilitation of gravel roads, all in form and substance satisfactory to the Bank.

Execution of the Project. (a) The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this Agreement, and, to this end, shall carry out the Project through XXXX with due diligence and efficiency and in conformity with appropriate administrative, financial, educational, administrative and financial environmental practices, and shall provide, promptly as needed, the funds, facilities, services services, and other resources resources, required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower and the Association shall otherwise agree, the Borrower shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 to this Agreement. (a) Except as the Association shall otherwise agree, procurement of the goods, works works, and services required for the Project and to be financed out of the proceeds of the Credit shall be governed by the provisions of Schedule 3 to this Agreement, as said provisions may be further elaborated in the Procurement Plan. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference guidelines acceptable to the Association, and furnish such update to the Association Association, not later than twelve (12) 12 months after the date of the preceding Procurement Plan, for the Association’s approval. Section 3.03. For the purposes of Section 9.06 of the General Conditions and without limitation thereto, the Borrower shall: (a) prepare, on the basis of guidelines acceptable to the Association, and furnish to the Association not later than six (6) months after before the Closing Date or such later date as may be agreed for this purpose between the Borrower and the Association, a plan designed to ensure for the continued achievement future operation of the Project’s objectives; and (b) afford the Association a reasonable opportunity to exchange views with the Borrower on said plan. Section 3.04. Without limitation upon its obligations under Section 3.01 of this Agreement, the Borrower shall: (a) open and maintain, until the completion of the Project, a Project account (the Project Account), on terms and conditions satisfactory to the Association; (b) deposit into the Project Account an initial deposit in an amount of $50,000 (the Initial Deposit) and thereafter, at semiannual intervals, deposit into the Project Account such amounts as are estimated to be required for the ensuing six-month period and as shall be agreed upon between the Borrower and the Association; and (c) ensure that the amounts deposited into the Project Account in accordance with paragraph (b) of this Section shall be used exclusively for expenditures under the Project not otherwise financed from the proceeds of the Credit.

Execution of the Project. (a) The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this AgreementProject, and, to this end, shall carry out the Project Project, through XXXX NRA, with due diligence and efficiency and in conformity with appropriate educationaladministrative, administrative technical and financial practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Except as the Borrower and the Bank shall otherwise agree, the Borrower shall, through NRA, provide evidence satisfactory to the Bank, not later than thirty (30) days after the State Budget Law of the relevant fiscal year has been published by the Borrower in the State Gazette, each year during Project implementation, starting from calendar year of 2004, that sufficient resources acceptable to the Bank have been allocated in the Borrower’s annual budget to cover all the counterpart funding requirements under the Project for the year in question. (c) Without limitation upon the provisions of paragraph (a) of this Section, the Borrower, through NRA shall: (i) maintain throughout the course of Project implementation the Project Account and ensure that sufficient funds are made available through this account to enable the Borrower to meet its obligations under paragraph (b) above for such period; and (ii) use the funds in said Project Account for financing the Borrower’s contribution to Project expenditures. (d) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower and the Association Bank shall otherwise agree, the Borrower shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 5 to this Agreement. (a) Section 3.02. Except as the Association Bank shall otherwise agree, procurement of the goods, works and consultants’ services required for the Project and to be financed out of the proceeds of the Credit Loan shall be governed by the provisions of Schedule 3 4 to this Agreement, as said provisions may be further elaborated in the Procurement Plan. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference acceptable to the Association, and furnish such update to the Association not later than twelve (12) months after the date of the preceding Procurement Plan, for the Association’s approval. Section 3.03. For the purposes of Section 9.06 9.07 of the General Conditions and without limitation thereto, the Borrower shall: (a) prepare, on the basis of guidelines acceptable to the AssociationBank, and furnish to the Association Bank not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower and the AssociationBank, a plan designed to ensure for the continued achievement future operation of the Project’s objectives; and (b) afford the Association Bank a reasonable opportunity to exchange views with the Borrower on said plan.

Execution of the Project. (a) The Borrower declares its commitment to the objectives objective of the Project as set forth in Schedule 2 to this AgreementProject, and, to this end, shall carry out the Project through XXXX with due diligence and efficiency and in conformity with appropriate educationaladministrative, administrative financial, environmental, social, engineering, public utility and financial practicestechnical practices (including for dam safety), and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) The Borrower also declares that: (i) no excavations or other types of works under Part A of the Project shall be carried out unless the use, or the process of acquisition, of land sites are carried out in a manner satisfactory to the Bank; (ii) no Resettlement shall occur under Part A of the Project; and (iii) if any temporary loss of crops, harvesting or use of land occurs under the Project, it shall cause WASCO to compensate any affected person(s) an amount equivalent to the market value of such temporary loss. (c) Without limitation upon the provisions of paragraph paragraphs (a) and (b) of this Section and except as the Borrower and the Association Bank shall otherwise agree, the Borrower shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 5 to this Agreement. (a) Except as the Association Bank shall otherwise agree, procurement of the goods, works and services required for the Project and to be financed out of the proceeds of the Credit Loan shall be governed by the provisions of Schedule 3 4 to this Agreement, as said provisions may be further elaborated in the Procurement Plan. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference guidelines acceptable to the AssociationBank, and furnish such update to the Association Bank not later than twelve (12) 12 months after the date of the preceding Procurement Plan, for the AssociationBank’s approval. Section 3.03. For the purposes of Section 9.06 9.07 of the General Conditions and without limitation thereto, the Borrower shall: (a) prepare, on the basis of guidelines acceptable to the AssociationBank, and furnish to the Association Bank not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower and the AssociationBank, a plan designed to ensure for the continued achievement future operation of the Project’s objectives; and (b) afford the Association Bank a reasonable opportunity to exchange views with the Borrower on said plan.

Execution of the Project. (a) Section 3.01. The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this AgreementProject, and, to this end, shall shall: (a) carry out Parts A, C and D of the Project, through ANSES; and (b) carry out Part B of the Project through XXXX the SSS (which shall be responsible for the technical aspects under said Part of the Project), with the assistance of ANSES in respect of the disbursement and procurement aspects under said Part of the Project (as the contents of said responsibility and assistance are described in the Operational Manual), all with due diligence and efficiency and in conformity with appropriate educationaladministrative, administrative financial management, technical, social, civil service and financial environmental practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower and the Association shall otherwise agree, the Borrower shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 to this Agreement. (a) Except as the Association Bank shall otherwise agree, procurement of the goods, works consultants’ services and services Non-Consultant Services required for the Project and to be financed out of the proceeds of the Credit Loan shall be governed by the provisions of Schedule 3 4 to this Agreement, as said provisions may be further elaborated in the Procurement Plan. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference guidelines acceptable to the AssociationBank, and furnish such update to the Association Bank not later than twelve (12) 12 months after the date of the preceding Procurement Plan, for the AssociationBank’s approval. Section 3.03. For the purposes of Section 9.06 9.07 of the General Conditions and without limitation thereto, the Borrower shall: (a) prepare, on the basis of guidelines acceptable to the AssociationBank, and furnish to the Association Bank not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower and the AssociationBank, a plan designed to ensure the continued achievement sustainability of the Project’s objectives; and (b) afford the Association Bank a reasonable opportunity to exchange views with the Borrower on said plan. (a) The Borrower shall carry out the Project in accordance with the provisions of a manual (the Operational Manual), acceptable to the Bank, said manual to include, inter alia: (i) the Project’s chart of accounts and internal controls; (ii) the FMR formats; (iii) the terms of reference for carrying out the Project audits; (iv) the structure, functions and responsibilities of the Steering Committee and the PCU; (v) the contents of the responsibility and assistance referred to in Section 3.01 (b) of this Agreement; (vi) the Project indicators; (vii) the formats of the financial statements referred to in Section 4.01 of this Agreement; and (viii) the Project disbursement and procurement procedures, including the standard bidding documents for the goods and Non-Consultant Services to be procured under the Project. (b) In case of any conflict between the terms of the Operational Manual and those of this Agreement, the terms of this Agreement shall prevail. (a) The Borrower shall: (i) operate and maintain, at all times during Project implementation a steering committee (the Steering Committee) with a structure and with functions and responsibilities acceptable to the Bank, including, inter alia, the responsibility to oversee the carrying out of the Project; and (ii) operate and maintain, at all times during Project implementation, the PCU with a structure, functions and responsibilities acceptable to the Bank, including, inter alia, the responsibility to assist the Borrower in Project implementation, monitoring and supervision. (b) The Borrower shall ensure that the PCU is, at all times during Project implementation, headed by a national director, who will be assisted by an administrative coordinator, other professional staff (including two accountants (one senior and one junior) and a procurement specialist) and administrative staff, all in numbers and with qualifications and experience acceptable to the Bank. Section 3.06. The Borrower shall, not later than February 28, 2006, create, and thereafter maintain throughout Project implementation, a specific budget line entry in each of its annual budgets in order to keep track of the corresponding expenditures incurred during Project implementation. Section 3.07. The Borrower shall: (a) maintain policies and procedures adequate to enable it to monitor and evaluate on an ongoing basis, in accordance with the indicators set forth in the Operational Manual, the carrying out of the Project and the achievement of the objective thereof; (b) prepare, under terms of reference satisfactory to the Bank, and to furnish to the Bank, not later than April 30 and October 31 of each year of Project implementation (starting with the report due in April 2006), a report integrating the results of the monitoring and evaluation activities performed pursuant to paragraph (a) of this Section, on the progress achieved in the carrying out of the Project during the calendar semester preceding the date of presentation of said report and setting out the measures recommended to ensure the efficient carrying out of the Project and the achievement of the objectives thereof during the following calendar semester; and (c) review with the Bank and ANSES not later than November 30 of each year of Project implementation (starting in the year 2006), the pertinent reports referred to in paragraph (b) of this Section, and, thereafter, take and/or cause to be taken, as the case may be, all measures required to ensure the efficient completion of the Project and the achievement of the objective thereof, based on the conclusions and recommendations of the said reports and the Bank’s views on the matter. (a) If the Borrower deems it appropriate, the Borrower, through ANSES, may enter into an agreement (the Agency Agreement) with an entity (which entity shall have disbursement and procurement experience and qualifications acceptable to the Bank) on terms and conditions, acceptable to the Bank, which terms shall include, inter alia, the obligation of said entity to act as the Borrower’s disbursement and procurement agent under the Project. (b) (i) In the event that the Agency Agreement has been signed by the parties thereto, the Borrower shall exercise its rights and carry out its obligations under the Agency Agreement in such manner as to protect the interests of the Borrower and the Bank and to accomplish the purposes of the Loan; and (ii) except as the Bank shall otherwise agree, the Borrower shall not assign, amend, abrogate, terminate, waive or fail to enforce the Agency Agreement or any provision thereof. Section 3.09. The Borrower shall: (a) not later than December 31 of each year of Project implementation, starting in year 2005, furnish to the Bank, for its approval, an annual action plan, each said plan to include, inter alia, the Project activities to be carried out by the Borrower during the calendar year following the presentation of each said plan; (b) thereafter implement each said Annual Action Plan in accordance with its terms; and (c) carry out the Annual Action Plan for the year 2005 as approved by the Bank prior to the date of this Agreement. Section 3.10. The Borrower shall not later than six months after the Effective Date, strengthen (in a manner acceptable to the Bank) the financial management system referred to in Section 4.01 (a) of this Agreement.

Execution of the Project. (a) The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this AgreementProject, and, to this end, shall carry out the Project through XXXX MINCETUR with due diligence and efficiency and in conformity with appropriate educationaladministrative, administrative engineering, social, financial, cultural, public utility and financial environmental practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower Borrower, through MINCETUR, and the Association Bank shall otherwise agree, the Borrower shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 5 to this Agreement. (a) Except as the Association Bank shall otherwise agree, procurement of the goods, works and consultants’ services required for the Project Project, including those financed through Small Grants, and to be financed out of the proceeds of the Credit Loan shall be governed by the provisions of Schedule 3 4 to this Agreement, as said provisions may be further elaborated in the Procurement Plan. (b) The Borrower Borrower, through MINCETUR, shall update the Procurement Plan in accordance with terms the provisions of reference acceptable paragraph 4 of Schedule 5 to the Association, and furnish such update to the Association not later than twelve (12) months after the date of the preceding Procurement Plan, for the Association’s approvalthis Agreement. Section 3.03. For the purposes of Section 9.06 9.07 of the General Conditions and without limitation thereto, the Borrower Borrower, through MINCETUR, shall: (a) prepare, on the basis of guidelines acceptable to the AssociationBank, and furnish to the Association Bank not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower and the AssociationBank, a plan designed to ensure for the continued achievement future operation of the Project’s objectives; and (b) afford the Association Bank a reasonable opportunity to exchange views with the Borrower on said plan. Section 3.04. The Borrower, through MINCETUR, shall furnish or cause to be furnished to the Bank: (a) no later than three months after the Effective Date, the contract appointing the independent auditors referred to in Section 4.01 (b) (i) of this Agreement, under terms of reference and with qualifications and experience satisfactory to the Bank and in accordance with the provisions of Section III of Schedule 4 to this Agreement; (b) no later than eighteen months after the Effective Date, evidence that the necessary land acquisition has been completed in order to carry out the Resettlement Plan and the revised PMSHMP; (c) no later than twenty four months after the Effective Date, the Strategic Environmental Assessment and a separate municipal territorial plan for each of the following municipalities: Pisac, Calca, Urubamba, Ollantaytambo and Machu Picchu; and (d) no later than thirty months after the Effective Date, the territorial plan for the Vilcanota Valley; all documents in form and substance satisfactory to the Bank.

Execution of the Project. (a) The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this Agreement, and, to this end, shall carry out the Project through XXXX its Ministry of Planning and Finance with due diligence and efficiency and in conformity with appropriate educationaladministrative, administrative financial, and financial technical practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower and the Association shall otherwise agree, the Borrower shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 to this Agreement. (a) Except as the Association shall otherwise agree, procurement of the goods, works and consultants’ services required for the Project and to be financed out of the proceeds of the Credit shall be governed by the provisions of Schedule 3 to this Agreement, as said provisions may be further elaborated in the Procurement Plan. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference guidelines acceptable to the Association, and furnish such update to the Association not later than twelve (12) 12 months after the date of the preceding Procurement Plan, for the Association’s approval. Section 3.03. Without limitation to its obligations under Sections 3.01 of this Agreement, the Borrower shall: (a) open and thereafter maintain, until the completion of the Project, an account in Dobras in a commercial bank acceptable to the Association on terms and conditions satisfactory to the Association (the “Project Account”); (b) promptly thereafter, make an initial deposit of Dobras equivalent to $50,000 into the Project Account (the “Initial Deposit”) to finance the Borrower’s contribution to the costs of the Project; (c) thereafter deposit into the Project Account, on a quarterly basis, the amount required to timely replenish said Project Account up to the Borrower’s contribution to the cost of the Project; and (d) ensure that amounts deposited into the Project Account shall be used exclusively to finance expenditures under the Project in addition to those financed out of the proceeds of the Credit. Section 3.04. For the purposes of Section 9.06 of the General Conditions and without limitation thereto, the Borrower shall: (a) prepare, on the basis of guidelines acceptable to the Association, and furnish to the Association not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower and the Association, a plan designed to ensure for the continued achievement future operation of the Project’s objectives; and (b) afford the Association a reasonable opportunity to exchange views with the Borrower on said plan.

Execution of the Project. (a) The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this Agreement, and, to this end, Recipient shall carry out the Project through XXXX with due diligence and efficiency and in conformity with appropriate educationaladministrative, administrative financial and financial educational practices, and sound social and environmental standards, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower Recipient and the Association Administrator shall otherwise agree, the Borrower Recipient shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 to this the Development Credit Agreement. (a) Section 3.02. Except as the Association Administrator shall otherwise agree, procurement of the goods, works goods and services required for the Project and to be financed out of the proceeds of the Credit Multi-donor Trust Fund Grant shall be governed by the provisions of Schedule 3 to this the Development Credit Agreement. (a) The Recipient shall maintain or cause to be maintained records and accounts adequate to reflect in accordance with sound accounting practices the operations, as said provisions may be further elaborated resources and expenditures in respect of the Procurement PlanProject of the departments or agencies of the Recipient responsible for carrying out the Project or any part thereof. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference acceptable to the Association, and furnish such update to the Association not later than twelve (12) months after the date of the preceding Procurement Plan, for the Association’s approval. Section 3.03. For the purposes of Section 9.06 of the General Conditions and without limitation thereto, the Borrower Recipient shall: (i) have the records and accounts referred to in paragraph (a) prepareof this Section including those for the Special Account for each fiscal year audited, on the basis of guidelines in accordance with appropriate auditing principles consistently applied, by independent auditors acceptable to the Association, and Administrator; (ii) furnish to the Association Administrator as soon as available, but in any case not later than six (6) months after the Closing Date or end of each such later date year, the report of such audit by said auditors, of such scope and in such detail as may be agreed for this purpose between the Borrower and the Association, a plan designed to ensure the continued achievement of the Project’s objectivesAdministrator shall have reasonably requested; and (iii) furnish to the Administrator such other information concerning said records and accounts and the audit thereof as the Administrator shall from time to time reasonably request. (c) For all expenditures with respect to which withdrawals from the Multi-donor Trust Fund Grant Account were made on the basis of statements of expenditure, the Recipient shall: (i) maintain or cause to be maintained, in accordance with paragraph (a) of this Section, records and accounts reflecting such expenditures; (ii) retain, until at least one year after the Administrator has received the audit for the fiscal year in which the last withdrawal from the Multi-donor Trust Fund Grant Account was made, all records (contracts, orders, invoices, bills, receipts and other documents) evidencing such expenditures; (iii) enable the Administrator’s representatives to examine such records; and (iv) ensure that such records and accounts are included in the annual audit referred to in paragraph (b) afford of this Section and that the Association report of such audit contains a reasonable opportunity separate opinion by said auditors as to exchange views whether the statements of expenditure submitted during such fiscal year, together with the Borrower on said planprocedures and internal controls involved in their preparation, can be relied upon to support the related withdrawals.

Execution of the Project. (a) The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this Agreement, and, to this end, shall carry out the Project through XXXX EICTDA with due diligence and efficiency and in conformity with appropriate educationaladministrative, administrative technological and financial practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower and the Association shall otherwise agree, the Borrower shall carry out out: (i) the Project Project, in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 to this Agreement; and (ii) the actions set forth in the Program. (a) Except as the Association shall otherwise agree, procurement of the goods, works and consultants’ services required for the Project and to be financed out of the proceeds of the Credit shall be governed by the provisions of Schedule 3 4 to this Agreement, as said provisions may be further elaborated in the Procurement Plan. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference acceptable to the AssociationAssociation , and furnish such update to the Association not later than twelve (12) 12 months after the date of the preceding Procurement Plan, for the Association’s approval. Section 3.03. For the purposes of Section 9.06 of the General Conditions and without limitation thereto, the Borrower shall: (a) : prepare, on the basis of guidelines acceptable to the Association, and furnish to the Association not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower and the Association, a plan designed to ensure the continued achievement sustainability of the Project’s objectives; and (b) , and afford the Association a reasonable opportunity to exchange views with the Borrower on said plan. (a) The Borrower shall open and maintain, for the duration of the Project, an account (the Project Account) in Birr in NBE on terms and conditions satisfactory to the Association; (b) promptly thereafter, make an initial deposit into the Project Account, of an amount equivalent to Birr 7,200,000 to finance the Borrower’s estimated share of counterpart funds for the implementation of the Project; thereafter, deposit into the Project Account by September 15 and March 15 in each Fiscal Year such amounts as shall be required to ensure the Borrower’s contribution to the carrying out of the planned activities for that FY; and ensure that amounts deposited into the Project Account shall be used exclusively to make payments to meet expenditures made or to be made in respect of the reasonable cost of goods, works and services for the Project in addition to those financed from the proceeds of the Credit. Section 3.05. Except as the Association shall otherwise agree, the Borrower shall: (i) not later than June 15, 2005, publicly announce the issuance by ETA, starting September 30, 2005, of licenses to eligible Internet Service Providers; and (ii) cause ETA to effectively issue the said licenses to eligible Internet Service Providers; (i) cause EICTDA, ETA and ETC to complete phase one of Part B

Execution of the Project. (a) The Borrower Savannakhet declares its commitment to the objectives of the Project as set forth in Schedule 2 to this the Development Credit Agreement, and, to this end, shall carry out Part (C) of the Project through XXXX with due diligence and efficiency and in conformity with appropriate educationaladministrative, administrative financial, economic, engineering, health and financial sound environmental practices, and shall provide, or cause to be provided, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower and the Association shall otherwise agree, the Borrower shall Savannakhet shall: (i) carry out Part (C) of the Project in accordance with the relevant provisions Project Implementation Plan; and (ii) not later than June 30 in each Fiscal Year, beginning with the Fiscal Year ending September 30, 1995, review with the Borrower, Sekong and the Association the progress achieved in carrying out Part (C) of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 to this AgreementProject. (a) Except as Section 2.02. Savannakhet shall maintain the Association shall otherwise agree, procurement of the goods, works Steering Committee with membership and services required for the Project and to be financed out of the proceeds of the Credit shall be governed by the provisions of Schedule 3 to this Agreement, as said provisions may be further elaborated in the Procurement Plan. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference acceptable to the Association. The Steering Committee shall be charged with the responsibility of providing overall policy guidance for the implementation of Part (C) of the Project, and furnish such update to for formulating the Association not later than twelve (12) months after general health sector policies under the date of the preceding Procurement Savannakhet Health Plan, for the Association’s approval. Section 3.032.03. For Without limitation upon the purposes provisions of Section 9.06 2.01 of the General Conditions and without limitation theretothis Agreement, the Borrower Savannakhet shall: (a) prepareAt all times carry out the Savannakhet Health Plan with due diligence and efficiency and otherwise take all action necessary for achieving the objectives thereof; (b) Prepare and furnish to the Association, not later than December 31 in each Fiscal Year, a report, in form and substance satisfactory to the Association, on the progress achieved in carrying out the Savannakhet Health Plan in respect of the preceding Fiscal Year, together with any revisions proposed to be introduced into the Savannakhet Health Plan; and (c) Exchange views with the Association and the Borrower on each report prepared pursuant to paragraph (b) of this Section, and thereafter promptly introduce such revisions into the Savannakhet Health Plan as shall have been recommended by the Association. Section 2.04. Savannakhet shall, not later than August 30, 1995, establish and thereafter maintain on the basis of guidelines terms of reference acceptable to the Association, : (a) a drug administration committee responsible for drawing up and furnish subsequently regularly reviewing and updating a provincial list of commonly used high quality-low price drugs and administer and monitor their distribution throughout Savannakhet; and (b) a drug therapeutic committee responsible for selecting from the said provincial list the drugs to the Association not later than six be procured under Part C (6) months after of the Closing Date or such later date as may be agreed for this purpose between Project, distributing said drugs to the Borrower various health centers within Savannakhet and supervising the proper use of said drugs. Section 2.05. Savannakhet shall carry out the obligations set forth in Sections 9.03, 9.04, 9.05, 9.06, 9.07 and 9.08 of the General Conditions (relating to insurance, use of goods and services, plans and schedules, records and reports, maintenance and land acquisition, respectively) in respect of the Project. Section 2.06. (a) Savannakhet shall, at the request of the Association, a plan designed to ensure the continued achievement of the Project’s objectives; and (b) afford the Association a reasonable opportunity to exchange views with the Borrower on said plan.Association with regard to the progress of the Project, the performance of its obligations under this Agreement and other matters relating to the purposes of the Credit; and

Execution of the Project. (a) The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this Agreement, and, to this end, shall carry out the Project through XXXX BPU, CCIB, COOPECs, ECOSAT and MI, with due diligence and efficiency and in conformity with appropriate educationaladministrative, administrative financial and financial urban planning practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon The Borrower shall relend to the provisions municipality of paragraph Bujumbura and the communes of Gitega, Ngozi, Kayanza, Rumonge and Bururi, under subsidiary loan agreements to be entered into between the Borrower and such municipality and communes including terms and conditions which shall have been approved by the Association: (ai) the proceeds of the Credit allocated to Part D(a) of the Project at an annual interest rate of eight percent (8%), a repayment period of ten (10) years after the date of this Section Agreement and a grace period of five (5) years; and (ii) the proceeds of the Credit allocated to Parts B and D(d) of the Project at terms and conditions that shall be agreed between the Borrower and the Association not later than June 30, 1992. (c) The Borrower shall exercise its rights under the Subsidiary Loan Agreements in such manner as to protect the interests of the Borrower and the Association and to accomplish the purposes of the Credit, and except as the Borrower and the Association shall otherwise agree, the Borrower shall carry out not assign, amend, abrogate or waive any of the Project in accordance with Subsidiary Loan Agreements or any provision thereof. Section 3.02. Without limitation to the relevant generality of the provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 to this Agreement. Section 3.01 (a) Except as the Association shall otherwise agree, procurement of the goods, works and services required for the Project and with regard to be financed out of the proceeds of the Credit shall be governed by the provisions of Schedule 3 to this Agreement, as said provisions may be further elaborated in the Procurement Plan. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference acceptable to the Association, and furnish such update to the Association not later than twelve (12) months after the date of the preceding Procurement Plan, for the Association’s approval. Section 3.03. For the purposes of Section 9.06 of the General Conditions and without limitation theretofunds, the Borrower shall: (ai) prepareopen, on and thereafter maintain, in the basis Borrower’s currency and in the name of guidelines MTPDU - Second Urban Project, an account in a banking institution acceptable to the Association on terms and conditions satisfactory to the Association; (ii) deposit into such Project Account an initial amount of FBu 50,000,000; and (iii) thereafter deposit into the Project Account, not later than March 31 of each year during Project implementation, a sum necessary to replenish the Project Account up to the original amount of FBu 50,000,000. Amounts deposited into the Project Account pursuant to sub-paragraphs (ii) and (iii) above shall be used only to make payments to meet local expenditures made or to be made in respect of the reasonable cost of goods and services for the Project and not eligible for financing under the Credit. Section 3.03. In order to supervise the execution of the Project, the Borrower shall: (i) at the central level employ its Commission Nationale de l’Urbanisme integrated by representatives of CCIB, COOPECs, ECOSAT and FH; and (ii) at the local level, establish implementation commissions in each of the communes covered by the Project to be chaired by the governors of the respective provinces and, in the case of the commune of Rumonge, by the communal manager, and composed of representatives of the central and local governments and of representatives of commerce and handicraft; (b) not later than January 31, April 30, July 31 and October 31 of each year before completion of the Project furnish to the Association not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower and the Association, a plan designed to ensure the continued achievement of the Project’s objectivesquarterly progress reports; and (bc) afford not later than October 31 of each year before completion of the Project, submit to the Association a reasonable opportunity project implementation plan for the following year of Project implementation in such detail as the Association shall reasonably request and the Borrower’s revised three-year rolling Program of Investments and Public Expenditures for the urban sector, with terms and conditions satisfactory to exchange views with the Association. Section 3.04. The Borrower on said plan.shall: (a) cause each of the communes participating in the Project to select and employ, not later than September 30, 1989, a specialist to carry out local accounting, budgeting, taxation, administration and management tasks;

Execution of the Project. (a) The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this Agreement, and, to this end, Recipient shall carry out the Project through XXXX with due diligence and efficiency and in conformity with appropriate educationaladministrative, administrative financial and financial educational practices, and sound social and environmental standards, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower Recipient and the Association Administrator shall otherwise agree, the Borrower Recipient shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 to this the Development Credit Agreement. (a) Section 3.02. Except as the Association Administrator shall otherwise agree, procurement of the goods, works goods and services required for the Project and to be financed out of the proceeds of the Credit Multi-donor Trust Fund Grant shall be governed by the provisions of Schedule 3 to this the Development Credit Agreement. (a) The Recipient shall maintain or cause to be maintained records and accounts adequate to reflect in accordance with sound accounting practices the operations, as said provisions may be further elaborated resources and expenditures in respect of the Procurement PlanProject of the departments or agencies of the Recipient responsible for carrying out the Project or any part thereof. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference acceptable to the Association, and furnish such update to the Association not later than twelve (12) months after the date of the preceding Procurement Plan, for the Association’s approval. Section 3.03. For the purposes of Section 9.06 of the General Conditions and without limitation thereto, the Borrower Recipient shall: (i) have the records and accounts referred to in paragraph (a) prepareof this Section including those for the Special Account for each fiscal year audited, on the basis of guidelines in accordance with appropriate auditing principles consistently applied, by independent auditors acceptable to the Association, and Administrator; (ii) furnish to the Association Administrator as soon as available, but in any case not later than six (6) months after the Closing Date or end of each such later date year, the report of such audit by said auditors, of such scope and in such detail as may be agreed for this purpose between the Borrower and the Association, a plan designed to ensure the continued achievement of the Project’s objectivesAdministrator shall have reasonably requested; and (iii) furnish to the Administrator such other information concerning said records and accounts and the audit thereof as the Administrator shall from time to time reasonably request. (c) For all expenditures with respect to which withdrawals from the Multi-donor Trust Fund Grant Account were made on the basis of statements of expenditure, the Recipient shall: (i) maintain or cause to be maintained, in accordance with paragraph (a) of this Section, records and accounts reflecting such expenditures; (ii) retain, until at least one year after the Administrator has received the audit for the fiscal year in which the last withdrawal from the Multi-donor Trust Fund Grant Account was made, all records (contracts, orders, invoices, bills, receipts and other documents) evidencing such expenditures; (iii) enable the Administrator’s representatives to examine such records; and ensure that such records and accounts are included in the annual audit referred to in paragraph (b) afford of this Section and that the Association report of such audit contains a reasonable opportunity separate opinion by said auditors as to exchange views whether the statements of expenditure submitted during such fiscal year, together with the Borrower on said planprocedures and internal controls involved in their preparation, can be relied upon to support the related withdrawals.

Execution of the Project. (a) Section 3.01. The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this Agreement, and, to this end, Recipient shall carry out the Project through XXXX with due diligence and efficiency and in conformity with appropriate educational, administrative and financial practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower and the Association shall otherwise agree, the Borrower shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 to this Agreement. (a) 3.02. Except as the Association Administrator shall otherwise agree, procurement of the goods, works and consultants’ services required for the Project and to be financed out of the proceeds of the Credit Grant shall be governed by the provisions of Schedule 3 to this Agreement. (a) The Recipient shall maintain or cause to be maintained records and accounts adequate to reflect in accordance with sound accounting practices the operations, as said provisions may be further elaborated resources and expenditures in respect of the Procurement PlanProject of the departments or agencies of the Recipient responsible for carrying out the Project or any part thereof. (b) The Borrower shall update Recipient shall: (i) have the Procurement Plan records and accounts referred to in paragraph (a) of this Section for each fiscal year audited, in accordance with terms of reference appropriate auditing principles consistently applied, by independent auditors acceptable to the Association, and Administrator; (ii) furnish such update to the Association Administrator as soon as available, but in any case not later than twelve four (124) months after the date end of each such year, the preceding Procurement Planreport of such audit by said auditors, of such scope and in such detail as the Administrator shall have reasonably requested; and (iii) furnish to the Administrator such other information concerning said records and accounts and the audit thereof as the Administrator shall from time to time reasonably request. (c) For all expenditures with respect to which withdrawals from the Grant Account were made on the basis of statements of expenditure, the Recipient shall: (i) maintain or cause to be maintained, in accordance with paragraph (a) of this Section, records and accounts reflecting such expenditures; (ii) retain, until at least one year after the Administrator has received the audit for the Associationfiscal year in which the last withdrawal from the Grant Account was made, all records (contracts, orders, invoices, bills, receipts and other documents) evidencing such expenditures; (iii) enable the Administrator’s approvalrepresentatives to examine such records; and (iv) ensure that such records and accounts are included in the annual audit referred to in paragraph (b) of this Section and that the report of such audit contains a separate opinion by said auditors as to whether the statements of expenditure submitted during such fiscal year, together with the proce-dures and internal controls involved in their preparation, can be relied upon to support the related withdrawals. Section 3.033.04. For Without limitation upon the purposes applicable provisions of Section 9.06 Article IX of the General Conditions and without limitation theretoConditions, the Borrower Recipient shall: (a) prepare, on the basis of guidelines acceptable to the AssociationAdministrator, and furnish to the Association Administrator not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower Recipient and the AssociationAdministrator, a plan designed to ensure the continued achievement sustainability of the Project’s objectives; and (b) afford the Association Administrator a reasonable opportunity to exchange views with the Borrower Recipient on said plan.

Execution of the Project. (a) The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this Agreement, and, to this end, shall carry out the Project through XXXX the MOE with due diligence and efficiency and in conformity with appropriate educational, administrative administrative, financial, engineering, and financial environmental practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon to the provisions of paragraph (a) of this Section and except as the Borrower and the Association shall otherwise agreeabove, the Borrower shall carry out the Project in accordance with with: (i) an operational manual, satisfactory to the relevant provisions Bank, containing the detailed procedures for the implementation of the JFA as applicableProject, including, inter alia: (A) the Operational Manualorganization, functions and staffing of the EMPPMU; (B) the financial management procedures; (C) terms of reference for all PMU staff; (D) standard bidding documents and letters of invitation to consultants; (E) the rules, procedures for entry, and selection criteria for winners of the VCDPnationwide competitions on art, essay, poetry or debate; and (F) mandatory safeguards and mitigation actions for the EFA Procurement Manual expansion and rehabilitation of the Implementation Program set forth in Schedule 4 Secondary Education schools, which safeguards and actions would be applied to this Agreementprevent or mitigate any possible negative environmental impact said expansion or rehabilitation might otherwise cause; and (ii) a manual, satisfactory to the Bank, which shall contain, inter alia: (A) the detailed rules and procedures for the financing mechanism of the School Improvement Projects and Co-Curricular Activities; (B) procedures for monitoring and evaluation of School Improvement Projects; and (C) the procedures for procurement of goods and services under School Improvement Projects. (ac) Except as the Association Bank shall otherwise agree, the Borrower shall not amend, waive or fail to enforce the Operational Manual or the School Improvement Projects and Co-Curricular Activities Manual or any provision thereof. In case of any conflict between the provisions of this Agreement and those of the Operational Manual or the School Improvement Projects and Co-Curricular Activities Manual, the provisions of this Agreement shall prevail. Section 3.02. Except as the Bank shall otherwise agree, procurement of the goods, works and services required for the Project and to be financed out of the proceeds of the Credit Loan shall be governed by the provisions of Schedule 3 4 to this Agreement. Section 3.03. Without limitation to the provisions of Section 3.01 above, the Borrower shall make available an amount in EC Dollars equivalent to two million five hundred thousand Dollars ($2,500,000) as said provisions may be further elaborated counterpart funds for the Project. To that effect, the Borrower shall establish and thereafter maintain, until the completion of the Project, an account (the Project Account) in a commercial bank, on terms and conditions acceptable to the Procurement PlanBank, with an initial deposit equivalent to four hundred and fifty thousand Dollars ($450,000) prior to the Effective Date. (a) The Borrower shall maintain a Project management unit (the PMU) within the MOE during the implementation of the Project, with functions and responsibilities satisfactory to the Bank which shall include, inter alia: (i) coordination and implementation of the Project; (ii) monitoring and evaluation of the Project; (iii) processing of documentation required for disbursement of the Loan and Credit proceeds and for procurement of goods, works and services under the Project; and (iv) preparation and maintenance of the records, accounts and financial statements referred to in Article IV of this Agreement. (b) The Borrower shall update ensure: that the Procurement Plan in accordance PMU is at all times staffed with terms of reference acceptable to at least a Project manager, a procurement officer, a Project accountant, an accounts clerk, a school supplies officer, a secretary and an assistant; that the Association, and furnish such update to the Association not later than twelve (12) months after the date financial analyst of the preceding Procurement Plan, for the Association’s approval. Section 3.03. For the purposes of Section 9.06 MOE is at all times in charge of the General Conditions and without limitation thereto, the Borrower shall: (a) prepare, on the basis of guidelines acceptable to the Association, and furnish to the Association not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower and the Association, a plan designed to ensure the continued achievement financial aspects of the Project’s objectives; and (b) afford the Association a reasonable opportunity to exchange views with the Borrower on said plan.

Execution of the Project. (a) The Borrower Kebbi State declares its commitment to the objectives of the Project as set forth in Schedule 2 to this the Development Credit Agreement, and, to this end, shall carry out the Project through XXXX the Kebbi State Poverty Reduction Agency with due diligence and efficiency and in conformity with appropriate educationaladministrative, administrative financial, engineering and financial community development practices, and shall provide, or cause to be provided, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower Association and the Association Kebbi State shall otherwise agree, the Borrower Kebbi State shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 1 to this Agreement. (a) Section 2.02. Except as the Association shall otherwise agree, procurement of the goods, works and consultants’ services required for the Project and to be financed out of the proceeds of the Credit shall be governed by the provisions of Schedule 3 to this the Development Credit Agreement. (a) Kebbi State shall carry out the obligations set forth in Sections 9.03, as said provisions may be further elaborated 9.04, 9.05, 9.06, 9.07 and 9.08 of the General Conditions (relating to insurance, use of goods and services, plans and schedules, records and reports, maintenance and land acquisition, respectively) in respect of the Procurement PlanProject Agreement and Part B of the Project. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference acceptable to the Association, and furnish such update to the Association not later than twelve (12) months after the date of the preceding Procurement Plan, for the Association’s approval. Section 3.03. For the purposes of Section 9.06 of the General Conditions and without limitation thereto, the Borrower Kebbi State shall: (ai) prepare, on the basis of guidelines acceptable to the Association, Association and furnish to the Association not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower Association and the AssociationKebbi State, a plan designed to ensure for the continued achievement sustainability of the Project’s objectives; and (bii) afford the Association a reasonable opportunity to exchange views with Kebbi State on the Borrower on said plan. Section 2.04. Without limitation to its obligations under Section 2.01 of this Agreement, the Borrower shall: (a) open and thereafter maintain, until the completion of the Project, an account (the Kebbi Project Account) in Naira, in a commercial bank, on terms and conditions satisfactory to the Association; (b) promptly thereafter make an initial deposit in Naira of an amount equivalent to US$60,000 (Initial Deposit) into such account to finance the Borrower’s contribution to the Project; (c) thereafter deposit into the Kebbi Project Account by January 1 each year during Project implementation such amounts as shall be required and agreed upon with the Association to timely replenish the Kebbi Project Account back to the amount of the initial deposit referred to in paragraph (b); and (d) use the funds in the Kebbi Project Account exclusively to finance expenditures under the Project. Kebbi State shall duly perform all its obligations under the Subsidiary Financing Agreement. Except as the Association shall otherwise agree, Kebbi State shall not take or concur in any action which would have the effect of amending, abrogating, assigning or waiving the Subsidiary Financing Agreement or any provision thereof. (a) Kebbi State shall, at the request of the Association, exchange views with the Association with regard to the progress of the Project, the performance of its obligations under this Agreement and under the Subsidiary Financing Agreement, and other matters relating to the purposes of the Credit. (b) Kebbi State shall promptly inform the Association of any condition which interferes or threatens to interfere with the progress of the Project, the accomplishment of the purposes of the Credit, or the performance by Kebbi State of its obligations under this Agreement and under the Subsidiary Financing Agreement.

Execution of the Project. (a) The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this Agreement, and, to this end, shall carry out the Project through XXXX MAAIF with due diligence and efficiency and in conformity with appropriate educationaladministrative, administrative agricultural and financial practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower and the Association shall otherwise agree, the Borrower shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 to this Agreement. (a) Section 3.02. Except as the Association shall otherwise agree, procurement of the goods, works and consultants’ services required for the Project and to be financed out of the proceeds of the Credit shall be governed by the provisions of Schedule 3 to this Agreement. (a) The Borrower shall, as said provisions may be further elaborated within thirty months after the Effective Date, but in any event not later than December 30, 1998, carry out jointly with the Association, a comprehensive review of the Project, during which they shall exchange views generally on all matters relating to the progress made in the Procurement Plancarrying out of the Project and the performance by the Borrower of its obligations under this Agreement including, but not limited to a review of the achievements of the Project, in accordance with performance indicators specified in the PIP, the implementation and management aspects of the Project, the performance and use of technical assistance personnel, the role of national counterpart staff, the status and results of training, reporting, accounting and audit performance, disbursement procedures and the overall sustainability of the Project. (b) The Not later than thirty (30) days prior to the review referred to in paragraph (a) above, the Borrower shall update the Procurement Plan in accordance with terms of reference acceptable furnish to the Association, for its comments, a report in such detail as the Association shall reasonably request, including an evaluation of the progress achieved in implementing the various components of the Project, and furnish such update a draft plan containing proposals for remedying any identified deficiencies. (c) The Borrower shall, promptly after the review referred to in paragraph (a) above, (i) prepare an action plan satisfactory to the Association not later than twelve based on the recommendations stemming from the aforementioned review, and (12ii) months after adopt and implement such plan for the date remainder of the preceding Procurement Plan, for the Association’s approvalProject period. Section 3.033.04. For the purposes of Section 9.06 9.07 of the General Conditions and without limitation thereto, the Borrower shall: (a) prepare, on the basis of guidelines acceptable to the Association, and furnish to the Association not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower and the Association, a plan designed to ensure for the continued achievement future operation of the Project’s objectives; and; (b) afford the Association a reasonable opportunity to exchange views with the Borrower on said plan; and (c) thereafter, carry out said plan with due diligence and efficiency and in accordance with appropriate practices, taking into account the Association’s comments thereon.

Execution of the Project. (a) Section 3.01. The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this Agreement, and, to this end, shall carry out the Project through XXXX MOE (as the implementing agency) with due diligence and efficiency and in conformity with appropriate educationaladministrative, administrative financial, economic, engineering and financial environmental practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower and the Association shall otherwise agree, the Borrower shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 to this Agreement. (a) 3.02. Except as the Association Bank shall otherwise agree, procurement of the goods, works and consultants’ services required for the Project and to be financed out of the proceeds of the Credit Loan shall be governed by the provisions of Schedule 3 4 to this Agreement, as said provisions may be further elaborated in the Procurement Plan. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference acceptable to the Association, and furnish such update to the Association not later than twelve (12) months after the date of the preceding Procurement Plan, for the Association’s approval. Section 3.03. For the purposes of Section 9.06 9.08 of the General Conditions and without limitation thereto, the Borrower shall: (a) prepare, on the basis of guidelines acceptable to the AssociationBank, and furnish to the Association Bank not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower and the AssociationBank, a plan designed to ensure for the continued achievement future operation of the Project’s objectives; and (b) afford the Association Bank a reasonable opportunity to exchange views with the Borrower on said plan. Section 3.04. The Borrower shall: (a) follow the criteria and procedures, and the design standards, agreed with the Bank, with respect to: (i) the rehabilitation, upgrading and furnishing of the schools under Part A of the Project; and (ii) the prioritization of the rehabilitation, upgrading and furnishing of such schools; and (b) submit to the Bank, for its approval, any proposed modifications to said criteria, procedures and design standards, before such modifications are introduced. Section 3.05. The Borrower shall: (a) by April 30, 2000, submit to the Bank, for its review, a draft study with recommendations on alternative efficient allocation methods for pre-university school maintenance expenditures; (b) immediately thereafter, finalize said study and the recommendations thereof, taking into consideration the Bank’s comments thereon; and (c) carry out the recommendations of said study in accordance with their terms. Section 3.06. The Borrower shall take all necessary measures on its part to ensure that: (a) every fiscal year, starting from the Borrower’s fiscal year 2001, budgetary allocations allow adequate maintenance of the schools rehabilitated, upgraded and furnished under Part A of the Project; and (b) such budgetary allocations are utilized for their intended purpose. Section 3.07. The Borrower shall: (a) maintain policies and procedures adequate to enable it to monitor and evaluate on an ongoing basis, in accordance with indicators acceptable to the Bank, the carrying out of the Project and the achievement of the objectives thereof; (b) prepare, under terms of reference satisfactory to the Bank, and furnish to the Bank, on or about April 30, 2000, a report integrating the results of the monitoring and evaluation activities performed pursuant to paragraph (a) of this Section, on the progress achieved in the carrying out of the Project during the period preceding the date of said report and setting out the measures recommended to ensure the efficient carrying out of the Project and the achievement of the objectives thereof during the period following such date; and (c) review with the Bank, by August 31, 2000, or such later date as the Bank shall request, the report referred to in paragraph (b) of this Section, and, thereafter, take all measures required to ensure the efficient completion of the Project and the achievement of the objectives thereof, based on the conclusions and recommendations of the said report and the Bank views on the matter.

Execution of the Project. (a) Section 3.01. The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this Agreement, and, to this end, Recipient shall carry out the Project through XXXX with due diligence and efficiency and in conformity with appropriate educational, administrative and financial practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower and the Association shall otherwise agree, the Borrower shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 to this Agreement. (a) 3.02. Except as the Association Administrator shall otherwise agree, procurement of the goods, works goods and consultants’ services required for the Project and to be financed out of the proceeds of the Credit Grant shall be governed by the provisions of Schedule 3 to this Agreement. (a) The Recipient shall maintain or cause to be maintained records and accounts adequate to reflect in accordance with sound accounting practices the operations, as said provisions may be further elaborated resources and expenditures in respect of the Procurement PlanProject of the departments or agencies of the Ministry of Finance and Treasury of the Recipient responsible for carrying out the Project or any part thereof. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference acceptable to the Association, and furnish such update to the Association not later than twelve (12) months after the date of the preceding Procurement Plan, for the Association’s approval. Section 3.03. For the purposes of Section 9.06 of the General Conditions and without limitation thereto, the Borrower Recipient shall: (i) have the records and accounts referred to in paragraph (a) prepareof this Section and those for the Special Account for each fiscal year audited, in accordance with appropriate auditing principles consistently applied, by independent auditors acceptable to the Administrator; (ii) furnish to the Administrator as soon as available, but in any case not later than six months after the end of each such year, the report of such audit by said auditors, of such scope and in such detail as the Administrator shall have reasonably requested; and (iii) furnish to the Administrator such other information concerning said records and accounts and the audit thereof as the Administrator shall from time to time reasonably request. (c) For all expenditures with respect to which withdrawals from the Grant Account were made on the basis of guidelines acceptable statements of expenditure, the Recipient shall: (i) maintain or cause to the Associationbe maintained, in accordance with paragraph (a) of this Section, records and furnish to the Association not later than six accounts reflecting such expenditures; (6ii) months retain, until at least one year after the Closing Date or Administrator has received the audit report for the fiscal year in which the last withdrawal from the Grant Account was made, all records (contracts, orders, invoices, bills, receipts and other documents) evidencing such later date as may be agreed for this purpose between expenditures; (iii) enable the Borrower and the Association, a plan designed Administrator’s representatives to ensure the continued achievement of the Project’s objectivesexamine such records; and (iv) ensure that such records and accounts are included in the annual audit referred to in paragraph (b) afford of this Section and that the Association report of such audit contains a reasonable opportunity separate opinion by said auditors as to exchange views whether the statements of expenditure submitted during such fiscal year, together with the Borrower on said planprocedures and internal controls involved in their preparation, can be relied upon to support the related withdrawals.

Execution of the Project. (a) The Borrower Henan declares its commitment to the objectives of the Project as set forth in Schedule 2 to this Agreement, and, the Loan Agreement and to this end, end shall carry out, and shall cause to be carried out by the Project through XXXX Counties and Project Companies, the Project with due diligence and efficiency and in conformity with appropriate educationaladministrative, administrative financial, engineering and financial public utility practices, and social and environment standards acceptable to the Bank, and shall provide, or cause to be provided, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower Bank and the Association Henan shall otherwise agree, the Borrower Henan shall carry out out, and shall cause to be carried out, the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 2 to this Agreement. (a) Except as the Association Bank shall otherwise agree, procurement of the goods, works and consultants’ services required for the Project and to be financed out of the proceeds of the Credit Loan shall be governed by the provisions of Schedule 3 1 to this Agreement, as said provisions may be further elaborated in the Procurement Plan. (b) The Borrower Henan shall update the Procurement Plan in accordance with terms of reference guidelines acceptable to the AssociationBank, and furnish such update to the Association Bank not later than twelve (12) months after the date of the preceding Procurement Plan, for the AssociationBank’s approval. Section 3.03. (a) Henan shall carry out, and shall cause to be carried out, the obligations set forth in Sections 9.04, 9.05, 9.06, 9.07, 9.08 and 9.09 of the General Conditions (relating to insurance, use of goods and services, plans and schedules, records and reports, maintenance and land acquisition, respectively) in respect of this Agreement. (b) For the purposes of Section 9.06 9.07 of the General Conditions and without limitation thereto, the Borrower Henan shall: (ai) prepare, on the basis of guidelines acceptable to the AssociationBank, and furnish to the Association Bank not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower Bank and the AssociationHenan, a plan designed to ensure for the continued achievement of the objectives of the Project’s objectives; and (bii) afford the Association Bank a reasonable opportunity to exchange views with the Borrower Henan on said plan. Section 2.04. (a) Henan shall, at the request of the Bank, exchange views with the Bank with regard to progress of the Project, the performance of its obligations under this Agreement and other matters relating to the purposes of the Loan.

Execution of the Project. (a) The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this Agreement, and, to this end, Recipient shall carry out the Project through XXXX with due diligence and efficiency and in conformity with appropriate educationaladministrative, administrative financial and financial educational practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower Recipient and the Association Administrator shall otherwise agree, the Borrower Recipient shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 to this the Development Credit Agreement. (a) Section 3.02. Except as the Association Administrator shall otherwise agree, procurement of the goods, works and consultants’ services required for the Project and to be financed out of the proceeds of the Credit DFID Grant shall be governed by the provisions of Schedule 3 2 to this Agreement. (a) The Recipient shall maintain or cause to be maintained records and accounts adequate to reflect in accordance with sound accounting practices the operations, as said provisions may be further elaborated resources and expenditures in respect of the Procurement PlanProject of the departments or agencies of the Recipient responsible for carrying out the Project or any part thereof. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference acceptable to the Association, and furnish such update to the Association not later than twelve (12) months after the date of the preceding Procurement Plan, for the Association’s approval. Section 3.03. For the purposes of Section 9.06 of the General Conditions and without limitation thereto, the Borrower Recipient shall: (i) have the records and accounts referred to in paragraph (a) prepareof this Section including those for the Special Account for each fiscal year audited, in accordance with appropriate auditing principles consistently applied, by independent auditors acceptable to the Administrator; (ii) furnish to the Administrator as soon as available, but in any case not later than six months after the end of each such year, the report of such audit by said auditors, of such scope and in such detail as the Administrator shall have reasonably requested; and (iii) furnish to the Administrator such other information concerning said records and accounts and the audit thereof as the Administrator shall from time to time reasonably request. (c) For all expenditures with respect to which withdrawals from the DFID Grant Account were made on the basis of guidelines acceptable statements of expenditure, the Recipient shall: (i) maintain or cause to the Associationbe maintained, in accordance with paragraph (a) of this Section, records and furnish to the Association not later than six accounts reflecting such expenditures; (6ii) months retain, until at least one year after the Closing Date or Administrator has received the audit for the fiscal year in which the last withdrawal from the DFID Grant Account was made, all records (contracts, orders, invoices, bills, receipts and other documents) evidencing such later date as may be agreed for this purpose between expenditures; (iii) enable the Borrower and the Association, a plan designed Administrator’s representatives to ensure the continued achievement of the Project’s objectivesexamine such records; and (iv) ensure that such records and accounts are included in the annual audit referred to in paragraph (b) afford of this Section and that the Association report of such audit contains a reasonable opportunity separate opinion by said auditors as to exchange views whether the statements of expenditure submitted during such fiscal year, together with the Borrower on said planprocedures and internal controls involved in their preparation, can be relied upon to support the related withdrawals.

Execution of the Project. (a) The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this AgreementProject, and, to this end, shall carry out the Project through XXXX with due diligence and efficiency and in conformity with appropriate educationaleconomic, administrative environmental, financial, technical, administrative, energy and financial mining practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section Section, and except as the Borrower and the Association Bank shall otherwise agree, the Borrower shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 to this AgreementAgreement and the provisions of the Project Implementation Plan. (a) Section 3.02. Except as the Association Bank shall otherwise agree, procurement of the goods, works goods and consultants’ services required for the Project and to be financed out of the proceeds of the Credit Loan shall be governed by the provisions of Schedule 3 to this Agreement, as said provisions may be further elaborated in the Procurement Plan. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference acceptable to the Association, and furnish such update to the Association not later than twelve (12) months after the date of the preceding Procurement Plan, for the Association’s approval. Section 3.03. For the purposes of Section 9.06 9.07 of the General Conditions and without limitation thereto, the Borrower shall: (a) prepare, on the basis of guidelines acceptable to the AssociationBank, and furnish to the Association Bank not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower and the AssociationBank, a plan designed to ensure for the continued achievement future operation of the Project’s objectives; and (b) afford the Association Bank a reasonable opportunity to exchange views with the Borrower on said plan. Section 3.04. The Borrower shall have completed, not later than June 30, 2001, the process of submission of the Draft Law on Electricity and Natural Gas Distribution by Pipelines, satisfactory to the Bank, to the Competent Authorities. Section 3.05. The Borrower shall have completed, not later than December 31, 2001, the process of submission of the Draft Hydrocarbon Law, satisfactory to the Bank, to the Competent Authorities. Section 3.06. In order to achieve the objectives of Parts A, B and C of the Project, the Borrower shall take all actions necessary on its part, not later than December 31, 2002, to issue and promulgate the decrees and regulations, satisfactory to the Bank and the Borrower, required for, respectively, the hydrocarbon, electricity and mining sectors. Section 3.07. In order to achieve the objectives of Parts A, B and C of the Project, the Borrower shall take all action necessary, not later than one year following the enactment of, respectively, the hydrocarbon law, the law on electricity and natural gas distribution by pipelines and the mining law: (a) to establish the relevant regulatory agencies for the hydrocarbon, electricity and mining sectors, respectively, in accordance with an institutional framework acceptable to the Bank, and (b) to appoint the necessary staff to enable the suitable functioning and operation of the agencies referred to in (a).

Execution of the Project. (a) The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this Agreement, and, to this end, shall carry out Part A of the Project through XXXX the GDR, Part B of the Project through the GDBFC and the GDPA, and Part C of the Project through the CA, with due diligence and efficiency and in conformity with appropriate educationaladministrative, administrative financial and financial technological practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project, including, inter alia, annual budgetary allocations, at a level satisfactory to the Bank, for each part of the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower and the Association Bank shall otherwise agree, the Borrower shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 5 to this Agreement, as such Schedule may be amended from time to time by agreement between the Borrower and the Bank. (a) Except as the Association shall otherwise agreeThe Borrower shall, procurement of the goods, works and services required for the Project and without limitation to be financed out of the proceeds of the Credit shall be governed by the provisions of Schedule 3 Sections 9.06 and 9.07 of the General Conditions, prepare and furnish to this Agreementthe Bank for approval for purposes of the Project, by October 31 of each year, starting on October 31, 1996, its proposed annual operational program, such program to be of such scope and in such detail as said provisions may the Bank shall reasonably request, to include, inter alia: (i) a detailed list of the Project activities to be further elaborated executed and expenditures to be incurred, in respect of each Part of the Project, during the immediately following year; and (ii) a list of the Borrower’s agencies or third parties selected to participate in Project activities or to assist the Borrower, through contractual arrangements, in the Procurement Plancarrying out thereof, all during the immediately following year. (b) The Borrower shall update review: (i) the Procurement Plan progress made in accordance with terms the carrying out of reference acceptable to the Association, and furnish such update to the Association not later than twelve (12) months after the date each Part of the preceding Procurement Plan, Project against a set of indicators agreed between the Borrower and the Bank; and (ii) the level of funding required for the Association’s approvalProject for the immediately following year from the proceeds of the Loan and budgetary allocations made by the Borrower. (c) The Borrower shall: (i) introduce such changes into each proposed annual operational program as shall be agreed between the Borrower and the Bank; and (ii) make provision for budgetary allocations for the immediately following year as shall be agreed between the Borrower and the Bank. Section 3.03. For Without limitation or restriction upon the purposes provisions of Section 9.06 3.02 of the General Conditions and without limitation theretothis Agreement, the Borrower shall: : (a) prepare, on the basis of guidelines acceptable to the Association, and furnish to the Association not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower and the AssociationMarch 31, 1996, carry out a plan designed to ensure the continued achievement of the Project’s objectives; and (b) afford the Association a reasonable opportunity to exchange views review, jointly with the Borrower on said plan.Bank, of progress in Project implementation;

Execution of the Project. (a) Section 3.01. The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this Agreement, Agreement and, to this end, shall carry out the Project through XXXX MOW with due diligence and efficiency and in conformity with appropriate educationaladministrative, administrative financial and financial engineering practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower and the Association shall otherwise agree, the Borrower shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 to this Agreement. (a) 3.02. Except as the Association Bank shall otherwise agree, procurement of the goods, works and consultants’ services required for the Project and to be financed out of the proceeds of the Credit Loan shall be governed by the provisions of Schedule 3 4 to this Agreement. Section 3.03. The Borrower shall cause HOW to prepare and furnish to the Bank by not later than December 31, as 1991, an action program for the monitoring of ambient air quality standards for vehicle emissions and proposed standards for vehicle emissions. After review and comment of said provisions may be further elaborated in program and standards by the Procurement PlanBank, the Borrower shall adopt and implement a program satisfactory to the Bank. Section 3.04. The Borrower shall cause MOW to prepare and furnish to the Bank, by not later than December 31, 1991, an action program to ensure effective traffic control. After review and comment of said program by the Bank, the Borrower shall adopt and implement a program satisfactory to the Bank. Section 3.05. For the purpose of implementing Part F of the Project, the borrower shall furnish to the Bank, by not later than December 31, 1990, a time-bound training program covering its fiscal years 1991-1993. (a) Not later than December 31 each year, the Borrower shall cause MOW to prepare and furnish to the Bank for its review and comments, a road maintenance work program covering the period of twelve months commencing on the following July 1. (b) The Borrower Each road maintenance work program shall update set out detailed proposals for the Procurement Plan in accordance with terms of reference acceptable period to which it relates and shall contain information satisfactory to the Association, and furnish such update to the Association not later than twelve (12) months after the date of the preceding Procurement Plan, for the Association’s approvalBank. Section 3.03. For (c) After review and comment on each such work program by the purposes of Section 9.06 of the General Conditions and without limitation theretoBank, the Borrower shall: (a) prepareshall cause MOW to make such revisions to such work program paying due regard to any comments emanating from the Bank and, on except as the basis of guidelines acceptable to the Associationbank shall otherwise agree, and furnish to the Association not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower and shall cause MOW to carry out such work program for the Association, a plan designed to ensure the continued achievement of the Project’s objectives; and (b) afford the Association a reasonable opportunity to exchange views with the Borrower on said planyear in question as shall have been so revised.

Execution of the Project. (a) The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this Agreement, and, to this end, shall carry out the Project through XXXX with due diligence and efficiency and in conformity with appropriate administrative, financial, educational, administrative and financial environmental practices, and shall provide, promptly as needed, the funds, facilities, services services, and other resources resources, required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower and the Association shall otherwise agree, the Borrower shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 to this Agreement. (a) Except as the Association shall otherwise agree, procurement of the goods, works works, and services required for the Project and to be financed out of the proceeds of the Credit shall be governed by the provisions of Schedule 3 to this Agreement, as said provisions may be further elaborated in the Procurement Plan. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference guidelines acceptable to the Association, and furnish such update to the Association Association, not later than twelve (12) 12 months after the date of the preceding Procurement Plan, for the Association’s approval. Section 3.03. For the purposes of Section 9.06 of the General Conditions and without limitation thereto, the Borrower shall: (a) prepare, on the basis of guidelines acceptable to the Association, and furnish to the Association not later than six (6) months after before the Closing Date or such later date as may be agreed for this purpose between the Borrower and the Association, a plan designed to ensure for the continued achievement future operation of the Project’s objectives; and (b) afford the Association a reasonable opportunity to exchange views with the Borrower on said plan. Section 3.04. Without limitation upon its obligations under Section 3.01 of this Agreement, the Borrower shall: (a) open and maintain, until the completion of the Project, a Project account (the Project Account), on terms and conditions satisfactory to the Association; (b) deposit into the Project Account an initial deposit in the amount of FCFA 30,000,000 (the Initial Deposit), and thereafter, at semiannual intervals, deposit into the Project Account such amounts as are estimated to be required for the ensuing six- month period and as shall be agreed upon between the Borrower and the Association; and (c) ensure that the amounts deposited into the Project Account in accordance with paragraph (b) of this Section shall be used exclusively for expenditures under the Project not otherwise financed from the proceeds of the Credit.

Execution of the Project. (a) Section 3.01. The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this Agreement, and, to this end, Recipient shall carry out the Project through XXXX with due diligence and efficiency and in conformity with appropriate educational, administrative and financial practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower and the Association shall otherwise agree, the Borrower shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 to this Agreement. (a) 3.02. Except as the Association Administrator shall otherwise agree, procurement of the goods, works and consultants’ services required for the Project and to be financed out of the proceeds of the Credit Grant shall be governed by the provisions of Schedule 3 to this Agreement. (a) The Recipient shall maintain or cause to be maintained records and accounts adequate to reflect in accordance with sound accounting practices the operations, as said provisions may be further elaborated resources and expenditures in respect of the Procurement PlanProject of the departments or agencies of the Recipient responsible for carrying out the Project or any part thereof. (b) The Borrower shall update Recipient shall: (i) have the Procurement Plan records and accounts referred to in paragraph (a) of this Section for each fiscal year audited, in accordance with terms of reference appropriate auditing principles consistently applied, by independent auditors acceptable to the Association, and Administrator; (ii) furnish such update to the Association Administrator as soon as available, but in any case not later than twelve six (126) months after the date end of each such year, the preceding Procurement Planreport of such audit by said auditors, of such scope and in such detail as the Administrator shall have reasonably requested; and (iii) furnish to the Administrator such other information concerning said records and accounts and the audit thereof as the Administrator shall from time to time reasonably request. (c) For all expenditures with respect to which withdrawals from the Grant Account were made on the basis of statements of expenditure, the Recipient shall: (i) maintain or cause to be maintained, in accordance with paragraph (a) of this Section, records and accounts reflecting such expenditures; (ii) retain, until at least one year after the Administrator has received the audit for the Association’s approvalfiscal year in which the last withdrawal from the Grant Account was made, all records (contracts, orders, invoices, bills, receipts and other documents) evidencing such expenditures; (iii) enable the Administrator's representatives to examine such records; and (iv) ensure that such records and accounts are included in the annual audit referred to in paragraph (b) of this Section and that the report of such audit contains a separate opinion by said auditors as to whether the statements of expenditure submitted during such fiscal year, together with the proce-dures and internal controls involved in their preparation, can be relied upon to support the related withdrawals. Section 3.033.04. For Without limitation upon the purposes applicable provisions of Section 9.06 Article IX of the General Conditions and without limitation theretoConditions, the Borrower Recipient shall: (a) prepare, on the basis of guidelines acceptable to the AssociationAdministrator, and furnish to the Association Administrator not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower Recipient and the AssociationAdministrator, a plan designed to ensure the continued achievement of the objectives of the Project’s objectives; and (b) afford the Association Administrator a reasonable opportunity to exchange views with the Borrower Recipient on said plan.

Execution of the Project. (a) The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this Agreement, and, to this end, Recipient shall carry out the Project through XXXX with due diligence and efficiency and in conformity with appropriate educationaleconomic, financial, administrative and financial technical practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower Recipient and the Association Administrator shall otherwise agree, the Borrower Recipient shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 3 to this Agreement. (a) Section 3.02. Except as the Association Administrator shall otherwise agree, procurement of the goods, works and consultants' services required for the Project and to be financed out of the proceeds of the Credit Grant shall be governed by the provisions of Schedule 3 4 to this Agreement. (a) The Recipient shall maintain or cause to be maintained records and accounts adequate to reflect in accordance with sound accounting practices the operations, as said provisions may be further elaborated resources and expenditures of the Recipient in respect of the Procurement PlanProject. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference acceptable to the Association, and furnish such update to the Association not later than twelve (12) months after the date of the preceding Procurement Plan, for the Association’s approval. Section 3.03. For the purposes of Section 9.06 of the General Conditions and without limitation thereto, the Borrower Recipient shall: (i) have the records and accounts referred to in paragraph (a) prepareof this Section for each fiscal year audited, in accordance with appropriate auditing principles consistently applied, by independent auditors acceptable to the Administrator; (ii) furnish to the Administrator as soon as available, but in any case not later than four months after the end of each such year, the report of such audit by said auditors, of such scope and in such detail as the Administrator shall have reasonably requested; and (iii) furnish to the Administrator such other information concerning said records and accounts and the audit thereof as the Administrator shall from time to time reasonably request. (c) For all expenditures with respect to which withdrawals from the Grant Account were made on the basis of guidelines acceptable statements of expenditure, the Recipient shall: (i) maintain or cause to the Associationbe maintained, in accordance with paragraph (a) of this Section, records and furnish to the Association not later than six accounts reflecting such expenditures; (6ii) months retain, until at least one year after the Closing Date or Administrator has received the audit report for the fiscal year in which the last withdrawal from the Grant Account was made, all records (contracts, orders, invoices, bills, receipts and other documents) evidencing such later date as may be agreed for this purpose between expenditures; (iii) enable the Borrower and the Association, a plan designed Administrator’s representatives to ensure the continued achievement of the Project’s objectivesexamine such records; and (iv) ensure that such records and accounts are included in the annual audit referred to in paragraph (b) afford of this Section and that the Association report of such audit contains a reasonable opportunity separate opinion by said auditors as to exchange views whether the statements of expenditure submitted during such fiscal year, together with the Borrower on said planprocedures and internal controls involved in their preparation, can be relied upon to support the related withdrawals.

Execution of the Project. (a) The Borrower Federation declares its commitment to the objectives of the Project as set forth in Schedule 2 to this the Development Credit Agreement, and, to this end, shall carry out the Project through XXXX with due diligence and efficiency and in conformity with appropriate educationaladministrative, administrative urban management, financial, technical and financial environmental practices, and shall provide, or cause to be provided, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) For the purposes of carrying out the Project, the Federation shall relend the proceeds of the Credit received by it from the Borrower under the Federation Subsidiary Credit Agreement to each Participating Utility and Participating Canton, as the case may be, in the amounts set forth under the Federation Subsidiary Credit Agreement, under a Subsidiary Financing Agreement with such Participating Utility, or Participating Canton, as the case may be, under terms and conditions that will have been approved by the Association, including the terms and conditions set forth in paragraph (e) of Section 3.01 of the Development Credit Agreement. (c) Without limitation upon the provisions of paragraph paragraphs (a) and (b) of this Section and except as the Borrower Association and the Association Federation shall otherwise agree, the Borrower Federation shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 1 to this Agreement. (a) Except as the Association shall otherwise agree, procurement of the goods, works and consultants’ services required for the Project and to be financed out of the proceeds of the Credit shall be governed by the provisions of this Section 2.02 and Schedule 3 2 to this Agreement, as said provisions may be further elaborated in the Procurement Plan. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference acceptable to the Association, and furnish such update to the Association not later than twelve (12) months after the date of the preceding Procurement Plan, for the Association’s approval. Section 3.03. For Promptly following each approval by the purposes of Section 9.06 Association of the General Conditions and without limitation theretoupdated Procurement Plan, the Borrower shall:shall provide a copy of such update to each of the Entities. (ac) prepareIn respect of the procurement of goods, works and consultants’ services required for the Project and to be awarded on the basis of guidelines acceptable to National Competitive Bidding, the Association, and furnish to the Association not later than six following provisions of this paragraph (6c) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower and the Association, a plan designed to ensure the continued achievement of the Project’s objectives; and (b) afford the Association a reasonable opportunity to exchange views with the Borrower on said plan.shall apply:

Execution of the Project. (a) The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this AgreementProject, and, to this end, shall carry out the Project through XXXX the ISPA with due diligence and efficiency and in conformity with appropriate educationalengineering, administrative administrative, financial, environmental and financial technical practices, and shall cause the ISPA to provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower and the Association Bank shall otherwise agree, the Borrower shall carry out the Project Project, through the ISPA, in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 5 to this Agreement. (a) The Borrower shall, for the purposes of carrying out the Project, make the proceeds of the Loan available to the ISPA under the Project Implementation Protocol to be entered into between the Undersecretariat of Treasury and the ISPA in accordance with Section 5.01 of this Agreement. (b) The Borrower shall exercise its rights under the Project Implementation Protocol in such manner as to protect the interests of the Borrower and the Bank and to accomplish the purposes of the Loan, and except as the Bank shall otherwise agree, the Borrower shall not assign, amend, suspend, abrogate, terminate or waive the Protocol or any provision thereof. (a) Except as the Association Bank shall otherwise agree, procurement of the goods, works and services required for the Project and to be financed out of the proceeds of the Credit Loan shall be governed by the provisions of Schedule 3 4 to this Agreement, as said provisions may be further elaborated in the Procurement Plan. (b) The Borrower shall shall, through the ISPA, update the Procurement Plan in accordance with terms of reference guidelines acceptable to the AssociationBank, and furnish such update to the Association Bank not later than twelve (12) 6 months after the date of the preceding Procurement Plan, for the AssociationBank’s approval. Section 3.033.04. For the purposes of Section 9.06 9.07 of the General Conditions and without limitation thereto, the Borrower shall, through the ISPA: (a) prepare, on the basis of guidelines acceptable to the AssociationBank, and furnish to the Association Bank not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower and the AssociationBank, a plan designed to ensure for the continued achievement future operation of the Project’s objectives; and (b) afford the Association Bank a reasonable opportunity to exchange views with the Borrower on said plan.

Execution of the Project. (a) Section 3.01. The Borrower declares its commitment to the objectives objective of the Project as set forth in Schedule 2 to this Agreement, and, to this end, shall shall: (a) through ADAP, carry out Parts A.1, A.2, A.3 (a), A.4, B.5, C.1, C.2, C.4, C.5 and D of the Project Project; (b) through XXXX AFAP, carry out Parts B.1, B.2, B.3 and B.4 of the Project; (c) through ADAP, cause Urban Community Associations to carry out Part A.3 (b) of the Project; and (d) through ADAP, cause Rural Community Associations and Rural Producers’ Associations to carry out Part C.3 of the Project, all with due diligence and efficiency and in conformity with appropriate educationaladministrative, administrative financial, environmental, social and financial sustainable urban and rural development practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower and the Association shall otherwise agree, the Borrower shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 to this Agreement. (a) Except as the Association Bank shall otherwise agree, procurement of the goods, works and services required for the Project and to be financed out of the proceeds of the Credit Loan shall be governed by the provisions of Schedule 3 4 to this Agreement, as said provisions may be further elaborated in the Procurement Plan. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference guidelines acceptable to the AssociationBank, and furnish such update to the Association Bank not later than twelve (12) 12 months after the date of the preceding Procurement Plan, for the AssociationBank’s approval. (c) The Borrower shall: (i) through an independent consultant, under terms of reference satisfactory to the Bank, carry out, at the end of the first year of execution of Subprojects, and every twelve-month period thereafter, a review of the compliance with the provisions of this Agreement of a sample of cases of procurement of goods and works carried out under the Subprojects (including a review of the relevant documentation) in the twelve-month period preceding the date of each such review; and (ii) promptly thereafter, furnish to the Bank the report of such review. (d) The Borrower shall: (i) submit to the Bank, for its prior review and approval, all proposed terms of reference for consultants’ services to be financed out of the proceeds of the Loan; and (ii) in the employment of consultants’ services, use the terms of reference approved by the Bank. Section 3.03. For Without limitation to the provisions of Section 3.01 of this Agreement, the Borrower shall carry out, and shall cause to be carried out, the Project in accordance with the provisions and/or recommendations of: (a) the relevant POA; (b) the Special Groups Inclusion Strategy; (c) the Environmental Management Plan; and (d) a manual, satisfactory to the Bank (the Operational Manual), which shall contain the policies and procedures for the carrying out of the Project, including, inter alia, the procedures for preparation, prioritization and approval of Subprojects, the criteria for eligibility of Associations to participate in the Project, the arrangements for collaboration among ADAP, the Associations and Municipal Development Fora in the carrying out of the Project, the model agreements to be entered into between ADAP and any Association governing such collaboration, the carrying out of Urban Subprojects and Rural Subprojects and the transfer of funds from ADAP to the Associations for the financing of such Subprojects, the procurement procedures to be followed under the Project (including model documents), the Project’s financial management arrangements, the roles and responsibilities of the PC, PCU and Municipal Development Fora under the Project, the composition of the PC, the environment-related provisions applicable to Project activities, the procedures, terms and conditions for the financing of AFAP Subprojects under the AMASOL, the criteria for selection of Beneficiaries of Subloans under the AMASOL, the arrangements between AFAP and ADAP for the collaboration between such agencies in the carrying out of the Project, and the indicators to be used for Project monitoring and evaluation. In case of any inconsistency between a provision of the Operational Manual and this Agreement, the provision of this Agreement will prevail. (a) The Borrower, through ADAP, shall maintain during the execution of the Project a unit within ADAP for purposes of Section 9.06 coordinating and managing the carrying out of the General Conditions Project (the PCU), such unit to have a structure and functions satisfactory to the Bank, and qualified staff in adequate numbers as required to carry out its responsibilities under the Project. (b) The Borrower, through ADAP, shall employ, as provided in Section II of Schedule 4 to this Agreement, a consulting firm to assist and train the PCU in carrying out its functions (especially in the areas of procurement and financial management and in the operation of the MIS), such firm to be employed until such time as the PCU shall be able, in the opinion of the Bank and the Borrower, to carry out its functions without limitation theretoany assistance. (c) The Borrower shall maintain, during the execution of the Project, a Project Council (the PC) to be responsible for: (i) approving Urban Subprojects and Rural Subprojects; (ii) facilitating inter-institutional relations under the Project; (iii) approving the POAs; and (iv) providing strategic guidance for Project implementation. (a) The Borrower shall ensure that at least 10% of the funds allocated to finance Rural Subprojects shall be used for the benefit of Special Groups. (b) Prior to initiating any activity under the Project which will benefit an indigenous community, the Borrower, through ADAP, shall obtain from Fundação Nacional do Índio, the Guarantor’s foundation which deals with indigenous peoples in Brazil: (i) permission for ADAP to carry out any such activity; and (ii) a commitment to collaborate with ADAP in the carrying out of any such activity, and with the indigenous communities in the carrying out of Rural Subprojects. Section 3.06. The Borrower shall: (a) by September 30 of each year during Project implementation, prepare and furnish to the Bank a draft operating plan and budget, satisfactory to the Bank, detailing the Project activities proposed to be carried out during the next succeeding year and the respective sources of funding therefor; and (b) not later than 30 days after the approval of the Borrower’s annual budget by its Assembléia Legislativa (Legislative Assembly), furnish to the Bank the final operating plan and budget for the Project’s activities for each year in question approved on the basis of the relevant Borrower’s annual budget (the POA). Section 3.07. The Borrower shall: (a) establish and maintain Project monitoring and information systems (the MIS), satisfactory to the Bank, one in ADAP and another in AFAP, to enable the monitoring and evaluation on an on-going basis, in accordance with the indicators set forth in the Operational Manual, of the carrying out of the Project and the achievement of the objective thereof; and (b) review with the Bank, on or about the 24th month after the Effective Date, or such later date as the Bank shall request, the progress achieved in the carrying out of the Project during the period preceding the date of such review, based on the monitoring and evaluation activities referred to in paragraph (a) above, and, thereafter, take all measures required to ensure the efficient completion of the Project and the achievement of the objective thereof, based on the conclusions and recommendations of said review. Section 3.08. The Borrower shall: (a) prepare, on the basis of guidelines acceptable to the AssociationBank, and furnish to the Association Bank not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower and the AssociationBank, a plan designed to ensure for the continued achievement future operation of the Project’s objectives; and (b) afford the Association Bank a reasonable opportunity to exchange views with the Borrower on said plan.

Execution of the Project. (a) Section 3.01. The Borrower declares its commitment to the objectives objective of the Project as set forth in Schedule 2 to this AgreementProject, and, to this end, shall carry out the Project Project, through XXXX MAVDT, with the assistance of the Participating Territorial Entities and the Agent, with due diligence and efficiency and in conformity with appropriate educationaladministrative, administrative anthropological, financial, managerial, public utility, social, environmental and financial technical standards and practices, as well as in accordance with the Operational Manual, the EMF, the IPDF, the PFCR, the Project monitoring indicators set forth in the Implementation Letter, and the Annual Action Plans, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower and the Association shall otherwise agree, the Borrower shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 to this Agreement. (a) Except as the Association Bank shall otherwise agree, procurement of the goods, works and consultants’ services required for the Project and to be financed out of the proceeds of the Credit Loan shall be governed by the provisions of Schedule 3 4 to this Agreement, as said provisions may be further elaborated in the Procurement Plan. (b) The Borrower Borrower, through MAVDT, shall update the Procurement Plan in accordance with terms of reference guidelines acceptable to the AssociationBank, and furnish such update to the Association Bank not later than twelve (12) 12 months after the date of the preceding Procurement Plan, for the AssociationBank’s approval. (a) Without prejudice to the provisions related to Project implementation set forth in this Agreement including, but not limited to, Section 3.03. For the purposes of Section 9.06 of the General Conditions and without limitation thereto3.01, the Borrower shallBorrower, through MAVDT, shall issue, and carry out the Project in accordance with, a manual (the Operational Manual), acceptable to the Bank, said manual to include, inter alia: (ai) preparean institutional framework plan of MAVDT, on the basis of guidelines acceptable to the AssociationParticipating Territorial Entities, and furnish the Agent for the management of the Project (including, inter alia, allocation of responsibilities among staff, the methodology for yearly planning of activities and budget and time allocation for those activities); (ii) detailed arrangements for the overall carrying out of the Project (including, inter alia, the procurement, financial management, environmental, resettlement and social guidelines to be followed during Project implementation by the Association not later than six (6) months after Borrower, the Closing Date or such later date as may be agreed for this purpose between the Borrower Participating Territorial Entities and the AssociationAgent); (iii) the guidelines for the preparation of the Annual Action Plans; (iv) the criteria and procedures for: (A) the selection of the Participating Territorial Entities; (B) the preparation, review, approval and implementation of Territorial Entity Subprojects, (including, inter alia, a plan designed suggested list of possible activities to ensure be carried out under Territorial Entity Subprojects and a negative list of activities that can not be carried out under Territorial Entity Subprojects); (C) the continued achievement of procurement and contracting procedures applicable to consultant’s services, goods and works procured by the Project’s objectivesParticipating Territorial Entities under Territorial Entity Subprojects; (D) training and technical assistance, environmental assessments, resettlement assessments, social assessments, and corresponding mitigation measures; and (bE) afford the Association development of a reasonable opportunity uniform approach (which approach is also known as Ventanilla Unica) to exchange views analyze and finance sector investments and improve the performance of utilities. (v) special provisions to address the needs of indigenous peoples, as provided for in the IPDF and in Section 3.07 of this Agreement; (vi) the guidelines for the implementation of the EMF, the IPDF, and the PFCR in connection with the Borrower on said plan.carrying out of the Project; and

Execution of the Project. (a) The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this Agreement, and, to this end, Recipient shall carry out the Project through XXXX with due diligence and efficiency and in conformity with appropriate educationalengineering, financial, administrative and financial environmental practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower Recipient and the Association Administrator shall otherwise agree, the Borrower Recipient shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program project description set forth in Schedule 4 2 to this Agreement. (a) Section 3.02. Except as the Association Administrator shall otherwise agree, procurement of the goods, works goods and consultants' services required for the Project and to be financed out of the proceeds of the Credit Grant shall be governed by the provisions of Schedule 3 to this Agreement. (a) The Recipient shall maintain or cause to be maintained records and accounts adequate to reflect in accordance with sound accounting practices the operations, as said provisions may be further elaborated resources and expenditures in respect of the Procurement PlanProject of the departments or agencies of the Recipient responsible for carrying out the Project or any part thereof. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference acceptable to the Association, and furnish such update to the Association not later than twelve (12) months after the date of the preceding Procurement Plan, for the Association’s approval. Section 3.03. For the purposes of Section 9.06 of the General Conditions and without limitation thereto, the Borrower Recipient shall: (i) have the records and accounts referred to in paragraph (a) prepareof this Section and those for the Special Account for each fiscal year audited, in accordance with appropriate auditing principles consistently applied, by independent auditors acceptable to the Administrator; (ii) furnish to the Administrator as soon as available, but in any case not later than six months after the end of each such year, the report of such audit by said auditors, of such scope and in such detail as the Administrator shall have reasonably requested; and (iii) furnish to the Administrator such other information concerning said records and accounts and the audit thereof as the Administrator shall from time to time reasonably request. (c) For all expenditures with respect to which withdrawals from the Grant Account were made on the basis of guidelines acceptable statements of expenditure, the Recipient shall: (i) maintain or cause to the Associationbe maintained, in accordance with paragraph (a) of this Section, records and furnish to the Association not later than six accounts reflecting such expenditures; (6ii) months retain, until at least one year after the Closing Date or Administrator has received the audit report for the fiscal year in which the last withdrawal from the Grant Account was made, all records (contracts, orders, invoices, bills, receipts and other documents) evidencing such later date as may be agreed for this purpose between expenditures; (iii) enable the Borrower and the Association, a plan designed Administrator’s representatives to ensure the continued achievement of the Project’s objectivesexamine such records; and (iv) ensure that such records and accounts are included in the annual audit referred to in paragraph (b) afford of this Section and that the Association report of such audit contains a reasonable opportunity separate opinion by said auditors as to exchange views whether the statements of expenditure submitted during such fiscal year, together with the Borrower on said planprocedures and internal controls involved in their preparation, can be relied upon to support the related withdrawals.

Execution of the Project. (a) The Borrower Board declares its commitment to the objectives of the Project as set forth in Schedule 2 to this the Development Credit Agreement, and, to this end, shall carry out the Project through XXXX with due diligence and efficiency and in conformity with appropriate educationaladministrative, administrative financial and financial engineering practices, and shall provide, or cause to be provided, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower Association and the Association Board shall otherwise other- wise agree, the Borrower Board shall carry out the Project in accordance with the relevant provisions of the JFA as applicableFormation Order, the Operational ManualRules, the EMP, the VCDP, the EFA Procurement Manual Implementation Manuals and the Implementation Program set forth in Schedule 4 2 to this Agreement. (a) Section 2.02. Except as the Association shall otherwise agree, procurement of the goods, works and consultants’ services required for the Project and to be financed out of the proceeds of the Credit shall be governed by the provisions of Schedule 3 1 to this Agreement. (a) The Board shall carry out the obligations set forth in Sections 9.03, as said provisions may be further elaborated 9.04, 9.05, 9.06, 9.07 and 9.08 of the General Conditions (relating to insurance, use of goods and services, plans and schedules, records and reports, maintenance and land acquisition, respectively) in respect of the Procurement PlanProject Agreement. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference acceptable to the Association, and furnish such update to the Association not later than twelve (12) months after the date of the preceding Procurement Plan, for the Association’s approval. Section 3.03. For the purposes of Section 9.06 9.07 of the General Conditions and without limitation theretoupon the provisions of paragraph (a) of this Section, the Borrower Board shall: (ai) prepare, on the basis of guidelines acceptable to the Association, Association and furnish to the Association not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower Association and the AssociationBoard, a plan designed to ensure for the continued achievement future operation of the Project’s objectives; and (bii) afford the Association a reasonable opportunity to exchange views with the Borrower Board on said plan. Section 2.04. The Board shall duly perform all its obligations under the Grant Agreement. Except as the Association shall otherwise agree, the Board shall not take or concur in any action which would have the effect of amending, abrogating, assigning or waiving the Grant Agreement or any provision thereof. (a) The Board shall, at the request of the Asso- ciation, exchange views with the Association with regard to the progress of the Project, the performance of its obligations under this Agreement and under the Grant Agreement and other matters relating to the purposes of the Credit. (b) The Board shall promptly inform the Association of any condition which interferes or threatens to interfere with the progress of the Project, the accomplishment of the purposes of the Credit, or the performance by the Board of its obligations under this Agreement and under the Grant Agreement.

Execution of the Project. (a) Section 3.01. The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this Agreement, and, to this end, shall carry out the Project through XXXX with due diligence and efficiency and in conformity with appropriate educationaltechnical, engineering, administrative and financial practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower and the Association shall otherwise agree, the Borrower shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 to this Agreement. (a) 3.02. Except as the Association Bank shall otherwise agree, procurement of the goods, works and consultants’ services required for the Project and to be financed out of the proceeds of the Credit Loan shall be governed by the provisions of Schedule 3 4 to this Agreement, as said provisions may be further elaborated in the Procurement Plan. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference acceptable to the Association, and furnish such update to the Association not later than twelve (12) months after the date of the preceding Procurement Plan, for the Association’s approval. Section 3.03. For Without limitation upon the purposes generality of the provisions of Section 9.06 3.01 of this Agreement, the Borrower shall: (i) prepare and furnish to the Bank not later than September 30 of each year for the Bank’s comments, the Borrower’s proposed road investment program for the following year and subsequent years through the Project completion date, together with a financing plan therefor, said program to include a detailed description of road rehabilitation and resurfacing, construction of facilities and provision of equipment to be carried out during the next year under the Project and a technical and economic evaluation, carried out in accordance with guidelines satisfactory to the Bank; and (ii) thereafter finalize said road investment program, taking into consideration the Bank’s comments thereon and take all measures necessary to ensure its prompt implementation. Section 3.04. The Borrower shall: (a) not later than June 30, 1997, undertake an in-depth review of the Project and its implementation arrangements and submit a report thereon to the Bank, which shall be in such scope and detail as the Bank shall reasonably request and (b) promptly after completing the review, carry out those recommendations arising out of said review as agreed between the Borrower and the Bank. Section 3.05. The Borrower shall, not later than December 31, 1998, submit to Parliament draft legislation satisfactory to the Bank, to: (a) allow unrestricted for-hire operations of trucks weighing below eight tons gross; (b) abolish the mandatory use of ONT for road freight forwarding and set forth its new mission; (c) establish deregulated tariffs; and (d) introduce simplified procedures and professional qualification standards for access to the trucking industry, without any quantitative limits. Section 3.06. The Borrower shall, not later than December 31, 1996, submit to Parliament draft legislation satisfactory to the Bank, to include in CNPAC’s mandate: (a) the definition of highway safety policy and the preparation of corresponding action plans; (b) the preparation of legal and regulatory reforms in road safety; and (c) the coordination of the Borrower’s activities with respect to road safety. Section 3.07. Without limitation upon the provisions of Article IX of the General Conditions and without limitation theretoConditions, the Borrower shall: (a) prepare, on the basis of guidelines acceptable to the Association, prepare and furnish to the Association Bank not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower and the AssociationBank, a plan designed to ensure for the continued achievement future operation of the Project’s objectives; and; (b) afford the Association Bank a reasonable opportunity to exchange views with the Borrower on said plan; and (c) thereafter, carry out said plan with due diligence and efficiency and in accordance with appropriate practices, taking into account the Bank’s comments thereon.

Execution of the Project. (a) Section 3.01. The Borrower declares its commitment to the objectives objective of the Project as set forth in Schedule 2 to this Agreement, and, and to this end, shall carry out the Project Project, through XXXX the MOH and with the assistance of the SILAIS Administrative Units, with due diligence and efficiency and in conformity with appropriate educationalhealth, administrative administrative, financial, social, public utility and financial environmental practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower and the Association shall otherwise agree, the Borrower shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 to this Agreement. (a) Except as the Association shall otherwise agree, procurement of the goods, works and services required for the Project and to be financed out of the proceeds of the Credit shall be governed by the provisions of Schedule 3 to this Agreement, as said provisions may be further elaborated in the Procurement Plan. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference guidelines acceptable to the Association, and furnish such update to the Association not later than twelve (12) 12 months after the date of the preceding Procurement Plan, for the Association’s approval. Section 3.03. For The Borrower shall carry out the purposes of Section 9.06 Project in accordance with an operational manual, satisfactory to the Association, said Manual to include, inter alia: (a) Project implementation procedures, monitoring guidelines, the IPP, a summary of the General Conditions EA and without limitation theretoother related documents for the execution of the Project; (b) the criteria, costing mechanism, detailed rules and procedures for: (i) Capitation Transfers to be made under Management Agreements; and (ii) the delivery of the BPHS to PCs under performance agreements with public sector health care providers and service contracts with private sector health care providers; (c) procedures for: (i) the procurement of goods, works and services for the Project; and (ii) strengthening the procurement function of the MOH and the SILAIS Administrative Units; (d) the normative framework for the FONSALUD and other necessary financial management and audit procedures for the Project; (e) flow and disbursement arrangements of Project funds; (f) the indicators to be used in monitoring and evaluating the Project; (g) draft models of Management Agreements, performance agreements with public sector health care providers and service contracts with private sector health care providers; and (h) detailed procedures on service delivery modalities of the BPHS. The Operational Manual may be amended from time to time with the Association’s prior approval. In case of any conflict between the terms of the Operational Manual and those of this Agreement, the terms of this Agreement shall prevail. Section 3.04. The Borrower shall: (a) preparefor purposes of implementing Part A.1 of the Project, formally restructure the MOH central offices and establish, by January 31, 2006, a purchasing unit within the MOH with clearly defined responsibilities on formulation and evaluation of Management Agreements; (b) establish within the basis MOH, and thereafter maintain throughout the execution of guidelines the Project, an entity to coordinate the FYIP with the Borrower, the Association and the Participating Donors, with functions and responsibilities acceptable to the Association and staffed with: (i) a head appointed by the Minister of Health whose terms of reference and conditions of employment are acceptable to the Association, and furnish to the Association not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower and the Association, a plan designed to ensure the continued achievement of the Project’s objectives; and (b) afford the Association a reasonable opportunity to exchange views with the Borrower on said plan.

Execution of the Project. (a) The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this AgreementProject, and, to this end, without any limitation or restriction upon any of its other obligations under this Agreement, shall carry out cause Maharashtra to perform in accordance with the provisions of the Project through XXXX with due diligence and efficiency and in conformity with appropriate educationalAgreement all the obligations of Maharashtra therein set forth, administrative and financial practicesshall take or cause to be taken all action, and shall provide, promptly as needed, including the provision of funds, facilities, services and other resources required for the Projectresources, necessary or appropriate to enable Maharashtra to perform such obligations, and shall not take or permit to be taken any action which would prevent or interfere with such performance. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower and the Association shall otherwise agree, the The Borrower shall carry out make the Project proceeds of the Loan available to Maharashtra in accordance with the relevant provisions Borrower’s arrangements for development assistance to the States of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 to this AgreementIndia. (a) Except as the Association Bank shall otherwise agree, procurement of the goods, works and services required for the Project and to be financed out of the proceeds of the Credit Loan shall be governed by the provisions of Schedule 3 1 to this the Project Agreement, as said provisions may be further elaborated in the Procurement Plan. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference guidelines acceptable to the AssociationBank, and furnish such update to the Association Bank not later than twelve (12) months after the date of the preceding Procurement Plan, for the AssociationBank’s approval. Section 3.03. For the purposes of Section 9.06 9.07 of the General Conditions and without limitation thereto, the Borrower shall: (a) prepare, on the basis of guidelines acceptable to the AssociationBank, and furnish to the Association Bank not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower and the AssociationBank, a plan designed to ensure for the continued achievement future operation of the Project’s objectives; and (b) afford the Association Bank a reasonable opportunity to exchange views with the Borrower on said plan. Section 3.04. The Bank and the Borrower hereby agree that the obligations set forth in Sections 9.04, 9.05, 9.06, 9.07, 9.08, and 9.09 of the General Conditions (relating to insurance, use of goods and services, plans and schedules, records and reports, maintenance and land acquisition, respectively) shall be carried out by Maharashtra pursuant to Section 2.03 of the Project Agreement.

Execution of the Project. (a) The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this Agreement, Agreement and, to this end, shall carry out the Project through XXXX MINEPIA with due diligence and efficiency and in conformity with appropriate educationaladministrative, administrative financial, agricultural extension and financial livestock development practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon The Borrower shall make available the provisions proceeds of paragraph the Loan allocated from time to time to Category (a7) of the table set forth in paragraph 1 of Schedule 1 to this Section Agreement to one or several financial intermediaries in sound financial condition, with appropriate policies and except technical and operational structures and capabilities, under a separate financing agreement to be entered between the Borrower and each said financial intermediary under terms and conditions which shall have been approved by the Bank. (c) The Borrower shall exercise its rights under each Financing Agreement in such manner as to protect the interests of the Borrower and the Association Bank and to accomplish the purposes of the Loan and, except as the Bank shall otherwise agree, the Borrower shall carry out the Project in accordance with the relevant provisions of the JFA as applicablenot assign, the Operational Manualamend, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 to this Agreementabrogate or waive any Financing Agreement or any provision thereof. (a) Section 3.02. Except as the Association Bank shall otherwise agree, procurement of the goods, works and consultants’ services required for the Project and to be financed out of the proceeds of the Credit Loan shall be governed by the provisions of Schedule 3 4 to this Agreement, as said provisions may be further elaborated in the Procurement Plan. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference acceptable to the Association, and furnish such update to the Association not later than twelve (12) months after the date of the preceding Procurement Plan, for the Association’s approval. Section 3.03. For In order to assist MINEPIA in carrying out the purposes Project, the Borrower shall, not later than June 1, 1989, employ and thereafter maintain in position an administrative controller whose qualifications, experience and terms of reference shall be satisfactory to the Bank. Section 9.06 3.04. Beginning March 31, 1989, and not later than March 31 of each year thereafter, the Borrower shall forward to the Bank for its approval: (a) MINEPIA’s proposed annual work programs, including training plans, to be carried out under the Project; and (b) proposed economic and technical studies to be carried out under Part B.4 of the General Conditions Project for the following year, including detailed terms of reference, financial requirements and without limitation thereto, the organizational arrangements. Section 3.05. The Borrower shall: (a) prepare, on carry out the basis study included under Part B.5 of guidelines acceptable to the Association, Project and furnish to the Association complete it not later than six December 31, 1989; (6b) months after review the Closing Date or such later date as may be agreed recommendations of said study in consultation with the Bank together with a proposed timetable for this purpose between the Borrower and the Association, a plan designed to ensure the continued achievement of the Project’s objectivesimplementation thereof; and (bc) afford the Association a reasonable opportunity to exchange views carry out said recommendations as of July 1, 1990, in accordance with the program and timetable determined in agreement with the Bank. Section 3.06. Before undertaking any activity for any of the national agro-pastoral development areas under Part C of the Project, the Borrower on said planshall forward to the Bank for its approval detailed plans concerning proposed infrastructure, financial requirements and organizational arrangements for any such area.

Execution of the Project. (a) The Borrower SLRA declares its commitment to the objectives of the Project as set forth in Schedule 2 to this Agreement, the Development Credit Agreement and, to this end, shall carry out out, on behalf of the Freetown City Council (FCC), Part A (1) and (2) of the Project through XXXX and Parts B, D and E of the Project and, on behalf of the Borrower’s Department of Health and Social Services, Part A (3) of the Project, with due diligence and efficiency and in conformity with appropriate educationaladministrative, administrative financial, engineering and financial public utility practices, and shall provide, or cause to be provided, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section SLRA shall establish and except as thereafter maintain, in a form and with functions and staffing satisfactory to the Borrower and the Association Association, a Project Management and Coordination Unit (PMCU). PMCU shall otherwise agreebe responsible for the management and coordination of all activities included in Parts A, the Borrower shall carry out the Project in accordance with the relevant provisions B, D and E of the JFA as applicableProject. PMCU shall be headed by a Project Manager and its staff shall include: (i) a local counterpart Assistant Project Manager to be employed no later than July 31, 1993, and (ii) an Engineer/Procurement Specialist and a Project Accountant both of whom shall be employed no later than June 30, 1993. The Project Manager shall report directly to the Operational Manual, Director-General of SLRA who shall act at all times under the EMP, guidance of the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 Steering Committee to be established under paragraph (c) of this AgreementSection. (ac) SLRA shall establish and thereafter maintain a Steering Committee (Steering Committee) in a form and with functions satisfactory to the Association. The Steering Committee shall have as Chairman a representative of FCC and its membership shall include representatives of GVWC, SLRA, the Department of Works, the Department of Health and Social Services and such other Departments as the Borrower, SLRA and FCC shall determine. Section 2.02. Except as the Association shall otherwise agree, procurement of the goods, works and consultants’ services required for the Project and to be financed out of the proceeds of the Credit shall be governed by the provisions of the Schedule 3 to this Agreement, as said provisions may be further elaborated in the Procurement Plan. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference acceptable to the Association, and furnish such update to the Association not later than twelve (12) months after the date of the preceding Procurement Plan, for the Association’s approval. Section 3.032.03. For SLRA shall carry out the purposes of Section 9.06 obligations set forth in Sections 9.03, 9.04, 9.05, 9.06, 9.07 and 9.08 of the General Conditions (relating to insurance, use of goods and without limitation theretoservices, plans and schedules, records and reports, maintenance and land acquisi- tion, respectively) in respect of the Borrower shall:SLRA Project Agreement. Section 2.04. (a) prepareSLRA shall, on at the basis request of guidelines acceptable to the Association, and furnish to the Association not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower and the Association, a plan designed to ensure the continued achievement of the Project’s objectives; and (b) afford the Association a reasonable opportunity to exchange views with the Borrower on said planAssociation with regard to the progress of the Project, the performance of its obligations under this Agreement and other matters relating to the purposes of the Credit.

Execution of the Project. (a) The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this AgreementProject, and, to this end, shall carry out the Project through XXXX the PA with due diligence and efficiency and in conformity with appropriate educationalfinancial, administrative administrative, environmental and financial technical practices, and shall cause the PA to provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower and the Association Bank shall otherwise agree, the Borrower shall shall, through the PA, carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 5 to this Agreement. (a) The Borrower shall, for the purposes of the implementation of the Project, enter into a subsidiary loan agreement with the PA (the Subsidiary Loan Agreement) under terms and conditions as agreed with the Bank. (b) The Borrower shall exercise its rights under the Subsidiary Loan Agreement in such manner as to protect the interests of the Borrower and the Bank and to accomplish the purposes of the Loan, and maintain the Subsidiary Loan Agreement as agreed with the Bank. (a) Except as the Association Bank shall otherwise agree, procurement of the goods, works goods and consultants’ services required for the Project and to be financed out of the proceeds of the Credit Loan shall be governed by the provisions of Schedule 3 4 to this Agreement, as said provisions may be further elaborated in the Procurement Plan. (b) The Borrower shall shall, through the PA, update the Procurement Plan in accordance with terms of reference guidelines acceptable to the AssociationBank, and furnish such update to the Association Bank not later than twelve (12) 12 months after the date of the preceding Procurement Plan, for the AssociationBank’s approval. Section 3.033.04. For the purposes of Section 9.06 9.07 of the General Conditions and without limitation thereto, the Borrower Borrower, through the PA, shall: (a) prepare, on the basis of guidelines acceptable to the AssociationBank, and furnish to the Association Bank not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower and the AssociationBank, a plan designed to ensure the continued achievement of the objectives of the Project’s objectives; and (b) afford the Association Bank a reasonable opportunity to exchange views with the Borrower on said plan.

Execution of the Project. (a) The Borrower declares its commitment to the objectives Recipient shall carry out Part A of the Project as set forth in Schedule 2 to this Agreement, and, to this end, shall carry out through JMRC; Part B of the Project through XXXX HUDC, and Part C of the Project through the Ministry of Planning, all with due diligence and efficiency and in conformity with appropriate educationaladministrative, administrative managerial and financial economic practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower and the Association shall otherwise agree, the Borrower shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 to this Agreement. (a) 3.02. Except as the Association Administrator shall otherwise agree, procurement of the goods, works and consultants’ services required for the Project and to be financed out of the proceeds of the Credit Grant shall be governed by the provisions of Schedule 3 4 to this Agreement. (a) The Recipient shall maintain or cause to be maintained records and accounts adequate to reflect in accordance with sound accounting practices the operations, as said provisions may be further elaborated resources and expenditures in respect of the Procurement PlanProject of the departments or agencies of the Recipient responsible for carrying out the Project or any part thereof. (b) The Borrower shall update Recipient shall: (i) have the Procurement Plan records and accounts referred to in paragraph (a) of this Section for each fiscal year audited, in accordance with terms of reference appropriate auditing principles consistently applied, by independent auditors acceptable to the Association, and Administrator; (ii) furnish such update to the Association Administrator as soon as available, but in any case not later than twelve (12) six months after the date end of each such year, the preceding Procurement Planreport of such audit by said auditors, of such scope and in such detail as the Administrator shall have reasonably requested; and (iii) furnish to the Administrator such other information concerning said records and accounts and the audit thereof as the Administrator shall from time to time reasonably request. (c) For all expenditures with respect to which withdrawals from the Grant Account were made on the basis of statements of expenditure, the Recipient shall: (i) maintain or cause to be maintained, in accordance with paragraph (a) of this Section, records and accounts reflecting such expenditures; (ii) retain, until at least one year after the Administrator has received the audit report for the Associationfiscal year in which the last withdrawal from the Grant Account was made, all records (contracts, orders, invoices, bills, receipts and other documents) evidencing such expenditures; (iii) enable the Administrator’s approvalrepresentatives to examine such records; and (iv) ensure that such records and accounts are included in the annual audit referred to in paragraph (b) of this Section and that the report of such audit contains a separate opinion by said auditors as to whether the statements of expenditure submitted during such fiscal year, together with the procedures and internal controls involved in their preparation, can be relied upon to support the related withdrawals. Section 3.033.04. For the purposes of Section 9.06 9.08 of the General Conditions and without limitation thereto, the Borrower Recipient shall: (a) prepare, on the basis of guidelines acceptable to the AssociationAdministrator, and furnish to the Association Administrator not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower Recipient and the AssociationAdministrator, a plan designed to ensure for the continued achievement future operation of the Project’s objectives; and (b) afford the Association Administrator a reasonable opportunity to exchange views with the Borrower Recipient on said plan.

Execution of the Project. (a) Section 3.01. The Borrower declares its commitment to Recipient shall carry out, through the objectives Unidad de Coordinación - Proyecto de Transporte Público Privatizado de Buenos Aires, within the Recipient's Ministry of Economy and Public Works and Services the Project as set forth in Schedule 2 to this Agreement, and, to this end, shall carry out the Project through XXXX with due diligence and efficiency and in conformity with appropriate educationaltechnical, administrative financial and financial environmental practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the ProjectProject . (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower and the Association shall otherwise agree, the Borrower shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 to this Agreement. (a) 3.02. Except as the Association Administrator shall otherwise agree, procurement of the goods, works and consultants' services required for the Project and to be financed out of the proceeds of the Credit Grant shall be governed by the provisions of Schedule 3 to this Agreement. (a) The Recipient shall maintain or cause to be maintained records and separate accounts adequate to reflect in accordance with sound accounting practices the operations, as said provisions may be further elaborated resources and expenditures in respect of the Procurement PlanProject of the departments or agencies of the Recipient responsible for carrying out the Project or any part thereof. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference acceptable to the Association, and furnish such update to the Association not later than twelve (12) months after the date of the preceding Procurement Plan, for the Association’s approval. Section 3.03. For the purposes of Section 9.06 of the General Conditions and without limitation thereto, the Borrower Recipient shall: (i) have the records and accounts referred to in paragraph (a) prepareof this Section and those for the Special Account for each fiscal year audited, in accordance with appropriate auditing principles consistently applied, by independent auditors acceptable to the Administrator; (ii) furnish to the Administrator as soon as available, but in any case not later than four months after the end of each such year, the report of such audit by said auditors, of such scope and in such detail as the Administrator shall have reasonably requested; and (iii) furnish to the Administrator such other information concerning said records and accounts and the audit thereof as the Administrator shall from time to time reasonably request. (c) For all expenditures with respect to which withdrawals from the Grant Account were made on the basis of guidelines acceptable statements of expenditure, the Recipient shall: (i) maintain or cause to the Associationbe maintained, in accordance with paragraph (a) of this Section, records and furnish to the Association not later than six accounts reflecting such expenditures; (6ii) months retain, until at least one year after the Closing Date or Administrator has received the audit report for the fiscal year in which the last withdrawal from the Grant Account was made, all records (contracts, orders, invoices, bills, receipts and other documents) evidencing such later date as may be agreed for this purpose between expenditures; (iii) enable the Borrower and the Association, a plan designed Administrator’s representatives to ensure the continued achievement of the Project’s objectivesexamine such records; and (iv) ensure that such records and accounts are included in the annual audit referred to in paragraph (b) afford of this Section and that the Association report of such audit contains a reasonable opportunity separate opinion by said auditors as to exchange views whether the statements of expenditure submitted during such fiscal year, together with the Borrower on said planprocedures and internal controls involved in their preparation, can be relied upon to support the related withdrawals.

Execution of the Project. (a) The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this Agreement, and, to this end, shall carry out the Project through XXXX with due diligence and efficiency and in conformity with appropriate educationalengineering, administrative administrative, financial and financial highway transport practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon The Borrower shall carry out, together with FARP, the provisions of paragraph Action Plan with due diligence and efficiency and in conformity with appropriate engineering, administrative, financial and highway transport practices. (a) The Borrower shall, by September 30, 1991, together with FARP, carry out a revision of this Section the Feasibility Study Guidelines in accordance with terms of reference satisfactory to the Bank. (b) The Borrower shall: (i) carry out a feasibility study of each roadwork to be included in the Project on the basis of the Feasibility Study Guidelines and except in accordance with levels of economic analysis satisfactory to the Bank; and (ii) furnish to the Bank summaries of such proposed roadworks with the results of each feasibility study, all in accordance with an implementation schedule satisfactory to the Bank. (c) Except as the Borrower and the Association Bank shall otherwise agree, the Borrower shall shall: (i) include in the Project such proposed roadworks which have been approved by the Bank and which have an economic rate of return of not less than 12% calculated on the basis of a methodology satisfactory to the Bank; and (ii) carry out such roadworks: (A) no earlier than the year in which the first year economic rate of return is not less than 10% calculated on the basis of a methodology satisfactory to the Bank; and (B) except as the Bank shall otherwise agree, in their order of priority as determined by their economic rates of return. Section 3.03. The Borrower shall: (i) prepare and furnish to the Bank for review and comment, not later than October 15 of each of its fiscal years, the following information, of such scope and in such detail as the Bank shall reasonably request: (A) a report on the progress achieved in the carrying out of the roadworks included in the Project, (B) proposed revisions to the roadworks included in the Project proposed for the following calendar year, and (C) the roadworks proposed for the period through 1992. (ii) afford the Bank a reasonable opportunity to review and comment on such report and proposals; and (iii) thereafter, promptly introduce any revisions in accordance with a manner that such proposed roadworks for the relevant provisions of following year are satisfactory to the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 to this AgreementBank. (a) The Borrower shall: (i) each calendar year, allocate the revenue received from the road user charge on fuel initially to road maintenance, debt service and administrative costs and thereafter to other roadworks; (ii) each calendar year, allocate not less than the equivalent of $60,000,000 in October 1989 prices to road maintenance from both the revenue received from the road user charge on fuel and from the Borrower’s other sources of funds; and (iii) provide in a timely manner from its own resources the amount needed over and above the revenue received from the road user charge on fuel to meet the requirements of the Project. (b) For purposes of this Section: (i) road user charge on fuel" means the road user charge included in the retail price on gasoline and diesel fuel; and (ii) road maintenance" means routine road maintenance, including pavement strengthening and excluding winter maintenance and programs which are not primarily for maintenance purposes. Section 3.05. The Borrower shall, together with FARP, by June 30, 1992, put into effect a pavement management system, on the basis of terms of reference and an action plan satisfactory to the Bank. Section 3.06. The Borrower shall, together with FARP, carry out the study on the organization and efficiency of road maintenance in accordance with the Action Plan. Section 3.07. The Borrower shall, together with FARP, carry out a training program under Part C of the Project, satisfactory to the Bank, in accordance with the Action Plan and on the basis of terms of reference satisfactory to the Bank. Section 3.08. The Borrower shall, by September 30, 1991, employ one additional transport economist, or train suitably qualified staff in transport planning, in accordance with a program satisfactory to the Bank. Section 3.09. The Borrower shall carry out roadworks financed out of the proceeds of the Loan in accordance with design standards satisfactory to the Bank. Section 3.10. Except as the Association Bank shall otherwise agree, procurement of the goods, works and consultants’ services required for the Project and to be financed out of the proceeds of the Credit Loan shall be governed by the provisions of Schedule 3 4 to this Agreement, as said provisions may be further elaborated in the Procurement Plan. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference acceptable to the Association, and furnish such update to the Association not later than twelve (12) months after the date of the preceding Procurement Plan, for the Association’s approval. Section 3.03. For the purposes of Section 9.06 of the General Conditions and without limitation thereto, the Borrower shall: (a) prepare, on the basis of guidelines acceptable to the Association, and furnish to the Association not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower and the Association, a plan designed to ensure the continued achievement of the Project’s objectives; and (b) afford the Association a reasonable opportunity to exchange views with the Borrower on said plan.

Execution of the Project. (a) The Borrower declares its commitment and the Association shall from time to time, at the objectives request of either party, exchange views on the Project as set forth progress achieved in Schedule 2 to carrying out the Program and the actions specified in Schedules 3 and 4 of this Agreement, and, to this end, shall carry out the Project through XXXX with due diligence and efficiency and in conformity with appropriate educational, administrative and financial practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions Prior to each such exchange of paragraph (a) of this Section and except as the Borrower and the Association shall otherwise agreeviews, the Borrower shall carry furnish to the Association for its review and comment a report on the progress achieved in carrying out the Project Program, in accordance with such detail as the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 to this AgreementAssociation shall reasonably request. (a) Section 3.02. Except as the Association shall otherwise agree, procurement of the goods, works and consultants’ services required for the Project and to be financed out of the proceeds of the Credit shall be governed by the provisions of Schedule 3 2 to this Agreement, as said provisions may . (a) The Borrower shall maintain or cause to be further elaborated maintained records and accounts adequate to reflect in accordance with consistently maintained sound accounting practices the Procurement Planexpenditures financed out of the proceeds of the Credit. (b) The Borrower shall update shall: (i) have the Procurement Plan records and accounts referred to in paragraph (a) of this Section for each fiscal year audited, in accordance with terms of reference appropriate auditing principles consistently applied, by independent auditors acceptable to the Association; (ii) furnish to the Association, as soon as available, but in any case not later than nine months after the end of each such year, a certified copy of the report of such audit by said auditors, of such scope and in such detail as the Association shall have reasonably requested; and (iii) furnish such update to the Association not later than twelve (12) months after such other information concerning said records and accounts and the date of audit thereof as the preceding Procurement Plan, for the Association’s approvalAssociation shall from time to time reasonably request. Section 3.03. (c) For all expenditures with respect to which withdrawals from the purposes Credit Account were made on the basis of Section 9.06 statements of the General Conditions and without limitation theretoexpenditure, the Borrower shall: (i) maintain or cause to be maintained, in accordance with paragraph (a) prepareof this Section, on records and accounts reflecting such expenditures; (ii) retain, until at least one year after the basis of guidelines acceptable to Association has received the audit report for the fiscal year in which the last withdrawal from the Credit Account was made, all records (contracts, orders, invoices, bills, receipts and other documents) evidencing such expenditures; (iii) enable the Association, and furnish ’s representatives to the Association not later than six (6) months after the Closing Date or examine such later date as may be agreed for this purpose between the Borrower and the Association, a plan designed to ensure the continued achievement of the Project’s objectivesrecords; and (iv) ensure that such records and accounts are included in the annual audits referred to in paragraph (b) afford of this Section and that the Association report of such audit contains a reasonable opportunity separate opinion by said auditors as to exchange views whether the statements of expenditure submitted during such fiscal year, together with the Borrower on said planprocedures and internal controls involved in their preparation, can be relied upon to support the related withdrawals.

Execution of the Project. (a) Section 3.01. The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this Agreement, and, to this end, shall carry out the Project through XXXX with due diligence and efficiency and in conformity with appropriate educationalaccounting, administrative administrative, engineering, environmental, railways and financial technical practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower and the Association shall otherwise agree, the Borrower shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 to this Agreement. (a) 3.02. Except as the Association Bank shall otherwise agree, procurement of the goods, works and consultants' services required for the Project and to be financed out of the proceeds of the Credit Loan shall be governed by the provisions of Schedule 3 4 to this Agreement, as said provisions may be further elaborated in the Procurement Plan. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference acceptable to the Association, and furnish such update to the Association not later than twelve (12) months after the date of the preceding Procurement Plan, for the Association’s approval. Section 3.03. For the purposes of Section 9.06 9.08 of the General Conditions and without limitation thereto, the Borrower shall: (a) prepare, on the basis of guidelines acceptable to the AssociationBank, and furnish to the Association Bank not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower and the AssociationBank, a plan designed to ensure for the continued achievement future operation of the Project’s objectives; and (b) afford the Association Bank a reasonable opportunity to exchange views with the Borrower on said plan. Section 3.04. The Borrower shall, at all times: (i) carry out the Performance Contract with due diligence and efficiency and take all action necessary to achieve the targets and objectives therein set forth; and (ii) duly perform its obligations under the Performance Contract and, except as the Bank may otherwise agree, not take or concur in any action which would have the effect of amending, abrogating, assigning or waiving said Performance Contract or any provision thereof. Section 3.05. Without limitation to the provisions of Section 9.07 of the General Conditions, the Borrower shall, commencing on September 30, 1997 and not later than March 31 and September 30 in each Fiscal Year and until Project completion, prepare and furnish to the Bank a report, of such scope and in such detail as the Bank and the Borrower shall reasonably establish, describing the progress achieved in the implementation of the Project during the preceding semester. Section 3.06. The Borrower shall: (a) maintain policies and procedures adequate to enable it to monitor and evaluate on an ongoing basis, in accordance with the Performance Indicators, the carrying out of the Project and the achievement of the objectives thereof; (b) prepare, under terms of reference satisfactory to the Bank, and furnish to the Bank, on or about December 15, 1998, a report integrating the results of the monitoring and evaluation activities performed pursuant to sub-paragraph (a) above, on the progress achieved in the carrying out of the Project during the period preceding the date of said report and setting out the measures recommended to ensure the efficient carrying out of the Project and the achievement of the objectives thereof during the period following such date; and (c) review with the Bank, by February 15, 1999, or such later date as the Bank shall request, the report referred to in sub-paragraph (b) above, and, thereafter, take all measures required to ensure the efficient completion of the Project and the achievement of the objectives thereof, based on the conclusions and recommendations of the said report and the Bank’s views on the matter. Section 3.07. The Borrower shall cooperate fully with the Guarantor in the formulation of a plan for its transformation into a joint-stock company taking into consideration a detailed review of the Borrower’s pension system, including its actuarial and financial evaluation, and a statement of all assets and liabilities to be transferred, and shall take all measures within its power to ensure that, on its transformation into a joint-stock company, all of its liabilities pursuant to this Agreement are forthwith transferred to the joint-stock company.

Execution of the Project. (a) Section 3.01. The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this Agreement, and, to this end, Recipient shall carry out the Project through XXXX with due diligence and efficiency and in conformity with appropriate educational, administrative and financial practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower and the Association shall otherwise agree, the Borrower shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 to this Agreement. (a) 3.02. Except as the Association Administrator shall otherwise agree, procurement of the goods, works and consultants' services required for the Project and to be financed out of the proceeds of the Credit Grant shall be governed by the provisions of Schedule 3 to this Agreement. (a) The Recipient shall maintain or cause to be maintained records and accounts adequate to reflect in accordance with sound accounting practices the operations, as said provisions may be further elaborated resources and expenditures in respect of the Procurement PlanProject of the departments or agencies of the Recipient responsible for carrying out the Project or any part thereof. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference acceptable to the Association, and furnish such update to the Association not later than twelve (12) months after the date of the preceding Procurement Plan, for the Association’s approval. Section 3.03. For the purposes of Section 9.06 of the General Conditions and without limitation thereto, the Borrower Recipient shall: (i) have the records and accounts referred to in paragraph (a) prepareof this Section for each fiscal year audited, in accordance with appropriate auditing principles consistently applied, by independent auditors acceptable to the Administrator; (ii) furnish to the Administrator as soon as available, but in any case not later than six months after the end of each such year, the report of such audit by said auditors, of such scope and in such detail as the Administrator shall have reasonably requested; and (iii) furnish to the Administrator such other information concerning said records and accounts and the audit thereof as the Administrator shall from time to time reasonably request. (c) For all expenditures with respect to which withdrawals from the Grant Account were made on the basis of guidelines acceptable statements of expenditure, the Recipient shall: (i) maintain or cause to the Associationbe maintained, in accordance with paragraph (a) of this Section, records and furnish to the Association not later than six accounts reflecting such expenditures; (6ii) months retain, until at least one year after the Closing Date or Administrator has received the audit report for the fiscal year in which the last withdrawal from the Grant Account was made, all records (contracts, orders, invoices, bills, receipts and other documents) evidencing such later date as may be agreed for this purpose between expenditures; (iii) enable the Borrower and the Association, a plan designed Administrator’s representatives to ensure the continued achievement of the Project’s objectivesexamine such records; and (iv) ensure that such records and accounts are included in the annual audit referred to in paragraph (b) afford of this Section and that the Association report of such audit contains a reasonable opportunity separate opinion by said auditors as to exchange views whether the statements of expenditure submitted during such fiscal year, together with the Borrower on said planprocedures and internal controls involved in their preparation, can be relied upon to support the related withdrawals.

Execution of the Project. (a) The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this AgreementProject, and, to this end, shall carry out the Project through XXXX with due diligence and efficiency and in conformity with appropriate educational, administrative financial, environmental, administrative, technical, engineering and financial general management practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) . Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower and the Association Bank shall otherwise agree, the Borrower shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and with: (i) the Implementation Program set forth in Schedule 4 5 to this Agreement; (ii) the ESSF; and (iii) the Program Operations Manual. The Borrower shall maintain policies and procedures adequate to enable it to monitor and evaluate on an ongoing basis, in accordance with the Monitoring Indicators, the carrying out of the Project and the achievement of the objectives thereof. (a) Except as the Association Bank shall otherwise agree, procurement of the goods, works and services required for the Project and to be financed out of the proceeds of the Credit Loan shall be governed by the provisions of Schedule 3 4 to this Agreement, as said provisions may be further elaborated in the Procurement Plan. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference guidelines acceptable to the AssociationBank, and furnish such update to the Association Bank not later than twelve (12) months after the date of the preceding Procurement Plan, for the AssociationBank’s approval. Section 3.03. For the purposes of Section 9.06 9.07 of the General Conditions and without limitation thereto, the Borrower shall: (a) prepare, on the basis of guidelines acceptable to the AssociationBank, and furnish to the Association Bank not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower and the AssociationBank, a plan designed to ensure for the continued achievement of the objectives of the Project’s objectives; and (b) afford the Association Bank a reasonable opportunity to exchange views with the Borrower on said plan. Section 3.04. The Borrower, through DSSP, shall, not later than March 31 of each Fiscal Year during the implementation of the Project, submit to the Bank an Annual Work Plan, satisfactory to the Bank, in accordance with the format included in the Program Operations manual, setting forth, inter alia, work programs, budgets, the Annual Allocation, the Procurement Plan and, where appropriate, revised Monitoring Indicators, for the same Fiscal Year. Section 3.05. The Borrower, through DSSP, shall, not later than March 31 of each Fiscal Year during the implementation of the Project, provide to the Bank, for its review and assessment, an Annual Report, satisfactory to the Bank, in accordance with the format included in the Program Operations manual: (a) describing progress achieved in the implementation of the Annual Work Plan approved for said Fiscal Year and evidencing compliance by the Borrower with the Monitoring Indicators; and (b) detailing the budgetary allocations for the following Fiscal Year as shall be necessary to ensure adequate financing and proper implementation of said year’s Annual Work Plan.

Execution of the Project. (a) The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this Agreement, and, to this end, shall carry out the Project through XXXX SEPLAN, with the assistance of the Municipal Councils, with due diligence and efficiency and in conformity with appropriate educationalsocial, administrative administrative, agricultural, environmental, financial and financial engineering practices, and in accordance with the Operational Manual and the Approved POAs, and shall provideprovide or cause to be provided, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except . Except as the Borrower and the Association Bank shall otherwise agree, the Borrower shall carry out not amend, abrogate, suspend, waive or fail to enforce the Project in accordance with Operational Manual or any provision thereof. In the relevant provisions case of any conflict between the JFA as applicable, terms of this Agreement and those of the Operational Manual, the EMPterms of this Agreement shall prevail. (b) For the purposes of carrying out the Project, the VCDPBorrower shall, through SEPLAN, maintain during Project Implementation, the EFA Procurement Manual STU with responsibilities, structure and functions satisfactory to the Implementation Program Bank. (c) The Borrower shall, through SEPLAN: (i) enter into Grant Agreements, whenever appropriate for the carrying out of the Project, such agreements to be made in accordance with the terms of the respective draft set forth in Schedule 4 the Model Forms; (ii) enter into Council Agreements with Municipal Councils providing for: (A) the terms and conditions for the participation of the relevant Municipal Council in the Project; and (B) the obligation of such Municipal Council to this Agreemententer into FUMAC Pilot Grant Agreements with Community Associations which shall be made in accordance with the terms of the respective draft set forth in the Model Forms, and, to exercise its rights and comply with its obligations under the FUMAC Pilot Grant Agreements in such a manner as to protect the interests of the Municipal Council, the Borrower and the Bank and to accomplish the purposes of the Loan, and not to assign, amend, abrogate, waive or fail to enforce the FUMAC Pilot Grant Agreements or any provision thereof; and (iii) exercise its rights and comply with its obligations under the Council Agreements in such a manner as to protect the interests of the Borrower and the Bank and to accomplish the purposes of the Loan and, except as the Bank shall otherwise agree, the Borrower shall not assign, amend, abrogate, waive or fail to enforce the Council Agreements and the Grant Agreements or any provision thereof. (a) Section 3.02. Except as the Association Bank shall otherwise agree, procurement of the goods, works and consultants’ services required for the Project and to be financed out of the proceeds of the Credit Loan shall be governed by the provisions of Schedule 3 4 to this Agreement. Section 3.03. The Borrower shall: (a) maintain policies and procedures adequate to enable it to monitor and evaluate on an ongoing basis, as said provisions may be further elaborated in accordance with the Procurement Plan.Performance Indicators, the carrying out of the Project and the achievement of the objectives thereof; (b) The Borrower shall update the Procurement Plan in accordance with prepare, under terms of reference acceptable satisfactory to the AssociationBank, and furnish such update to the Association Bank, not later than six months after the Effective Date, the baseline evaluation study (perfil de entrada) referred to in Part C.4 of the Project; (c) prepare, under terms of reference satisfactory to the Bank, and furnish to the Bank, not later than twelve (12) months after the Effective Date and yearly thereafter during the period of Project implementation, a report integrating the results of the evaluation activities performed pursuant to paragraph (a) of this Section, on the progress achieved in the carrying out of the Project during the period preceding the date of such report and setting out the preceding Procurement Planmeasures recommended to ensure the efficient carrying out of the Project and the achievement of the objectives thereof during the period following such date; and (d) review with the Bank shortly after such report’s preparation, for the Association’s approvalreport referred to in paragraph (c) of this Section, and, thereafter, take all measures required to ensure the efficient completion of the Project and the achievement of the objectives thereof, based on the conclusions and recommendations of the said report and the Bank's views on the matter. Section 3.033.04. The Borrower shall: (a) by October 30 of each year during Project implementation, commencing on October 30, 2002, prepare and furnish to the Bank the proposed annual operating plans and budget, satisfactory to the Bank, detailing the Project activities proposed to be carried out during the next succeeding year and the respective sources of funding therefor; and (b) not later than 30 days after the approval of the Borrower's budget by its Assembléia Legislativa (Legislative Assembly), furnish to the Bank the approved annual operating plans and respective budget (Approved POA) referred to in paragraph (a) of this Section for each year in question. Section 3.05. The Borrower shall: (a) furnish to the Bank, not later than twelve months after the Effective Date and yearly thereafter during the period of Project implementation the results and recommendations of an assessment, to be carried out under terms of reference satisfactory to the Bank, on the cost structure and effectiveness of Community Subprojects, including an evaluation of the physical performance, and cost comparisons and procurement procedures thereof; (b) review with the Bank the results and recommendations of such assessments; and (c) take or cause to be taken all such action which shall have been agreed by the Bank and the Borrower during the review referred to in paragraph (b) above, as shall be necessary for the efficient implementation of Community Subprojects, such action to be taken in a manner and within a timetable agreed upon during such review. Section 3.06. The Borrower shall carry out the Project in accordance with the Operational Manual, satisfactory to the Bank, said Manual to include, inter alia: (a) the procedures for the carrying out, monitoring and evaluation of the Project (including the procurement and financial requirements thereof); (b) criteria for selection of Municipal Councils and Community Associations, and Community Subprojects; (c) requirements for implementation of Community Subprojects, including: environmental criteria and procedures for screening and management of Subprojects, in particular for activities that: (i) use wood as fuel; (ii) produce any waste, liquid or solid; (iii) involve the procurement of pesticides; (iv) involve the construction of small dams; and (v) involve fisheries and aquaculture; and (d) the Model Forms. Section 3.07. For the purposes of Section 9.06 9.08 of the General Conditions and without limitation theretoConditions, the Borrower shall: (a) prepare, on the basis of guidelines acceptable to the AssociationBank, and furnish to the Association Bank not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower and the AssociationBank, a plan designed to ensure for the continued achievement future operation of the Project’s objectives; and (b) afford the Association Bank a reasonable opportunity to exchange views with the Borrower on said plan.

Execution of the Project. (a) The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this Agreement, and, to this end, shall carry out the Project through XXXX the Project Provinces and Project Cities, with due diligence and efficiency and in conformity with appropriate educationaladministrative, administrative management, financial, engineering and financial public utilities practices, and sound environmental and social standards acceptable to the Association; and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower and the Association shall otherwise agree, the Borrower shall carry out out, and cause to be carried out, the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 to this Agreement. (a) Except as the Association shall otherwise agree, procurement of the goods, works and services required for the Project and to be financed out of the proceeds of the Credit shall be governed by the provisions of Schedule 3 to this Agreement, as said provisions may be further elaborated in the Procurement Plan. (b) The Borrower shall update update, and cause to be updated, the Procurement Plan in accordance with terms of reference guidelines acceptable to the Association, and furnish such update to the Association not later than twelve (12) months after the date of the preceding Procurement Plan, for the Association’s approval. Section 3.03. For the purposes of Section 9.06 of the General Conditions and without limitation thereto, the Borrower shall: (a) prepare, on the basis of guidelines acceptable to the Association, and furnish to the Association not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower and the Association, a plan designed to ensure the sustainability of the Project and the continued achievement of the Project’s its objectives; and (b) afford the Association a reasonable opportunity to exchange views with the Borrower on said plan.

Execution of the Project. (a) The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this Agreement, and, to this end, shall carry out the Project primarily through XXXX the Goskomstat and BEA, all with due diligence and efficiency and in conformity with appropriate educationaladministrative, administrative financial and financial statistical practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section Section, and except as the Borrower and the Association Bank shall otherwise agree, the Borrower shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 5 to this Agreement. Section 3.02. In order to facilitate the efficient carrying out of the Project, the Borrower, through the MOF and Goskomstat, shall enter into a project implementation agreement (Project Implementation Agreement) with the BEA, under terms and conditions which shall have been approved by the Bank, and which shall include, but not be limited to the following: (a) scope of responsibilities and description of activities to be carried out by the BEA during the execution of the Project, consistent with Schedule 5 to this Agreement; (b) staffing requirements to be fulfilled by the BEA, including a requirement that the BEA shall establish and maintain during the execution of the Project a project implementation unit within the BEA with qualified staff and consultants and other resources, and under terms of reference satisfactory to the Borrower and the Bank; (c) basis of BEA financing related to expenditures incurred by the BEA in connection with the Project; and (d) reporting, accounting and auditing requirements. Section 3.03. Except as the Association Bank shall otherwise agree, procurement of the goods, works and consultants’ services required for the Project and to be financed out of the proceeds of the Credit Loan shall be governed by the provisions of Schedule 3 4 to this Agreement, as said provisions may be further elaborated in the Procurement Plan. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference acceptable to the Association, and furnish such update to the Association not later than twelve (12) months after the date of the preceding Procurement Plan, for the Association’s approval. Section 3.033.04. For the purposes of Section 9.06 9.07 of the General Conditions and without limitation thereto, the Borrower shall: (a) prepare, on the basis of guidelines acceptable to the Association, Bank and furnish to the Association Bank not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower and the AssociationBank, a plan designed to ensure the continued achievement of the Project’s objectives; and (b) afford the Association Bank a reasonable opportunity to exchange views with the Borrower on said plan.

Execution of the Project. (a) The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this AgreementProject, and, and to this end, shall carry out the Project through XXXX MEF and UCPS with due diligence and efficiency and in conformity with appropriate educationaladministrative, administrative social, financial, cultural, and financial environmental practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower through UCPS and the Association Bank shall otherwise agree, the Borrower shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 5 to this Agreement. (a) Except as the Association Bank shall otherwise agree, procurement of the goods, works goods and consultants’ services required for the Project and to be financed out of the proceeds of the Credit Loan shall be governed by the provisions of Schedule 3 4 to this Agreement, as said provisions may be further elaborated in the General Procurement Plan. (b) The Borrower through UCPS shall update the General Procurement Plan in accordance with terms the provisions of reference acceptable paragraph 4 of Schedule 5 to the Association, and furnish such update to the Association not later than twelve (12) months after the date of the preceding Procurement Plan, for the Association’s approvalthis Agreement. Section 3.03. For the purposes of Section 9.06 9.07 of the General Conditions and without limitation thereto, the Borrower through UCPS shall: (a) prepareprepare through UCPS, on the basis of guidelines acceptable to the AssociationBank, and furnish to the Association Bank not later than six (6) months after the Closing Date or such later date date, as may be agreed for this purpose between the Borrower through UCPS and the AssociationBank, a plan designed to ensure for the continued achievement future operation of the Project’s objectives; and (b) afford the Association Bank a reasonable opportunity to exchange views with the Borrower through UCPS on said plan. Section 3.04. The Borrower, through UCPS, shall furnish to the Bank, (i) no later than three months after the Effective Date, evidence that it has executed the final Implementation Agreement between MEF and MIMDES; and (ii) no later than twelve months after the Effective Date, evidence that it has executed the final Implementation Agreements between MEF on one hand, and each of INEI, MINSA, and MINEDU, on the other hand, all above documents in form and substance satisfactory to the Bank.

Execution of the Project. (a) Section 3.01. The Borrower declares its commitment to the objectives objective of the Project as set forth in Schedule 2 to this Agreement, and, and to this end, shall carry out the Project Project, through XXXX the MOH and with the assistance of the SILAIS Administrative Units, with due diligence and efficiency and in conformity with appropriate educationalhealth, administrative administrative, financial, social, public utility and financial environmental practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower and the Association shall otherwise agree, the Borrower shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 to this Agreement. (a) Except as the Association shall otherwise agree, procurement of the goods, works and services required for the Project and to be financed out of the proceeds of the Credit shall be governed by the provisions of Schedule 3 to this Agreement, as said provisions may be further elaborated in the Procurement Plan. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference guidelines acceptable to the Association, and furnish such update to the Association not later than twelve (12) 12 months after the date of the preceding Procurement Plan, for the Association’s approval. Section 3.03. The Borrower shall carry out the Project in accordance with an operational manual, satisfactory to the Association, said Manual to include, inter alia: (a) Project implementation procedures, monitoring guidelines, the IPP, a summary of the EA and other related documents for the execution of the Project; (b) the criteria, costing mechanism, detailed rules and procedures for: (i) Capitation Transfers to be made under Management Agreements; and (ii) the delivery of the BPHS to PCs under performance agreements with public sector health care providers and service contracts with private sector health care providers; (c) procedures for: (i) the procurement of goods, works and services for the Project; and (ii) strengthening the procurement function of the MOH and the SILAIS Administrative Units; (d) the normative framework for the FONSALUD and other necessary financial management and audit procedures for the Project; (e) flow and disbursement arrangements of Project funds; (f) the indicators to be used in monitoring and evaluating the Project; (g) draft models of Management Agreements, performance agreements with public sector health care providers and service contracts with private sector health care providers; and (h) detailed procedures on service delivery modalities of the BPHS. The Operational Manual may be amended from time to time with the Association’s prior approval. In case of any conflict between the terms of the Operational Manual and those of this Agreement, the terms of this Agreement shall prevail. Section 3.04. The Borrower shall: (a) for purposes of implementing Part A.1 of the Project, formally restructure the MOH central offices and establish, by January 31, 2006, a purchasing unit within the MOH with clearly defined responsibilities on formulation and evaluation of Management Agreements; (b) establish within the MOH, and thereafter maintain throughout the execution of the Project, an entity to coordinate the FYIP with the Borrower, the Association and the Participating Donors, with functions and responsibilities acceptable to the Association and staffed with: (i) a head appointed by the Minister of Health whose terms of reference and conditions of employment are acceptable to the Association; and (ii) a small number of other officials who will be the liaison between the MOH and the SILAIS, whose number, terms of reference and selection process are acceptable to the Association; (c) establish within the MOH, and thereafter maintain throughout the execution of the Project, a unit under the leadership of the MOH’s General Financial Administration Directorate, staffed with employees in adequate numbers, including a coordinator and two analysts, to: (i) manage the funds in the separate special accounts within the FONSALUD; and (ii) to supervise the financial management obligations of the SILAIS Administrative Units and the Municipios; (d) reorganize the Procurement Unit within the MOH and strengthen it by appointing at least 5 procurement officers with qualifications and experience, satisfactory to the Association; and (e) for purposes of assisting in the overall management and execution of the Project, cause each SILAIS Administrative Unit, through the Management Agreements, to create and maintain throughout the execution of the Project, management units with qualified staff in adequate numbers, functions and responsibilities, satisfactory to the Association. Section 3.05. The Borrower shall: (a) through the MOH, enter into a Management Agreement with each SILAIS Administrative Unit, which agreement shall include, inter alia: the SILAIS Administrative Unit’s obligation to: (A) carry out the Management Agreement and to meet the performance benchmarks specified or referred to therein; (B) enter into performance agreements with public sector health care providers and service contracts with private sector health care providers setting forth the SILAIS payment mechanisms with each service provider and to ensure that each service provider is solely paid for services related to the delivery of the BPHS; (C) keep records and accounts of expenditures incurred for the delivery of the BPHS; and monitoring, execution and capacity-building plans for the implementation of the FYIP; (i) exercise its rights and carry out its obligations under each Management Agreement in such a manner as to protect the interests of the Borrower and the Association and to accomplish the purposes of the Credit; (ii) cause each SILAIS Administrative Unit to exercise its rights and carry out its obligations under agreements signed with public and private health care providers in such a manner as to protect the interests of the Borrower and the Association and to accomplish the purposes of the Credit; and (iii) except as the Association shall otherwise agree, the Borrower shall not assign, amend, abrogate, repeal, terminate, waive or fail to enforce any Management Agreement or any provision thereof. Section 3.06. The Borrower shall: (a) maintain policies and procedures adequate to enable it to monitor and evaluate on an ongoing basis the implementation of the Project and the achievement of the objectives thereof, in accordance with the indicators set forth in the Operational Manual, all in a manner satisfactory to the Association; (b) not later than November 1 of each year during Project implementation, submit to the Association for its approval Project annual implementation plans which shall include the project activities to be carried out by the Borrower in the coming year and thereafter, implement each said annual implementation plan, as agreed with the Association, in accordance with its terms; (c) prepare, under terms of reference satisfactory to the Association, and furnish to the Association, bi-annual reports (i) integrating the results of the monitoring and evaluation activities performed pursuant to paragraph (a) of this Section and of the Technical Audits on the progress achieved in the carrying out of the Project during the period preceding the date of said reports, and (ii) setting out the measures recommended to ensure the efficient carrying out of the Project and the achievement of the objectives, thereof, during the period following such date; and (d) bi-annually review with the Association on such dates as the Association shall request, the reports referred to in paragraph (c) of this Section, and, thereafter, take all measures required to ensure the efficient completion of the Project, and the achievement of the objectives thereof, based on the conclusions and recommendations of said reports and the Association’s views on the matter. Section 3.07. For the purposes of Section 9.06 of the General Conditions and without limitation thereto, the Borrower shall: (a) prepare, on the basis of guidelines acceptable to the Association, and furnish to the Association not later than six (6) months after before the Closing Date or such later date as may be agreed for this purpose between the Borrower and the Association, a plan designed to ensure for the continued achievement future operation of the Project’s objectives; and (b) afford the Association a reasonable opportunity to exchange views with the Borrower on said plan.

Execution of the Project. (a) Section 3.01. The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this Agreement, and, to this end, shall carry out Part A of the Project through XXXX its Ministry of Interior and Information and Part B thereof through its Ministry of Housing, all with due diligence and efficiency and in conformity with appropriate educationaladministrative, administrative economic, financial and financial urban planning practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (a) In order to assist the Borrower in carrying out the Project, the Borrower shall employ, not later than September 30, 1990, consultants: (i) whose qualifications, experience and terms and conditions of employment shall be satisfactory to the Bank; and (ii) who shall be selected in accordance with principles and procedures satisfactory to the Bank on the basis of the "Guidelines for the Use of Consultants by World Bank Borrowers and by The World Bank as Executing Agency" published by the Bank in August 1981. (b) Without limitation upon The Borrower shall take all action necessary to ensure that: (i) the plans and programs to be developed under Part A(2) of the Project and the study to be carried out under Part A(3) thereof shall be completed and copies thereof furnished to the Bank not later than December 31, 1992; and (ii) the study to be carried out under Part B of the Project shall be completed and a copy thereof furnished to the Bank not later than December 31, 1991. (c) The Borrower shall afford the Bank a reasonable opportu- nity to exchange views with the Borrower on said plans, programs and studies and shall thereafter promptly take all action neces- sary to ensure the proper implementation of said programs and the recommendations based on said studies, taking into account the Bank’s comments thereon. (d) The Borrower shall assign qualified staff of its Ministries of Interior and Information and of Housing in adequate numbers: (i) to assist the consultants employed in accordance with the provisions of paragraph (a) of this Section for Parts A and except as B of the Borrower Project; and the Association shall otherwise agree(ii) thereafter to update and disseminate, the Borrower shall carry out the Project in accordance with the relevant provisions policies and procedures developed under Parts A and B of the JFA as applicableProject, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 to this Agreement. (a) Except as the Association shall otherwise agree, procurement of the goods, works and services data required for the Project preparation and to be financed out updating of urban development plans and for the proceeds of the Credit shall be governed by the provisions of Schedule 3 to this Agreement, as said provisions may be further elaborated in the Procurement Plan. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference acceptable documents related to the Association, and furnish such update to the Association not later than twelve (12) months after the date study of the preceding Procurement Plan, for the Association’s approvalhousing production. Section 3.03. For the purposes of Section 9.06 of the General Conditions and without limitation thereto, the Borrower shall: (a) prepare, on the basis of guidelines acceptable to the Association, and furnish to the Association not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower and the Association, a plan designed to ensure the continued achievement of the Project’s objectives; and (b) afford the Association a reasonable opportunity to exchange views with the Borrower on said plan.

Execution of the Project. (a) The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this Agreement, Agreement and, to this end, shall carry out the Project through XXXX MFPMA with due diligence and efficiency and in conformity with appropriate educationaladministrative, administrative financial and financial technical practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section Section, and except as the Borrower and the Association shall otherwise agree, the Borrower shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 to this Agreement. (a) Section 3.02. Except as the Association shall otherwise agree, procurement of the goods, works and consultants’ services required for the Project and to be financed out of the proceeds of the Credit shall be governed by the provisions of Schedule 3 to this Agreement. (a) The Borrower and the Association shall, not later than October 31, 1993 and, thereafter, not later than October 31 of each subsequent year, undertake a joint review of the Project or, as said provisions the case may be, not later than October 31, 1994, a mid-term review, during which they shall exchange views generally on all matters relating to the progress of the Project and the performance by the Borrower of its obligations under this Agreement and, in particular, (i) the progress achieved during the current fiscal year, and (ii) the proposed budget and work program for the forthcoming fiscal year, including (A) a statement of monitorable objectives and a program of activities to be further elaborated in the Procurement Planundertaken to achieve those objectives, and (B) detailed budgets and financing plans, a schedule of proposed procurement actions, and staffing and training plans. (b) The Not later than one month prior to each such review, the Borrower shall update the Procurement Plan in accordance with terms of reference acceptable furnish to the Association, for its comments, a report, in such detail as the Association shall reasonably request, on the progress and furnish status of the Project, and giving details, in particular, of the proposed budget and work program for the forthcoming fiscal year. (c) Following each such update review, the Borrower undertakes to act promptly and diligently, in order to take any corrective action deemed necessary to remedy any shortcoming noted in the implementation of the Project, or to implement such other measures as may have been agreed upon between the parties in furtherance of the objectives of the Project. (d) Without limitation to the Association not later than twelve preceding paragraphs (12a), (b) months after the date and (c) of the preceding Procurement Plan, for the Association’s approval. Section 3.03. For the purposes of Section 9.06 of the General Conditions and without limitation theretothis Section, the Borrower shall: (a) prepare, on throughout the basis period of guidelines acceptable implementation of the Project, submit to the Association, for its review and furnish to comments, quarterly reports on the Association not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower and the Association, a plan designed to ensure the continued achievement progress of implementation of the Project’s objectives; and (b) afford the Association a reasonable opportunity to exchange views with the Borrower on said plan.

Execution of the Project. (a) The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this Agreement, and, to this end, shall carry out the Project through XXXX ERADA (except for Parts D and E (3) thereof, which shall be carried out by ARA) with due diligence and efficiency and in conformity with appropriate educationalagricultural, engineering, financial and administrative and financial practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower and the Association shall otherwise agree, the Borrower shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 to this Agreement. (a) Section 3.02. Except as the Association shall otherwise agree, procurement of the goods, works and consultants’ services required for the Project and to be financed out of the proceeds of the Credit shall be governed by the provisions of Schedule 3 to this Agreement, as said provisions may be further elaborated in the Procurement Plan. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference acceptable to the Association, and furnish such update to the Association not later than twelve (12) months after the date of the preceding Procurement Plan, for the Association’s approval. Section 3.03. For The Borrower shall make arrangements satisfactory to the purposes Association for the provision to CACB of Section 9.06 of funds, facilities, services and other resources necessary or appropriate to enable CACB to provide credit facilities to farmers in the General Conditions Project Area required to finance on-farm irrigation investments, new orchards and without limitation theretomachinery. (a) Until the Closing Date, the Borrower shall: (ai) prepare, on the basis by September 30 of guidelines acceptable to the Association, and furnish to the Association not later than six (6) months after the Closing Date each year or such later date as the Association may agree, furnish to the Association for its concurrence, ERADA’s and ARA’s proposed annual work programs for the agricultural services to be agreed provided under the Project and proposed budgetary allocations for this purpose between the carrying out of said programs during the following year; and (ii) by December 31 of each year or such later date as the Association may agree, ensure that annual budgetary allocations required for the carrying out of the said programs during the following year are made. (b) After the Closing Date, the Borrower shall allocate to ERADA and ARA adequate resources to cover the recurrent costs of providing agricultural services in the Project Area. Section 3.05. The Borrower shall, by December 31, 1989 or such later date as the Association shall agree, establish guidelines satisfactory to the Association for the selection, handling and use of plant protection chemicals in the Project Area and shall take all measures necessary to ensure adherence to said guidelines. (a) Except as the Association shall otherwise agree, the Borrower shall cause ERADA to take, from time to time after completion of construction of tertiary canals, all such measures (including, without limitation, adjustments of the level of water tariffs) as shall be required to recover from each tertiary collective unit: (i) the cost of tertiary canals for such tertiary collective unit and (ii) the cost attributed to such tertiary collective unit of operation and maintenance of the Marib Scheme. (b) On the basis of forecasts prepared by ERADA and satisfactory to the Association, (i) the Borrower shall cause ERADA to review with the Borrower and the Association, a plan designed before September 30, 1992 and September 30, 1995 the adequacy of water tariffs to ensure meet the continued achievement requirements set forth in paragraph (a) of this Section in respect of the Project’s objectives; andnext following three fiscal years, and (ii) when such review indicates that such revenues would not be sufficient to meet such requirements, determine, in consultation with the Association and before the beginning of the following fiscal year, the measures to be taken to meet such requirements and the time schedule for the implementation thereof. (bc) afford For the Association purposes of this Section: (i) the term "cost of tertiary canals" shall mean for each tertiary collective unit the aggregate cost of design, supervision and construction of tertiary canals built by ERADA for such collective unit, together with service charges at a reasonable opportunity rate of 7 percent per annum, collected over an eight-year period. (ii) the term "cost attributed to exchange views with operation and maintenance of the Borrower on said planMarib Scheme" shall mean all expenses related to the Marib Scheme of ERADA’s Operation and Maintenance Department, including provisions for replacement of the following capital items used for operation and maintenance of the Marib Scheme: vehicles, equipment, houses, workshops and furniture.

Execution of the Project. (a) Section 3.01. The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this Agreement, and, to this end, Recipient shall carry out the Project through XXXX with due diligence and efficiency and in conformity with appropriate educational, administrative and financial practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower and the Association shall otherwise agree, the Borrower shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 to this Agreement. (a) 3.02. Except as the Association Administrator shall otherwise agree, procurement of the goods, works and consultants' services required for the Project and to be financed out of the proceeds of the Credit Grant shall be governed by the provisions of Schedule 3 to this Agreement. (a) The Recipient shall maintain or cause to be maintained records and accounts adequate to reflect in accordance with sound accounting practices the operations, as said provisions may be further elaborated resources and expenditures in respect of the Procurement PlanProject of the departments or agencies of the Recipient responsible for carrying out the Project or any part thereof. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference acceptable to the Association, and furnish such update to the Association not later than twelve (12) months after the date of the preceding Procurement Plan, for the Association’s approval. Section 3.03. For the purposes of Section 9.06 of the General Conditions and without limitation thereto, the Borrower Recipient shall: (i) have the records and accounts referred to in paragraph (a) prepareof this Section for each fiscal year audited, in accordance with appropriate auditing principles consistently applied, by independent auditors acceptable to the Administrator; (ii) furnish to the Administrator as soon as available, but in any case not later than six months after the end of each such year, the report of such audit by said auditors, of such scope and in such detail as the Administrator shall have reasonably requested; and (iii) furnish to the Administrator such other information concerning said records and accounts and the audit thereof as the Administrator shall from time to time reasonably request. (c) For all expenditures with respect to which withdrawals from the Grant Account were made on the basis of guidelines acceptable statements of expenditure, the Recipient shall: (i) maintain or cause to the Associationbe maintained, in accordance with paragraph (a) of this Section, records and furnish to the Association not later than six accounts reflecting such expenditures; (6ii) months retain, until at least one year after the Closing Date or Administrator has received the audit for the fiscal year in which the last withdrawal from the Grant Account was made, all records (contracts, orders, invoices, bills, receipts and other documents) evidencing such later date as may be agreed for this purpose between expenditures; (iii) enable the Borrower and the Association, a plan designed Administrator's representatives to ensure the continued achievement of the Project’s objectivesexamine such records; and (iv) ensure that such records and accounts are included in the annual audit referred to in paragraph (b) afford of this Section and that the Association report of such audit contains a reasonable opportunity separate opinion by said auditors as to exchange views whether the statements of expenditure submitted during such fiscal year, together with the Borrower on said planproce-dures and internal controls involved in their preparation, can be relied upon to support the related withdrawals.

Execution of the Project. (a) The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this Agreement, Agreement and, to this end, shall carry out the Project through XXXX NTA with due diligence and efficiency and in conformity with appropriate educationaladministrative, administrative financial and financial educational practices, and shall provide, provide promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon The Borrower shall make the provisions proceeds of paragraph (a) of this Section and except the Credit available to NTA, as a grant, under a participation agreement to be entered into between the Borrower and NTA, under terms and conditions which shall have been approved by the Association, and which shall, inter alia, require NTA to: (i) allocate, by December 31, 1995, a weekly one-hour of network time to the transmission of educational materials, and increase said transmission to three hours every week by project completion; (ii) introduce, no later than the fourth year of the Project, an annual budget line of ten percent (10%) of equipment costs for depreciation; (iii) introduce, no later than the fifth year of the Project, a budget item of ten percent (10%) of equipment costs for maintenance and spare parts; (iv) make funds available to pay staff salaries, cover administrative costs and other recurrent expenditures; (v) use the ETU site, all the time throughout the useful life of the facilities, solely for the production of project related materials; (vi) establish a Steering Group and a Working Committee, each in a form and with functions satisfactory to the Association, the membership of which shall include a representative of FMIC; and (vii) define, in detail, the accounting system and the managerial structure of ETU. (c) The Borrower shall carry out or cause to be carried out the actions specified in Schedule 4 to this Agreement to the satisfaction of the Association. (d) The Borrower shall exercise its rights under the Participation Agreement in such manner as to protect the interests of the Borrower and the Association and to accomplish the purposes of the Credit and, except as the Association shall otherwise agree, the Borrower shall carry out not assign, amend, abrogate or waive the Participation Agreement or any provision thereof. Section 3.02. The Borrower shall cause NTA to open and thereafter maintain in NTA’s name, in a commercial or merchant bank satisfactory to the Association, a Project Account in Naira into which NTA shall deposit an initial amount equivalent to seventy thousand dollars ($70,000) from its own resources and shall thereafter quarterly replenish the Project Account by depositing the required counterpart contributions provided by NTA, in accordance with the relevant provisions of estimated requirements as determined by the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual Association and the Implementation Program set forth in Schedule 4 to this AgreementBorrower. (a) Section 3.03. Except as the Association shall otherwise agree, procurement of the goods, works and consultants’ services required for the Project and to be financed out of the proceeds of the Credit shall be governed by the provisions of Schedule 3 to this Agreement. Section 3.04. The Borrower and the Association hereby agree that the obligations set forth in Sections 9.03, as said provisions may 9.04, 9.05, 9.06, 9.07 and 9.08 of the General Conditions (relating to insurance, use of goods and services, plans and schedules, records and reports, maintenance and land acquisition, respectively) shall be further elaborated carried out by NTA. (a) The Borrower shall cause NTA to carry out, in collaboration with FMIC, no later than three years after the Effective Date, jointly with the Association, a mid-term review of the Project. The mid-term review, inter alia, shall examine the technical assistance phasing out, local staff involvement in the Procurement Planproduction and distribution, the 26 episodes of pre-school videos produced, the one hour per week of instructional and development network programming, the distribution of the first batch of bought- in videos, and the first formative evaluation. (b) The Borrower shall update cause FMIC and NTA to implement all corrective measures arising out of the Procurement Plan in accordance mid-term review and agreed with terms of reference acceptable the Association. (c) Three months prior to the Associationreview, FMIC and NTA shall furnish such update to the Association not all relevant documents showing progress attained in carrying out the objectives of the Project. Section 3.06. The Borrower shall: (i) no later than twelve (12) months after December 31, 1995, cause NTA to carry out, in collaboration with FMIC, the date research studies referred to in Part C.6 of the preceding Procurement Plan, Project; and (ii) promptly thereafter cause NTA to furnish to the Association the findings of the studies for the Association’s approvalreview and comment. Section 3.03. For the purposes of Section 9.06 of the General Conditions and without limitation thereto, the Borrower shall: (a) prepare, on the basis of guidelines acceptable to the Association, and furnish to the Association not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower and the Association, a plan designed to ensure the continued achievement of the Project’s objectives; and (b) afford the Association a reasonable opportunity to exchange views with the Borrower on said plan.

Execution of the Project. (a) The Borrower Cross River State declares its commitment to the objectives of the Project as set forth in Schedule 2 to this the Development Credit Agreement, and, to this end, shall carry out the Project through XXXX the Cross River State Poverty Reduction Agency with due diligence and efficiency and in conformity with appropriate educationaladministrative, administrative financial, engineering and financial community development practices, and shall provide, or cause to be provided, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower Association and the Association Cross River State shall otherwise agree, the Borrower Cross River State shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 1 to this Agreement. (a) Section 2.02. Except as the Association shall otherwise agree, procurement of the goods, works and consultants’ services required for the Project and to be financed out of the proceeds of the Credit shall be governed by the provisions of Schedule 3 to this the Development Credit Agreement. (a) Cross River State shall carry out the obligations set forth in Sections 9.03, as said provisions may be further elaborated 9.04, 9.05, 9.06, 9.07 and 9.08 of the General Conditions (relating to insurance, use of goods and services, plans and schedules, records and reports, maintenance and land acquisition, respectively) in respect of the Procurement PlanProject Agreement and Part B of the Project. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference acceptable to the Association, and furnish such update to the Association not later than twelve (12) months after the date of the preceding Procurement Plan, for the Association’s approval. Section 3.03. For the purposes of Section 9.06 of the General Conditions and without limitation thereto, the Borrower Cross River State shall: (ai) prepare, on the basis of guidelines acceptable to the Association, Association and furnish to the Association not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower Association and the AssociationCross River State, a plan designed to ensure for the continued achievement sustainability of the Project’s objectives; and (bii) afford the Association a reasonable opportunity to exchange views with Cross River State on the Borrower on said plan. Section 2.04. Without limitation to its obligations under Section 2.01 of this Agreement, the Borrower shall: (a) open and thereafter maintain, until the completion of the Project, an account (the Cross River Project Account) in Naira, in a commercial bank, on terms and conditions satisfactory to the Association; (b) promptly thereafter make an initial deposit in Naira of an amount equivalent to US$60,000 (Initial Deposit) into such account to finance the Borrower’s contribution to the Project; (c) thereafter deposit into the Cross River Project Account by January 1 each year during Project implementation such amounts as shall be required and agreed upon with the Association to timely replenish the Cross River Project Account back to the amount of the initial deposit referred to in paragraph (b); and (d) use the funds in the Cross River Project Account exclusively to finance expenditures under the Project. Cross River State shall duly perform all its obligations under the Subsidiary Financing Agreement. Except as the Association shall otherwise agree, Cross River State shall not take or concur in any action which would have the effect of amending, abrogating, assigning or waiving the Subsidiary Financing Agreement or any provision thereof. (a) Cross River State shall, at the request of the Association, exchange views with the Association with regard to the progress of the Project, the performance of its obligations under this Agreement and under the Subsidiary Financing Agreement, and other matters relating to the purposes of the Credit. (b) Cross River State shall promptly inform the Association of any condition which interferes or threatens to interfere with the progress of the Project, the accomplishment of the purposes of the Credit, or the performance by Cross River State of its obligations under this Agreement and under the Subsidiary Financing Agreement.

Execution of the Project. (a) The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this AgreementProject, and, to this end, shall carry out the Project through XXXX with due diligence and efficiency and in conformity with appropriate educational, administrative financial, environmental, administrative, technical, engineering and financial general management practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower and the Association Bank shall otherwise agree, the Borrower shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and with: (i) the Implementation Program set forth in Schedule 4 5 to this Agreement; (ii) the ESSF; and (iii) the Program Operations Manual. (c) The Borrower shall maintain policies and procedures adequate to enable it to monitor and evaluate on an ongoing basis, in accordance with the Monitoring Indicators, the carrying out of the Project and the achievement of the objectives thereof. (a) Except as the Association Bank shall otherwise agree, procurement of the goods, works and services required for the Project and to be financed out of the proceeds of the Credit Loan shall be governed by the provisions of Schedule 3 4 to this Agreement, as said provisions may be further elaborated in the Procurement Plan. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference guidelines acceptable to the AssociationBank, and furnish such update to the Association Bank not later than twelve (12) months after the date of the preceding Procurement Plan, for the AssociationBank’s approval. Section 3.03. For the purposes of Section 9.06 9.07 of the General Conditions and without limitation thereto, the Borrower shall: (a) prepare, on the basis of guidelines acceptable to the AssociationBank, and furnish to the Association Bank not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower and the AssociationBank, a plan designed to ensure for the continued achievement of the objectives of the Project’s objectives; and (b) afford the Association Bank a reasonable opportunity to exchange views with the Borrower on said plan. Section 3.04. The Borrower, through DSSP, shall, not later than March 31 of each Fiscal Year during the implementation of the Project, submit to the Bank an Annual Work Plan, satisfactory to the Bank, in accordance with the format included in the Program Operations manual, setting forth, inter alia, work programs, budgets, the Annual Allocation, the Procurement Plan and, where appropriate, revised Monitoring Indicators, for the same Fiscal Year. Section 3.05. The Borrower, through DSSP, shall, not later than March 31 of each Fiscal Year during the implementation of the Project, provide to the Bank, for its review and assessment, an Annual Report, satisfactory to the Bank, in accordance with the format included in the Program Operations manual: (a) describing progress achieved in the implementation of the Annual Work Plan approved for said Fiscal Year and evidencing compliance by the Borrower with the Monitoring Indicators; and (b) detailing the budgetary allocations for the following Fiscal Year as shall be necessary to ensure adequate financing and proper implementation of said year’s Annual Work Plan.

Execution of the Project. (a) The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this Agreement, and, to this end, Recipient shall carry out the Project through XXXX with due diligence and efficiency and in conformity with appropriate educational, administrative and financial practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. For purposes of this Section, the Recipient, through its Departamento Nacional de Planeación and the Vice Ministry of Rural Development of the Recipient’s Ministry of Agriculture, may enter into contractual arrangements satisfactory to the Bank with a legal entity acceptable to the Bank, under which arrangements such entity shall, on behalf of the aforesaid administrative subdivisions of the Recipient and following instructions therefrom, execute and deliver each and all necessary contracts for the provision of services under the Project and make the payments required thereunder. (b) Without limitation upon The Recipient shall carry out day to day activities under the provisions Project through the project implementation unit which has been established pursuant to paragraph 3 of Attachment I to the agreement between the Recipient and the Bank mentioned in paragraph (ac) of Section 1.02 (c) of this Section Agreement - PPF 282 and except as will operate under the Borrower and the Association shall otherwise agree, the Borrower shall carry out the Project in accordance with the relevant provisions advice of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 to this AgreementAdministrative Committee. (a) Section 3.02. Except as the Association Administrator shall otherwise agree, procurement of the goods, works goods and consultants’ services required for the Project and to be financed out of the proceeds of the Credit Grant shall be governed by the provisions of Schedule 3 to this Agreement. (a) The Recipient shall maintain or cause to be maintained separate records and accounts adequate to reflect in accordance with sound accounting practices the operations, as said provisions may be further elaborated resources and expenditures in respect of the Procurement PlanProject of the departments or agencies of the Recipient responsible for carrying out the Project or any part thereof. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference acceptable to the Association, and furnish such update to the Association not later than twelve (12) months after the date of the preceding Procurement Plan, for the Association’s approval. Section 3.03. For the purposes of Section 9.06 of the General Conditions and without limitation thereto, the Borrower Recipient shall: (i) have or cause to be had the records and accounts referred to in paragraph (a) prepareof this Section and those for the Special Account for each fiscal year audited, in accordance with appropriate auditing principles consistently applied, by independent auditors acceptable to the Administrator; (ii) furnish or cause to be furnished to the Administrator as soon as available, but in any case not later than four months after the end of each such year, the report of such audit by said auditors, of such scope and in such detail as the Administrator shall have reasonably requested; and (iii) furnish or cause to be furnished to the Administrator such other information concerning said records and accounts and the audit thereof as the Administrator shall from time to time reasonably request. (c) For all expenditures with respect to which withdrawals from the Grant Account were made on the basis of guidelines acceptable statements of expenditure, the Recipient shall: (i) maintain or cause to the Associationbe maintained, in accordance with paragraph (a) of this Section, records and furnish accounts reflecting such expenditures; (ii) retain or cause to the Association not later than six (6) months be retained, until at least one year after the Closing Date or Administrator has received the audit report for the fiscal year in which the last withdrawal from the Grant Account was made, all records (contracts, orders, invoices, bills, receipts and other documents) evidencing such later date as may be agreed for this purpose between expenditures; (iii) enable the Borrower and the Association, a plan designed Administrator’s representatives to ensure the continued achievement of the Project’s objectivesexamine such records; and (iv) ensure that such records and accounts are included in the annual audit referred to in paragraph (b) afford of this Section and that the Association report of such audit contains a reasonable opportunity separate opinion by said auditors as to exchange views whether the statements of expenditure submitted during such fiscal year, together with the Borrower on said planprocedures and internal controls involved in their preparation, can be relied upon to support the related withdrawals.

Execution of the Project. (a) The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this Agreement, and, to this end, shall carry out the Project through XXXX the Executing Agencies as described in the Annex to Schedule 2 to this Agreement, with due diligence and efficiency and in conformity with appropriate educationaladministrative, administrative financial and financial management practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section, the Borrower shall maintain in MEC, until the Closing Date, the Project Coordinating Unit with functions and responsibilities satisfactory to the Bank, including, inter alia, the following: (i) coordinate the execution of all parts of the Project; (ii) approve the procurement of goods and the selection of, and the terms of reference for, the consultants proposed by the Executing Agencies; (iii) review of all consultants’ reports and provision of feedback to the National Project Director, the Executing Agencies and the Bank on their content and on the soundness of the consultants’ recommendations; (iv) prepare semi-annual reports on the progress of the Project; and (v) make all necessary administrative arrangements for the timely procurement of goods and hiring of consultants required for the Project. (c) The Borrower shall ensure that the Project Coordinating Unit is at all times headed by a Secretary or Sub-secretary of MEC acceptable to the Bank, as National Project Director, assisted by a full-time Deputy Director with qualifications, experience and terms of reference satisfactory to the Bank, and by qualified staff in adequate numbers. (d) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower and the Association Bank shall otherwise agree, the Borrower shall carry out the Project substantially in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 5 to this Agreement. Section 3.02. (a) Except as Not later than April 30, 1991, the Association shall otherwise agree, procurement of the goods, works and services required for the Project and to be financed out of the proceeds of the Credit shall be governed by the provisions of Schedule 3 to this Agreement, as said provisions may be further elaborated in the Procurement Plan. (b) The Borrower shall update enter into contractual arrangements, satisfactory to the Procurement Plan in accordance Bank, with terms of reference an agent or agents acceptable to the Association, and furnish such update to the Association not later than twelve (12) months after the date of the preceding Procurement PlanBank, for the Association’s approval. Section 3.03. For the purposes handling contracting of Section 9.06 of the General Conditions and without limitation theretoconsultants, the Borrower shall: (a) prepare, on the basis procurement of guidelines acceptable to the Association, goods and furnish to the Association not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower and the Association, a plan designed to ensure the continued achievement of arranging training activities under the Project’s objectives; and (b) afford the Association a reasonable opportunity to exchange views with the Borrower on said plan.

Execution of the Project. (a) The Borrower Recipient declares its commitment to the objectives of the Project as set forth in Schedule 2 to this Agreement, Agreement and, to this end, shall carry out the Project through XXXX the Ministry with due diligence and efficiency and in conformity with appropriate educationaladministrative, administrative engineering, geological, biological, social and financial practicespractices and with due regard to ecological and environmental factors, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon the provisions of paragraph (a) of this Section and except as the Borrower Recipient and the Association Trustee shall otherwise agree, the Borrower Recipient shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 3 to this Agreement. (c) The Recipient shall open and thereafter maintain an account (the Project Account) in a commercial bank in the name of the Project and deposit into the Project Account on the first day of each calendar quarter, amounts required to cover his share of incremental operating costs according to Schedule 1, Category 5 (a) and (b) of this Agreement. Funds deposited into the Project Account shall be used only to cover expenditures incurred for the purposes of the Project. Section 3.02. The Recipient shall: (a) carry out a mid-term review no later than June 30, 1995 to assess the progress made in the execution of the Project and promptly implement the recommendations of said mid-term review as they shall have been agreed upon with the Trustee; such mid-term review to cover, inter alia: (i) legal, regulatory and institutional changes executed and planned; (ii) management of the five Priority Project Sites and quality and adequacy of staff; kind and quality of local participation in management of Protected Areas and the execution of alternative activities; (iii) definition of the share of the Recipient’s contribution to cover the operating expenses of the Project; (iv) the review of adequacy of indicators for monitoring and evaluating the Project’s progress in relation to the achievement of its objectives as described in Schedule 2 to this Agreement, with particular emphasis on changes in biodiversity and socio-economic behavior of the population concerned, and define a program of their application for the remaining completion period of the Project; and (v) review the results of NEAP relating to biodiversity conservation and modalities of their implementation; Three months prior to such review, a report shall be submitted to the Trustee, as detailed as acceptable to the Trustee, covering project progress in all aspects as to be reviewed during the mid-term review, including definite proposals for the establishment of the Permanent Structure pursuant to Schedule 3 paragraph (8) (b) of this Agreement, and the Trust Fund pursuant to paragraph (b) of this Section. (b) establish, no later than six months after the mid-term review, a Trust Fund intended to sustain the Project’s achievements, to be governed by regulations provided for by law, in accordance with terms and conditions defined by the Project and satisfactory to the Trustee. Section 3.03. Except as the Association Trustee shall otherwise agree, procurement of the goods, works and consultants’ services required for the Project and to be financed out of the proceeds of the Credit GET Grant shall be governed by the provisions of Schedule 3 4 to this Agreement, as said provisions may be further elaborated in the Procurement Plan. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference acceptable to the Association, and furnish such update to the Association not later than twelve (12) months after the date of the preceding Procurement Plan, for the Association’s approval. Section 3.03. For the purposes of Section 9.06 of the General Conditions and without limitation thereto, the Borrower shall: (a) prepare, on the basis of guidelines acceptable to the Association, and furnish to the Association not later than six (6) months after the Closing Date or such later date as may be agreed for this purpose between the Borrower and the Association, a plan designed to ensure the continued achievement of the Project’s objectives; and (b) afford the Association a reasonable opportunity to exchange views with the Borrower on said plan.

Execution of the Project. (a) Section 3.01. The Borrower declares its commitment to the objectives of the Project as set forth in Schedule 2 to this Agreement, and, to this end, Recipient shall carry out the Project, or cause the Project through XXXX to be carried out, with due diligence and efficiency and in conformity with appropriate educationaladministrative, administrative engineering, environmental and financial practices, and shall provide, promptly as needed, the funds, facilities, services and other resources required for the Project. (b) Without limitation upon Section 3.02. Except as the provisions of paragraph Administrator shall otherwise agree: (a) of this Section and except as the Borrower and the Association shall otherwise agree, the Borrower shall carry out the Project in accordance with the relevant provisions of the JFA as applicable, the Operational Manual, the EMP, the VCDP, the EFA Procurement Manual and the Implementation Program set forth in Schedule 4 to this Agreement. (a) Except as the Association shall otherwise agree, procurement of the goods, works and consultants’ services required for the Project and to be financed out of the proceeds of the Credit Grant shall be governed by the provisions of Schedule 3 to this Agreement; and (b) the consultants shall be hired not later than September 30, as said provisions may 1991. (a) The Recipient shall maintain or cause to be further elaborated maintained records and accounts adequate to reflect in accordance with sound accounting practices the Procurement Planoperations, resources and expenditures in respect of the Project of the departments or agencies of the Recipient responsible for carrying out the Project or any part thereof. (b) The Borrower shall update the Procurement Plan in accordance with terms of reference acceptable to the Association, and furnish such update to the Association not later than twelve (12) months after the date of the preceding Procurement Plan, for the Association’s approval. Section 3.03. For the purposes of Section 9.06 of the General Conditions and without limitation thereto, the Borrower Recipient shall: (i) have the records and accounts referred to in paragraph (a) prepareof this Section for each fiscal year audited, in accordance with appropriate auditing principles consistently applied, by independent auditors acceptable to the Administrator; (ii) furnish to the Administrator as soon as available, but in any case not later than nine months after the end of each such year, the report of such audit by said auditors, of such scope and in such detail as the Administrator shall have reasonably requested; and (iii) furnish to the Administrator such other informa-xxxx concerning said records and accounts and the audit thereof as the Administrator shall from time to time reasonably request. (c) For all expenditures with respect to which withdrawals from the Grant Account were made on the basis of guidelines acceptable statements of expenditure, the Recipient shall: (i) maintain or cause to the Associationbe maintained, in accordance with paragraph (a) of this Section, records and furnish to the Association not later than six accounts reflecting such expenditures; (6ii) months retain, until at least one year after the Closing Date or Administrator has received the audit for the fiscal year in which the last withdrawal from the Grant Account was made, all records (contracts, orders, invoices, bills, receipts and other documents) evidencing such later date as may be agreed for this purpose between expenditures; (iii) enable the Borrower and the Association, a plan designed Administrator’s representatives to ensure the continued achievement of the Project’s objectivesexamine such records; and (iv) ensure that such records and accounts are included in the annual audit referred to in paragraph (b) afford of this Section and that the Association report of such audit contains a reasonable opportunity separate opinion by said auditors as to exchange views whether the statements of expenditure submitted during such fiscal year, together with the Borrower on said planprocedures and internal controls involved in their preparation, can be relied upon to support the related withdrawals. Section 3.04. The Recipient shall carry out, or cause to be carried out, the training in Part C of the Project, in accordance with guidelines, procedures and terms of reference satisfactory to the Association.