Conformed Copy - C2087 - Second Economic Recovery Credit - Second Agreement Amending Development Credit Agreement

Page 1 CONFORMED COPY CREDIT NUMBER 2087 UG (Second Amendment) (Second Economic Recovery Credit) between THE REPUBLIC OF UGANDA and INTERNATIONAL DEVELOPMENT ASSOCIATION Dated January 9, 1992 CREDIT NUMBER 2087 UG (Second Amendment) SECOND AGREEMENT AMENDING DEVELOPMENT CREDIT AGREEMENT AGREEMENT, dated January 9, 1992, between THE REPUBLIC OF UGANDA (the Borrower) and INTERNATIONAL DEVELOPMENT ASSOCIATION (the Association). WHEREAS (A) the Borrower and the Association have entered into a Development Credit Agreement (Second Economic Recovery Credit), dated February 8, 1990 (the Development Credit Agreement), for the purpose of assisting in the financing of the program referred to in Recital (A) of the Preamble to the Development Credit Agreement (the Program); (B) the Borrower and the Association have entered into an agreement dated November 7, 1990 (the First Amending Agreement) amending the Development Credit Agreement for the purpose of providing the Borrower with additional assistance in the financing of the Program; Page 2 (C) the Borrower has requested the Association to provide further additional assistance towards the financing of the Program by increasing the amount made available under the Development Credit Agreement by an amount in various currencies equivalent to one million two hundred thousand Special Drawing Rights (SDR 1,200,000); and WHEREAS the Association has agreed, on the basis, inter alia, of the foregoing, to provide such additional assistance to the Borrower upon the terms and conditions set forth in this Agreement; NOW THEREFORE the parties hereto hereby agree as follows: ARTICLE I Amendments of the Development Credit Agreement Section 1.01. Section 1.02 of the Development Credit Agreement is amended by deleting the "and" at the end of Sub-section (c), substituting "; and" for "." at the end of Sub-section (d) and adding a new Subsection (e) as follows: "(e) 'Second Amending Agreement' means the Second Agreement Amending the Development Credit Agreement (Second Economic Recovery Credit) between the Borrower and the Association, dated January 9, 1992." Section 1.02. Section 2.01 of the Development Credit Agreement is amended to read as follows: "Section 2.01. The Association agrees to lend to the Borrower, on the terms and conditions set forth or referred to in the Development Credit Agreement, an amount in various currencies equivalent to one hundred million eight hundred thousand Special Drawing Rights (SDR 100,800,000) (the Credit), which includes an original amount in various currencies equivalent to ninety-eight million one hundred thousand Special Drawing Rights (SDR 98,100,000) and two additional amounts in various currencies equivalent respectively, to one million five hundred thousand Special Drawing Rights (SDR 1,500,000) (the First Additional Financing) and one million two hundred thousand Special Drawing Rights (SDR 1,200,000) (the Second Additional Financing)." Section 1.03. A proviso is added at the end of Section 2.04 (a) of the Development Credit Agreement reading as follows: "; provided, however, that any commitment charge on the First Additional Financing shall accrue from January 7, 1991, and that any commitment charge on the Second Additional Financing shall accrue from a date sixty (60) days after the date of the Second Amending Agreement." Section 1.04. The amount of the Credit allocated to Category (1) in the table set forth in paragraph 1 of Schedule 1 to the Development Credit Agreement is increased from SDR 97,200,000 to SDR 98,400,000, and the total amount of the Credit referred to at the end of the said table is increased from SDR 99,600,000 to SDR 100,800,000. Section 1.05. The following paragraph is added at the end of Schedule 1 to the Development Credit Agreement: "8. After a date twelve (12) months from the date of the Second Amending Agreement, no withdrawals shall be made and no commitment shall be entered into to pay amounts, to or on the order of, the Borrower in respect of expenditures to be financed out of the proceeds of the Second Additional Financing. At any time after such date, the Association may, by notice to the Borrower, cancel the unwithdrawn amount of Page 3 the Second Additional Financing from the Credit Account or any part thereof." ARTICLE II Effective Date; Termination Section 2.01. The Second Amending Agreement shall not become effective until satisfactory evidence shall have been furnished to the Association that the execution and delivery of the Second Amending Agreement on behalf of the Borrower have been duly authorized or ratified by all necessary governmental action. Section 2.02. As part of the evidence to be furnished pursuant to Section 2.01 of the Second Amending Agreement, there shall be furnished to the Association an opinion or opinions, satisfactory to the Association, of counsel acceptable to the Association showing, on behalf of the Borrower, that the Second Amending Agreement has been duly authorized or ratified by, and executed and delivered on behalf of, the Borrower and is legally binding upon the Borrower in accordance with its terms. Section 2.03. This Second Amending Agreement shall come into force and effect on the date upon which the Association dispatches to the Borrower notice of its acceptance of the evidence required by Section 2.01 of this Second Amending Agreement. Section 2.04. If the Second Amending Agreement shall not have come into force and effect by a date ninety (90) days after the date of this Second Amending Agreement, this Second Amending Agreement and all obligations of the parties hereunder shall terminate, unless the Association establishes a later date for the purposes of this Section. If this Second Amending Agreement shall terminate under the provisions of this Section, the Development Credit Agreement, as amended by the First Amending Agreement, shall continue in full force and effect, as if this Second Amending Agreement had not been executed. IN WITNESS WHEREOF, the parties hereto, acting through their duly authorized representatives, have caused this Amending Agreement to be signed in their respective names in the District of Columbia, United States of America, as of the day and year first above written. THE REPUBLIC OF UGANDA By /s/ Stephen K. Katenta-Apuli Authorized Representative INTERNATIONAL DEVELOPMENT ASSOCIATION By /s/ Francis X. Colaco Acting Regional Vice President Africa