Conformed Copy - L3064 - Fifth Urban Project - Amendment 1

Page 1 H. E. Mohamed Ghannouchi January 8, 1990 Minister of Planning and Finances Ministry of Planning 7, Place Ali Zouaoui Tunis Republic of Tunisia Mr. Habib Nifar Banque de l'Habitat 4 rue Jean-Jacques Rousseau 1001 Tunis Republic of Tunisia Re: Loan No. 3064 TUN (Fifth Urban Project) Amendment to the Loan Agreement Excellency and Sir: We refer to the Loan Agreement entered into between the Republic of Tunisia (the Borrower) and the International Bank for Reconstruction and Development (the Bank) dated June 30, 1989, and to the Project Agreement entered into between the Bank and the Banque de l'Habitat (BH) of even date, for the above-referenced Project. Following meetings held by representatives of the Bank, the Borrower and the BH on December 8, 1989, the Bank hereby agrees to the request to amend the provisions of paragraph (3) of Schedule 7 to the Loan Agreement to read as follows: "(3) BH shall pay interest on the amounts of the Subsidiary Loan withdrawn and outstanding from time to time and at a date equal at least to the rate applicable to the Loan pursuant to Section 2l05 of this Agreement on the date of the Subsidiary Loan Agreement plus one percentage point." Please confirm your agreement to the foregoing amendment by signing and duly dating the form of confirmation below on the enclosed duplicate original of this letter and returning it to us at your earliest convenience. This amendment letter shall become effective on the date the Loan Agreement becomes effective. Very truly yours, INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT Kemal Dervis Director Country Department II Europe, Middle East and North Africa Region AGREED AND CONFIRMED: AGREED AND CONFIRMED: REPUBLIC OF TUNISIA Banque de l'Habitat By ___________________________ By _________________________ Authorized Representative Authorized Representative Date: 17 January 1990 Date: 17 January 1990 Page 2