Honduras - Third Agricultural Credit Project : Loan 2284 - Loan Agreement - Conformed

OFF p LOAN NUMBER 2284 HO Loan Agreement (Third Agricultural Credit Project) between REPUBLIC OF HONDURAS and INTERNATIONAL BANK FOR RCONSTRUCTION AND DEVELOPMENT Dated , 1983 LOAN NUMBER 2284 7 LOAN AGREEMENT AGREEMENT, dated 4 91 , 1983, between REPUBLIC OF HONDURAS (hereinafter called the Borrower) and INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT (hereinafter called the Bank). WHEREAS (A) the Borrower has requested the Bank to assist in the financing of the Project described in Schedule 2 to this Agreement by making the Loan as hereinafter provided; (B) the Project will be carried out by Banco Central de Honduras (hereinafter called Banco Central) with the Borrower's assistance and, as part of such assistance, the Borrower will make available to Banco Central the proceeds of the Loan as here- inafter provided; and WHEREAS the Bank has agreed, on the basis inte,' alia of the foregoing, to make the Loan available to the Borrower upon the terms and conditions set forth hereinafter and in the Project Agreement of even date herewith between the Bank and Banco Cen- tral; NOW THEREFORE the parties hereto hereby agree as follows: ARTICLE I General Conditions; Definitions Section 1.01. The parties to this Agreement accept all the provisions of the General Conditions Applicable to Loan and Guarantee Agreements of the Bank, dated October 27, 1980, with the same force and effect as if they were fully set forth herein (said General Conditions Applicable to Loan and Guarantee Agree- ments of the Bank being hereinafter called the General Condi- tions). Section 1.02. Wherever used in this Agreement, unless the context otherwise requires, the several terms defined in the General Conditions have the respective meanings therein set forth and the following additional terms have the following meanings: (a) "Project Agreement" means the agreement between the Bank and Banco Central of even date herewith, as the same may be amended from time to time, and such term includes all schedules -2- to the Project Agreement and all agreements supplemental to the Project Agreement; (b) "Subsidiary Loan Agreement" means the agreement to be entered into between the Borrower and Banco Central pursuant to Section 3.01 (b) of this Agreement, as the same may be amended from time to time, and such term includes all schedules to the Subsidiary Loan Agreement; (c) "Secretarfa" means Secretaria de Estado en el Despacho de Recursos Naturales, the Borrower's Ministry of Natural Resources, and any administrative subdivision or agency thereof, and any successor thereto; (d) "Project Executive Committee" means the committee referred to in Section 3.02 of this Agreement; (e) "Financial Intermediary" means BANADESA or any other banking institution, acceptable to the Bank, authorized to operate as such in the Republic of Honduras, which has entered or will enter into a Project Administration Contract; and "BANADESA" means Banco Nacional de Desarrollo Agricola, the Borrower's National Bank of Agricultural Development; (f) "Project Administration Contract" means the contract to be entered into between Banco Central and a Financial Interme- diary as required by Section 2.06 (b) of the Project Agreement, and any amendment thereto; and "Project Administration Loan" means each loan provided for in a Project Administration Con- tract; (g) "Investment Plan" means a detailed proposal for in- vestments aimed at the development of farm or non-farm rural activities, or both, to take place outside the urban limits of Tegucigalpa and -San Pedro Sula, to be financed under Part A of the Project, such Investment Plan to include, inter alia, Beneficiaries' contributions in family labor and in kind; (h) "Sub-loan" means a loan made or proposed to be made out of the proceeds of the Loan under a Sub-loan Contract by a Finan- cial Intermediary to a Beneficiary for an Investment Plan; "Long-term Sub-loan" means a Sub-loan, as so defined, the repay- ment term of which extends for more than 18 months but not more than 12 years, and which has been or will be granted for the financing of investments under 'an Investment Plan, excluding -3- investments for the purchase of land and housing other than laborer housing or housing for an individual Small-Scale Farmer having title on the farm land and being the sole operator of such farm, as more substantially detailed in Section II of Schedule 2 to the Project Agreement; and "Short-term Sub-loan" means a Sub-loan, as so defined, the repayment term of which does not extend beyond 18 months and which has been or will be granted for the financing of incremental needs of working capital relating to an Investment Plan, as more substantially detailed in the aforesaid Section II. (i) "Sub-loan Contract" means a contract providing for a Sub-loan; (j) "Beneficiary" means any individual, corporation, co- operativa, including a cooperativa de campesinos (as defined in the Agrarian Reform Law), empresas asociativas de campesinos (as defined in the Agrarian Reform Law), or any legal entity, other than a Financial Intermediary, that has entered or will enter, a Sub-loan Contract; (k) "Small-Scale Farmer" means a Beneficiary who is in any of the two cases set forth in paragraph 4 of Schedule 2 to the Project Agreement; (1) "Agrarian Reform Law" means the Borrower's Decree Law No. 170, dated December 30, 1974 and published in La Gaceta No. 21.482 of January 28, 1975 and any regulation thereunder, as such Agrarian Reform Law may be amended from time to time; (m) "Project Unit" means the unit within Banco Central established pursuant to Section 3.01 (a) of the Prior Project Agreement, as expanded under Part E of the Project described in Schedule 2 of the Development Credit Agreement No. 1005-HO refer- red to in paragraph (q) below and which is proposed to be further expanded under Part C of the Project pursuant to Section 2.09 of the Project Agreement; and "Project Director" means the head of the Project Unit charged with the functions referred to in Sched- ule 3 to the Project Agreement; (n) "Project Account" and "sub-Project Account", mean, respectively, the account and sub-accounts referred to in Section 2.06 (d) of the Project Agreement; (o) "Prior Project Agreement" means the Project Agreement (628-HO) (Agricultural Credit Project), dated July 2, 1976, be- tween the Association and Banco Central; -4- (p) "Lempiras" means the currency of the Borrower; (q) "Prior Agreements" means the Development Credit Agree- ment No. 179-HO (Livestock Development Project) dated March 2, 1970, the Development Credit Agreement No. 434-HO (Second Live- stock Project) dated October 29, 1973, the Development Credit Agreement No. 628-HO (Agricultural Credit Project) dated July 2, 1976, and the Development Credit Agreement No. 1005-HO (Second Agricultural Credit Project), dated April 28, 1980, entered into between the International Development Association (hereinafter called the Association) and the Borrower, referred to collective- ly, and the term includes the Loan Agreement and any Project Agreement, entered into between the Association or the Bank, or both, and Banco Central in respect of the carrying out of any project financed under any of the aforesaid Development Credit or Loan Agreements; and (r) "Loan Recuperation Rate" means the ratio for a given period between the aggregate of repayments of principal of and payments of interest and other charges collected by BANADESA on its loans during such period and the aggregate of repayments of principal of and payments of interest and other charges on such loans which are due during the same period, including repayments of principal of and payments of interest and -ther charges on BANADESA's loans which have become overdue or have been resched- uled during such period to be repaid in a subsequent period. ARTICLE II The Loan Section 2.01. The Bank agrees to lend to the Borrower, on the terms and conditions in the Loan Agreement set forth or referred to, an amount in various currencies equivalent to forty-five million dollars ($45,000,000). Sec,ion 2.02. The amount of the Loan may be withdrawn from the Loan Account in accordance with the provisions of Schedule 1 to this Agreement, as such Schedule may be amended from time to time by agreement between the Borrower and the Bank, for expendi- tures made (or, if the Bank shall so agree, to be made) in respect of the reasonable cost of goods and services required for the Project described in Sche,lule 2 to this Agreement and to be financed out of the proceeds of the Loan. -5- Section 2.03. Except as the Bank shall otherwise agree, procurement of the goods and civil works required for the Project and to be financed out of the proceeds of the Loan shall be governed by the provisions of Sr'-dule 1 to the Project Agree- ment. Section 2.04. The Closing Date shall be December 31, 1987 or such later date as the Bank shall establish. The Bank shall promptly notify the Borrower of such later date. Section 2.05. (a) The Borrower shall pay to the Bank a fee equivalent to one hundred twelve thousand two hundred nineteen dollars ($112,219). (b) On or promptly after the Effective Date, the Bank shall, on behalf of the Borrower, withdraw from the Loan Account and pay to iLself the amount of the said fee in such currency or currencies as the Bank shall determine. Section 2.06. The Borrower shall pay to the Bank a commit- ment charge at the rate of three-fourths of one per cent (3/4 of 1%) per annum on the principal amount of the Loan not withdrawn from time to time. Section 2.07. (a) The Borrower shall pay interest on the principal amount of the Loan withdrawn and outstanding from time to time at a rate per annum for each Interest Period equal to one half percent per annum above the Cost of Qualified Borrowings for the last Semester ending prior to the commencement of such Interest Period. (b) As soon as practicable after the end of each Semester, the Bank shall notify the Borrower of the Cost of Qualified Borrowings for such Semester. (c) For purposes of this Section: (i) "Interest Period" means the six-month period commencing on each date specified in Section 2.08 of this Agreement, including the Interest Period in which this Agreement is signed. (ii) "Cost of Qualified Borrowings" means the cost, expressed as a percentage per annum, as reasonably determined by the Bank, provided that the amount -6- of $8,520.5 million referred to in (iii) (B) hereunder shall be reckoned at a cost of 10.93% per annum. (iii) "Qualified Borrowings" means: (A) outstanding borrowings of the Bank drawn down after June 30, 1982; and (B) until July 1, 1985, the amount of $8,520.5 million (representing borrowings of the Bank between July 1, 1981 and June 30, 1982) less any part thereof repaid earlier than July 1, 1985. (iv) "Semester" means the first six months or the second six months of a calendar year. Section 2.08. Interest and other charges shall be payable semiannually on February 1 and August 1 in each year. Section 2.09. The Borrower shall repay the principal amount of the Loan in accordance with the amortization schedule set forth in Schedule 3 to this Agreement. Section 2.10. Banco Central is designated as representative of the Borrower for the purposes of taking any action required or permitted to be taken under the provisions of Section 2.02 of this Agreement and Article V of the General Conditions. ARTICLE III Execution of the Project Section 3.01. (a) Without any limitation or restriction upon any of its other obligations under the Loan Agreemnit, the Bor- rower shall cause Banco Central to perform in accordance with the provisions of the Project Agreement all the obligations of Banco Central therein set forth, shall take or cause to be taken all action, including the provision of funds, facilities, services and other resources, necessary or appropriate to enable Banco Central to perform such obligations, and shall not take or permit to be taken any action which would prevent or interfere with such performance. (b) The Borrower shall relend the proceeds of the Loan to Banco Central under a subsidiary loan agreement to be entered into between the Borrower and Banco Central, under terms and conditions which shall have been approved by the Bank and which, -7- inter alia, shall provide that the financial terms and conditions under this Agreement in respect of repayment of, and payments of interest, fees and charges on, the Loan, shall be applied to the proceeds of the Loan relent under the Subsidiary Loan Agreement. (c) 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, except as the Bank shall otherwise agree, the Borrower shall not assign, amend, abrogate or waive the Subsidiary Loan Agreement or any provision thereof. Section 3.02. The Borrower shall: (a) not later than December 31, 1983 establish and there- after maintain a Project Executive Committee, satisfactory to the Bank; such Committee to be chaired by a senior representative of Banco Central, and to include as permanent members senior repre- sentatives of Secretarla, BANADESA, and the Bankers' Association of Honduras; the Project Director, or his Deputy, shall act as its secretary; and (b) cause the Project Executive Committee to be responsible for, inter alia, reviewing and making recommendations to the Project Director regarding the audit reports referred to in Sec- tion 4.02 of the Project Agreement and the Project Unit's budget and lending program as well as the progress, annual evaluation and project completion reports made by the Project Unit with regard to the Project. Section 3.03. The Borrower shall cause BANADESA to: (a) prepare. and furnish to the Bank a plan of action, satisfactory to the Bank, for the improvement of the Loan Recuperation Rate in respect of loans made by BANADESA under projects being financed by the Bank; (b) carry out the plan referred to in paragraph (a) of this Section promptly after its preparation; (c) establish, and thereafter maintain, in a manner satis- factory to the Bank, a coordination unit for the purpose of improving BANADESA's cverall performance, especially with respect to loan collection, such unit to be headed by a manager whose qualifications, experience and terms and conditions of employment shall be satisfactory to the Bank; and -8- (d) redefine, in a manner satisfactory to the Bank, the terms of reference of BANADESA's loan officers in order to consolidate their duties in respect to BANADESA's lending operations. Section 3.04. The Borrower shall, by March 31, 1984, estab- lish and thereafter maintain a mechanism, satisfactory to the Bank, to enable Banco Central to restore the liquidity of any Financial Intermediary which has been substantially and adversely affected by the replacement of land, held as collateral under Sub-loan Contracts, by Agrarian Reform Bonds issued in connection with the expropriatton of such land under the Agrarian Reform Law. ARTICLE IV Other Covenants Section 4.01. (a) It is the policy of the Bank, in making loans to, or with the guarantee of, its members not to seek, in normal circumstances, special security from the member concerned but to ensure that no other external debt shall have priority over its loans in the allocation, realization or distribution of foreign exchange held under the control or for the benefit of such member. To that end, if any lien shall be created on any public assets (as hereinafter defined), as security for any external debt, which will or might result in a priority for the benefit of the creditor of such external debt in the allocation, realization or distribution of foreign exchange, such lien shall, unless the Bank shall otherwise agree, ipso facto and at no cost to the Bank, equally and ratably secure the principal of, and interest and other charges on, the Loan, and the Borrower, in creating or permitting the creation of such lien, shall make express provision to that effect; provided, however, that, if for any constitutional or other legal reason such provision cannot be made with respect to any lien created on assets of any of its political or administrative subdivisions, the Borrower shall promptly and at no cost to the Bank secure the principal of, and interest and other charges on, the Loan by an equivalent lien on other public assets satisfactory to the Bank. (b) The foregoing undertaking shall not apply to: (i) any lien created on property, at the time of purchase thereof, solely as security for payment of the purchase price of such property or as security for the payment of debt incurred for the purpose of - 9 - financing the purchase of such property; and (ii) any lien aris- ing in the ordinary course of banking transactions and securing a debt maturing not more than one year after its date. (c) As used in this Section, the term "public assets" means assets of the Borrower, of any political or administrative sub- division thereof and of any entity owned or controlled by, or operating for the account or benefit of, the Borrower or any such subdivision, including gold and foreign exchange assets held by Banco Central or any institution performing the functions of a central bank or exchange stabilization fund, or similar func- tions, for the Borrower. ARTICLE V Remedies of the Bank Section 5.01. For the purposes of Section 6.02 of the Gen- eral Conditions, the following additional events are specified pursuant to paragraph (k) thereof: (a) Banco Central shall have failed to perform any of its obligations under the Project Agreement or under any of the Prior Agreements. (b) As a result of events which have occurred after the date of the Loan Agreement, an extraordinary situation shall have arisen which shall make it improbable that Banco Central will be able to perform its obligations under the Project Agreement or that any Financial Intermediary will be able to perform its obli- gations under the respective Project Administration Contract. (c) The Borrower or any other authority having jurisdiction shall have taken: (i) any action for the dissolution, disestablishment, or suspension of operations of Banco Central or any Financial Intermediary; or (ii) any other action which may adversely affect the ability of Banco Central or any Financial Interme- diary to carry out their respective covenants, agreements and obligations set forth in any Project Administration Contract entered into for purposes of the Project; - 10 - provided, however, that if any event referred to in this Section shall have occurred in respect to any Financial Intermediary, the Bank may at its option suspend the right of the Borrower to make withdrawals from the Loan Account only in respect of amounts relent or proposed to be relent to the Financial Intermediary affected by any such event. Section 5.02. For the purposes of Section 7.01 of the Gen- eral Conditions, the following additional events are specified pursuant to paragraph (h) thereof: (a) that any event specified in paragraph (c) (i) of Section 5.01 of this Agreement shall occur; and (b) that any event specified in paragraph (a) or paragraph (b) or paragraph (c) (Ii) of Section 5.01 of this Agreement shall occur and shall continue for a period of 60 days after notice thereof shall have been given by the Bank to the Borrower and Banco Central. ARTICLE VI Effective Date; Termination Section 6.01. The following events are specified as addi- tional conditions to the effectiveness of the Loan Agreement within the meaning of Section 12.01 (c) of the General Condi- tions: (a) that the execution and delivery of the Project Agree- ment on behalf of Banco Central have been duly authorized or ratified by all necessary corporate and governmental action; (b) the Subsidiary Loan Agreement has been executed on behalf of the Borrower and Banco Central; (c) that the execution and delivery of at least four Proj- ect Administration Contracts, including the Project Administra- tion Contract between Banco Central and BANADESA, has been duly authorized or ratified by all necessary corporate action; (d) that a credit manual, satisfactory to the Bank, has been issued by Banco Central; - 11 - (e) that Banco Central has employed a Deputy Director, an Extension Specialist and a Training Coordinator all of whose qualifications, experience and terms and conditions of employment are satisfactory to the Bank; (f) that BANADESA has taken the actions referred to in paragraphs (a), (c) and (d) of Section 3.03 of this Agreement; and (g) that a first-year program, satisfactory to the Bank, for the carrying out of Part B of the Project has been prepared. Section 6.02. The following are specified as additional matters, within the meaning of Section 12.02 (c) of the General Conditions, to be included in the opinion or opinions to be furnished to the Bank: (a) that the Project Agreement has been duly authorized or ratified by Banco Central, and is legally binding upon Banco Cen- tral in accordance with its terms; and (b) that the Subsidiary Loan Agreement has been duly autborized or ratified by the Borrower and Banco Central and is legally binding upon the Borrower and Banco Central in accordance with its terms. Section 6.03. The datQb L29fff3, is hereby specified for the purposes of Section 12.04 of the General Conditions. ARTICLE VII Representatives of the Borrower; Addresses Section 7.01. The Secretario de Estado en el Despacho de Hacienda y Credito Publico of the Borrower is designated as representative of the Borrower for the purposes of Section 11.03 of the General Conditions. Section 7.02. The following addresses are specified for the purposes of Section 11.01 of the General Conditions. For the Borrower: Secretarila de Estado en el Despacho de Hacienda y Credito Pd'blico Tegucigalpa, D.C. Honduras - 12 Cable address: Telex: HACIENDA 1308-Facienda HO Tegucigalpa, Honduras For the Bank: International Bank for Reconstruction and Development 1818 H Street, N.W. Washington, D.C. 20433 United States of America Cable address: Telex: INTBAFRAD 440098 (ITT) Washington, D.C. 248423 (RCA) or 64145 (WUI) IN WITNESS WHEREOF, the parties hereto, acting through their representatives thereunto duly authorized, have caused this Agreement to be signed in their respective names in the D: -trict of Columbia, United States of America, as of the day ana year first above written. REPUBLIC OF HONDURAS By Authorized Representative INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT By Regional Vice President Latin America and the Caribbean - 13 - SCHEDULE 1 Withdrawal of the Proceeds of the Loan 1. The table below sets forth the Categories of items to be financed out of the proceeds of the Loan, the allocation of the amounts of the Loan to each Category and the percentage of expenditures for items so to be financed in each Category: Amount of the Loan Allocated % of (Expressed in Expenditures Category Dollar Equivalent) to be Financed (1) Short-term Sub- 4,300,000 69% of amounts loans to Small- disbursed by Scale Farmers Financial Intermediaries for purposes of the Project (2) Long-term Sub- 13,300,000 69% of amounts loans to Small- disbursed by Scale Farmers Financial Intermediaries for the purposes of the Project (3) Long-term Sub- 19,600,000 69% of amounts loans to Bene- disbursed by ficiaries other Financial than Small-Scale Intermediaries Farmers. for purposes of the Project (4) Short-term Sub- 5,000,000 69% of amounts loans to Bene- disbursed by ficiaries other Financial than Small- Intermediaries Scale Farmers for purposes of the Project (5) Training under 700,000 100% of foreign Part B of the expenditures and Project 58% of local ex- penditures 14 - Amount of the Loan Allocated % of (Expressed in Expenditures Category Dollar Equivalent) to be Financed (6) Incremental mate- 800,000 58% of local ex- rials and services, penditures including salaries under Part C of the Project (7) Field vehicles and 300,000 100% of foreign equipment under expenditures Part C of the and 58% of local Project expenditures (8) Consultants 500,000 100% of foreign Services under expenditures and Parts B and C 58% of local of the Project expenditures (9) Fee 112,219 Amount due under Section 2.05 of this Agreement (10) Unallocated 387,781 TOTAL 45,000,000 2. For the purposes of this Schedule: (a) the term "foreign expenditures" means expenditures in the currency of any country other than that of the Borrower for goods or services supplied from the territory of any country other than that of the Borrower; (b) the term "local expenditures" means expenditures in the currency of the Borrower or for goods or services supplied from the territory of the Borrower; and (c) the term "incremental materials and services, including salaries under Part C of the Project" means the incremental ex- penditures incurred by the Project Unit, directly determined by - 15 - its expansion for purposes of the Project pursuant to Section 2.09 of the Project Agreement, and the benefits granted to the Project Unit staff in addition to the salaries current as of December 31, 1982. 3. The disbursement percentages have been calculated in com- pliance with the policy of the Bank that the proceeds of the Loan shall not be disbursed on account of payments for taxes levied by, or in the territory of, the Borrower on goods or services, or on the importation, manufacture, procurement or supply thereof; on this basis, if the amount of any such taxes levied on or in respect of items in any Category decreases or increases, the Bank may, by notice to the Borrower, increase or decrease the dis- bursement percentage then applicable to such Category as required to be consistent with the aforementioned policy of the Bank. 4. Notwithstanding the provisions of paragraph 1 above, no withdrawals shall be made in respect of: (a) expenditures made prior to the date of this Agreement; and (b) Sub-loans unless evidence, satisfactory to the Bank, that the Financial Intermediary in question has entered into the corresponding Project Administration Contract and that said Contract is effective, has been furnished to the Bank. 5. Notwithstanding the allocation of an amount of the Loan or the disbursement percentages set forth in the table in para- graph 1 above, if the Bank has reasonably estimated that the amount of the Loan then allocated to any Category will be insufficient to finance the agreed percentage of all expenditures in that Category, the Bank may, by notice to the Borrower: (i) reallocate to such Category, to the extent required to meet the estimated shortfall, proceeds of the Loan which are then allocated to another Category and which in the opinion of the Bank are not needed to meet other expenditures, and (ii) if such reallocation cannot fully meet the estimated shortfall, reduce the disbursement percentage then applicable to such expenditures in order that further withdrawals under such Category may continue until all expenditures thereunder shall have been made. 6. If the Bank shall have reasonably determined that the pro- curement of any item in any Category is inconsistent with the procedures set forth or referred to in this Agreement, no - 16 - expenditure for such item shall be financed out of the proceeds of the Loan, and the Bank may, without in any way restricting or limiting any other right, power or remedy of the Bank under the -Loan Agreement, by notice to the Borrower, cancel such amount of the Loan as, in the Bank's reasonable opinion, represents the amount of such expenditures which would otherwise have been eligible for financing out of the proceeds of the Loan. - 17 - SCHEDULE 2 Description of the Project The main objective of the Project is to provide financing to beneficaries in rural areas in order to promote development through increased rural production. The Project consists of the following Parts: Part A: Execution of a lending program consisting of the making of Long-term Sub-loans for the financing of investments under Investment Plans and, if required, Short-term Sub-loans for the financing of working capital complementary to Investment Plans. Part B: Training of the staff of Banco Central in the fields of management, finance, banking, computer operation, agricultural extension, training, crop and animal husbandry; training of the staff of actual and prospective Financial Intermediaries in the fields of finance, banking and credit management for agTicultural projects; training of farmers in credit management accounting; and training of all the above staff and farmers in other matters related to the Project, as accepted by the Bank. Part C: Strengthening of the activities and staffing of, and acquisition and utilization of equipment and about ten field vehicles, for the Project Unit. The Project is expected to be completed by June 30, 1987. - 18 - SCHEDULE 3 Amortization Schedule Payment of Principal Date of Payment Due (Expressed in dollars)* On each February 1 and August 1 beginning February 1, 1989 through August 1, 2003 1,500,000 * The figures in this column represent dollar equivalents determined as of the respective dates of withdrawals; see General Conditions, Section 3.04. - 19 - Premiums on Prepayment The following percentages are specified as the premiums payable on repayment in advance of maturity of any portion of the principal amount of the Loan pursuant to Section 3.04 (b) of the General Conditions: Time of Prepayment Premium The interest rate (ex- pressed as a percentage per annum) applicable to the balance outstanding on the Loan on the day of prepayment multiplied by: Not more than three years 0.15 before maturity More than three years but 0.30 not more than six years before maturity More than six years but not 0.55 more than eleven years before maturity More than eleven years but not 0.80 more than sixteen years before maturity More than sixteen years but not 0.90 more than eighteen years before maturity More than eighteen years 1.00 before maturity INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT CERTIFICATE I hereby certify that the foregoing is a true copy of the original in the archives of the Interna- tional Bank for Reconstruction and Develop- ment. In witness whereof I nave signed this Certifi- cate and affixed the Seal of the Bank thereunto this day of 1,4 4 98 3 FOR SECRETARY