Conformed Copy - C1905 - Seventh Highway Project - Amendment 1

Page 1 February 8, 1991 His Excellency Lion Rajaobelina Minister of Finance Antananarivo Democratic Republic of Madagascar Re: MADAGASCAR - Credit No. 1905-MAG (Seventh Highway Project) Amendment to Development Credit Agreement Dear Sir: We refer to the Development Credit Agreement dated July 18, 1988 between the Democratic Republic of Madagascar (the Borrower) and the International Development Association (the Association) for the abovementioned Project, as well as to your letter Ref. 39 MTP/SG/SPR/90 dated March 8, 1990, the aide-m@moire of the supervision mission dated June 5, 1990, and our telex dated September 5, 1990. I am pleased to inform you that the Association agrees to your request to change the disbursement -percentages of the Swiss contribution in the categories (1)(a)(ii) and (3)(b), and of the credit allocated by the Association in category (1)(b) ,in the table in Paragraph 1 of Schedule I to the said Development Credit Agreement. Consequently, the Association proposes to hereby amend the said table to read in its entirety as follows: Amount of the Swiss contribution Amount of the allocated credit allocated (Expressed in % of (expressed in Swiss francs expen- Category SDR equivalent) equivalent ditures to be (1) Civil works under: fianan- (a) Parts A, B, C, ced. D (ii) and G of the project to be financed by (i) the Association 14,000,000 100% (ii) Switzerland 12,100.00 80% (b)Part D (i) of 1,000,000 600,000 100% (2) Equipment, spare 4,000,000 100% parts, materials and supplies (3) Consultants' services and fellowships to be financed by: (a) the Association 5,500,000 100% (b) Switzerland 1,300,000 86% (4) Unallocated 4,400,000 1,000,000 TOTAL 28,900,000 15,000,000 This amendment is effective as of the date of this letter and the new disbursement percentages will be applied for expenditures incurred after October 31, 1990. Page 2 Very truly yours, Alain Colliou Acting Director Country Department III Africa Region