Conformed Copy - C2057 - Sixth National Family Welfare Training and Systems Development Project - Amendment

Page 1 October 28, 1991 The Secretary to the Government of India Ministry of Finance Department of Economic Affairs New Delhi, India Chief Secretary to the Government of Andhra Pradesh Hyderabad, Andhra Pradesh India Chief Secretary to the Government of Madhya Pradesh Bhopal, India Chief Secretary to the Government of Uttar Pradesh Vidhan Bhavan Lucknow, Uttar Pradesh India Re: Development Credit No. 2057-IN/Loan No. 3108-IN (Sixth (National Family Welfare Training and Systems Development) Population Project) - Amendment of the Development Credit Agreement and Project Agreement Dear Sirs: We refer to the Development Credit Agreement (Sixth (National Family Welfare Training and Systems Development) Population Project) between India (the Borrower) and the International Development Association (the Association) dated September 11, 1989, and to the Project Agreement among the Association, the International Bank for Reconstruction and Development (the Bank) and the States of Andhra Pradesh, Madhya Pradesh and Uttar Pradesh, of the same date. We refer also to the letter dated January 15, 1991 from Mr. Hardeepak Singh, Director, Department of Economic Affairs, requesting the Association and the Bank to include social marketing of contraceptives and compensation to acceptors of family planning methods. Pursuant to the above request, the Association and the Bank are pleased to inform you that they have agreed to amend the Development Credit and Project Agreements as follows: Development Credit Agreement 1. The table set forth in Schedule 1 is hereby amended to read as follows: Amount of the Amount of the Credit Allocated Loan Allocated % of (Expressed in (Expressed in Expenditures SDR Equivalent) Dollar to be Category Equivalent) Financed (1) Civil works 30,820,000 90% and related professional fees (2) Equipment 20,590,000 100% of foreign expen-ditures, 100 % of local expenditures (ex- factory cost) and Page 2 80% of local expenditures for other items procured locally (3) Consultants' 20,160,000 3,300,000 100% service and local and overseas fellowships (4) Incremental 100% of Operating Costs local expenditures until March 31, 1991, 85% of local expenditures until March 31, 1993, 70% of local expenditures until March 31, 1995 and 60% of local expenditures thereafter (a) Salaries, 10,080,000 7,000,000 consumable materials and operation and maintenance costs (b) Compensation 2,400,000 to acceptors, medicines, medical and other supplies (5) Unallocated 3,150,000 1,000,000 TOTAL 87,200,000 11,300,000 2. Sub-paragraph (c) is substituted with the following: "(c) the term "Incremental Operating Costs" means the incremental costs for salaries of additional staff, operation and maintenance costs, compensation to acceptors, medicines and medical supplies and consumable materials. The dates in Category (4) of the table set forth in paragraph 1 above refer to dates of receipt by the Association of applications for withdrawals from the Credit Account." 3. A new subparagraph (e) is added to Part A of Schedule 2 to read as follows: "(e) Promotion of program for the social marketing of contraceptives and compensation by the Borrower to acceptors of family planning methods." Project Agreement 4. A new paragraph 4 is added in Part C of Schedule 1 to read as follows: "Medicines and medical supplies may be procured under quotations solicited from a list of at least three suppliers eligible under the Guidelines, in accordance with procedures satisfactory to the Association and the Bank." Please confirm your agreement with the foregoing amendments by signing and dating the confirmation form on the enclosed copy of this letter. These amendments may be executed in five counterparts, each of which shall be an original. Upon your confirmation, please return one Page 3 executed original to us. These amendments will be effective as of the date of this letter upon receipt by the Association and the Bank of the executed originals from all the above noted addressees. Sincerely, INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT INTERNATIONAL DEVELOPMENT ASSOCIATION Heinz Vergin Director Country Department 4 Asia Region CONFIRMED: INDIA By /s/ N.K. Singh Authorized Representative Date 30/10/91 STATE OF ANDHRA PRADESH By Authorized Representative Date STATE OF MADHYA PRADESH By Authorized Representative Date STATE OF UTTAR PRADESH By Authorized Representative Date