Conformed Copy - C2115 - Hyderabad Water Supply and Sanitation Project - Amendment 2

Page 1 October 23, 1992 The Secretary to the Government of India Ministry of Finance Department of Economic Affairs New Delhi, INDIA Dear Sir: Re: INDIA - Hyderabad Water Supply and Sanitation Project (Credit 2115-IN) - Amendment of Schedule 1 We refer to the Development Credit Agreement (Hyderabad Water Supply and Sanitation Project) dated May 23, 1990, as amended, between India and the Association and to the discussions with the Andhra Pradesh authorities on the implementation of a personnel training plan under Part A (v) (d) of the Project. We have now received an acceptable training plan which includes, inter alia, recurring costs for salaries for the proposed staff training center. In order to disburse said expenditures, we propose to amend Schedule 1 to the Development Credit Agreement to add a new Category (7). Accordingly, the table set forth in paragraph 1 of Schedule 1 is amended as per attachment to this letter. Please confirm your agreement to the foregoing by signing the form of confirmation on the enclosed copy of this letter and returning it to us. Sincerely, Heinz Vergin Director India Country Department CONFIRMED: INDIA By /s/ Neeraj Prasad Authorized Representative Date 11/11/92 HYDERABAD WATER SUPPLY AND SANITATION PROJECT CREDIT 2115-IN ATTACHMENT SCHEDULE 1 Withdrawal of the Proceeds of the Credit and of the Loan 1. The table below sets forth the Categories of items to be financed out of the proceeds of the Credit and of the Loan, the allocation of the amounts of the Credit and of the Loan to each Category and the percentage of expenditures for items so to be financed in each Category: Amount of Amount of the Credit the Loan Allocated Allocated % of (Expressed (Expressed Expen- in SDR in Dollar ditures to Category Equivalent) Equivalent) be Financed (1) Civil Works 32,400,000 ------ 90% Page 2 (2) Equipment 19,600,000 ______ 100% of and materials foreign ex- penditures, 100% of local expenditures (ex-factory cost) and 80% of local expenditures for other items procured locally (3) Water Treat- 1,500,000 _____ 80% ment plant (4) Rehabilitation 600,000 _____ 80% (5) Consultants' 2,300,000 _____ 100% services (6) Training 800,000 _____ 100% (7) Training 300,000 _____ 100% Center faculty salaries (8) Unallocated 6,400,000 TOTAL 63,900,000 CANCELLATION 10,000,000