Cameroon - Second Structural Adjustment Credit : Credit 2813 - Credit Agreement - 2 - Conformed

CREDIT NTMBER 2813-2 CM (Amendment) Second Agreement Amending Development Credit Agreement (Second Structural Adjustment Credit) between REPUBLIC OF CAMEROON and INTERNATIONAL DEVELOPMENT ASSOCIATION Dated \3, 1997 CREDIT NUMBER 2813-2 CM (Amendment) SECOND AGREEMENT AMENDING DEVELOPMENT CREDIT AGREEMENT AGREEMENT, dated \ , 1997, between REPUBLIC OF CAMEROON (the Borrower) and INTERNATIONAL DEVELOPMENT ASSOCIATION (the Association). WHEREAS (A) the Borrower and the Association have entered into a Development Credit Agreement (Second Structural Adjustment Credit) dated February 14, 1996 (the Development Credit Agreement) for the purpose of providing support during the execution of the structural adjustment program as described in Recital (A) of the Development Credit Agreement (the Program); (B) the Borrower and the Association have entered into the Agreement Amending Development Credit Agreement (Second Structural Adjustment Credit) dated April 3, 1996, whereby additional assistance was made available to the Borrower for the purpose of providing support during the execution of the Program, and the procedures for the disbursement of the proceeds of the credit provided for in the Development Credit Agreement (the Credit) were simplified; (C) the Borrower has requested the Association to provide further additional assistance in the support of the Program during its execution by increasing the amount made available under the Development Credit Agreement by an amount in various currencies equivalent to seventeen million five hundred thousand Special Drawing Rights (SDR 17,500,000); WHEREAS the Association has agreed, on the basis, inter alia, of the foregoing, to provide such additional assistance to the Borrower upon the terms and conditions set forth in this Agreement; NOW THEREFORE the parties hereto hereby agree as follows: -2- ARTICLE I Amendments of the Development Credit Agreement Section 1.01. Section 1.02 of the Development Credit Agreement is amended by: (a) substituting the period at the end of paragraph (x) by a semicolon and adding the word "and" after such semicolon; and (b) adding the following paragraph (y) reading: "(y) "Second Amending Agreement" means the Second Agreement Amending the Development Credit Agreement (Second Structural Adjustment Credit) between the Borrower and the Association dated February 14, 1996." Section 1.02. Section 2.01 of the Development Credit Agreement is modified to read: "Section 2.01. The Association agrees to lend to the Borrower, on the terms and conditions set forth or referred to in the Development Credit Agreement, an amount in various currencies equivalent to one hundred thirty-eight million six hundred thousand Special Drawing Rights (SDR 138,600,000) (the Credit), which includes: (a) an original amount in various currencies equivalent to one hundred million seven hundred thousand Special Drawing Rights (SDR 100,700,000) (the Initial Financing); (b) an additional amount in various currencies equivalent to twenty million four hundred thousand Special Drawing Rights (SDR 20,400,000) (the First Additional Financing); and (c) a second additional amount in various currencies equivalent to seventeen million five hundred thousand Special Drawing Rights (SDR 17,500,000) (the Second Additional Financing)." Section 1.03. Paragraph (b) (i) of Section 2.04 of the Development Credit Agreement is amended by adding after the term "canceled" the following proviso: "; provided, however, that any commitment charge on: (A) the First Additional Financing shall accrue from a date sixty days after the date of the Amending Agreement; and (B) the Second Additional Financing shall accrue from a date sixty days after the date of the Second Amending Agreement;" Section 1.04. Paragraph (h) of Schedule I to the Development Credit Agreement is amended by substituting "SDR 87,600,000" by "SDR 105,100,000" in its first subparagraph. Section 1.05. The word "and" is added at the end of the paragraph (j) of Schedule I to the Development Credit Agreement and a new paragraph (k) is inserted to read: -3- "(k) After a date twelve months from the date of the Second Amending Agreement, no withdrawal shall be made from the Credit Account in respect of expenditures to be financed out of the proceeds of the Second Additional Financing. At any time after such date, the Association may, by notice to the Borrower, cancel the unwithdrawn amount of the Second Additional Financing from the Credit Account or any part thereof." Section 1.06. The title of Schedule 2 to the Development Credit Agreement is modified to read: "Actions Referred to in Paragraphs (g) (iii) and (h) (iii) of Schedule 1 to this Agreement." ARTICLE II Effective Date; Termination Section 2.01. This Second Amending Agreement shall not become effective until evidence satisfactory to the Association shall have been furnished to the Association that the execution and delivery of this Second Amen:ding Agreement on behalf of the Borrower have been duly authorized or ratified by all necessary governmental action. Section 2.02. As part of the evidence to be furnished pursuant to Section 2.01 of this Second Amending Agreement, there shall be furnished to the Association an opinion or opinions satisfactory to the Association of counsel acceptable to the Association showing, on behalf of the Borrower, that this Second Amending Agreement has been duly authorized or ratified by, and executed and delivered on behalf of, the Borrower and is legally binding upon the Borrower in accordance with its terms. Section 2.03. This Second Amending Agreement shall come into force and effect on the date upon which the Association shall dispatch to the Borrower notice of its acceptance of the evidence required by Section 2.01 of this Second Amending Agreement. Section 2.04. If this Second Amending Agreement shail not have come into force and effect by a date ninety (90) days after the date of this Second Amending Agreement, this Second Amending Agreement and all obligations of the parties hereunder shall terminate, unless the Association establishes a later date for the purposes of this Section. If this Second Amending Agreement shall terminate under the provisions of t',is Section, the Development Credit Agreement shall continue in full force and effect, as if this Second Amending Agreement had not been executed. -4- IN WITNESS WHEREOF, the parties hereto, acting through their duly authorized representatives, have caused this Second Amending Agreement to be signed in their respective names in the District of Columbia, United States of America, as of the day and year first above written. REPUBLIC OF CAMEROON By s Authorized Representative INTERNATIONAL DEVELOPMENT ASSOCIATION By SZAC Regional Vice President Africa INTERNATIONAL DEVELOPMENT ASSOCIATION CERTIFICATE I hereby certify that the foregoing is a true copy of the original in the archives of the International Development Association. 7FOR SECRETARY