Conformed Copy - C3179 - Second Social Fund Project - Agreement Amending Project Agreement

Page 1 Page 2 Page 3 CONFORMED Page 4 Page 5 CREDIT NUMBER 3179-1-KH Page 6 (Amendment) Page 7 Page 8 Page 9 Page 10 Page 11 Page 12 Agreement Amending Page 13 Project Agreement Page 14 Page 15 Page 16 (Second Social Fund Project: Page 17 Flood Rehabilitation Supplemental Credit) Page 18 Page 19 Page 20 between Page 21 Page 22 Page 23 INTERNATIONAL DEVELOPMENT ASSOCIATION Page 24 Page 25 Page 26 and Page 27 Page 28 Page 29 SOCIAL FUND OF KINGDOM OF CAMBODIA Page 30 Page 31 Page 32 Page 33 Page 34 Page 35 Page 36 Page 37 Dated July 25, 2001 Page 38 Page 39 CREDIT NUMBER 3179-1-KH Page 40 (Amendment) Page 41 Page 42 AGREEMENT AMENDING PROJECT AGREEMENT Page 43 Page 44 AGREEMENT, dated July 25, 2001 between INTERNATIONAL DEVELOPMENT ASSOCIATION (the Association) and SOCIAL FUND OF KINGDOM OF CAMBODIA (SFKC). Page 45 Page 46 WHEREAS (A) the Kingdom of Cambodia (the Borrower) and the Association have entered into a Development Credit Agreement (Second Social Fund Project Credit - 3179-KH)) dated April 19, 1999 (the Development Credit Agreement), for the purpose of providing support for the execution of the Second Social Fund Project, as described in the Preamble and Schedule 1 to the Development Credit Agreement (the Project); Page 47 Page 48 (B) pursuant to the Development Credit Agreement, the Association and SFKC have entered into an agreement, also dated April 19, 1999 (the Project Agreement), under which SFKC has undertaken to carry out the Project in accordance with the terms set forth in the Project Agreement; Page 49 Page 50 (C) the Borrower has requested the Association, and the Association has agreed, to provide further additional assistance in support of the Project to meet emergency needs in terms of rebuilding small-scale infrastructure damaged by floods during the 1999 - 2000 rainy season; and Page 51 Page 52 (D) by an agreement of even date herewith between the Borrower and the Association (Agreement Amending Development Credit Agreement), the Association has agreed to increase the amount available under the Development Credit Agreement by an additional amount in various currencies equivalent to seven million nine hundred thousand Special Drawing Rights (SDR 7,900,000), but only on condition that SFKC agree to undertake such obligations toward the Association as are set forth in this Agreement Amending Project Agreement (this Agreement); Page 53 Page 54 WHEREAS SFKC, in consideration of the Association's entering into the Agreement Amending Development Credit Agreement with the Borrower, has agreed to undertake the obligations set forth in this Agreement; Page 55 Page 56 NOW THEREFORE the parties hereto hereby agree as follows: Page 57 Page 58 ARTICLE I Page 59 Page 60 Amendments to Project Agreement Page 61 Page 62 Section 1.01. Paragraph 2 of Schedule 1 to the Project Agreement is amended by deleting the word "and" at the end of sub-paragraph (b), deleting the full stop at the end of sub-paragraph (c) thereof and replacing it with a semicolon, and adding immediately thereafter a new sub-paragraph (d) as follows: Page 63 Page 64 (d) conduct, not later than April 30 and October 31 of each year, beginning not later than October 31, 2001, a procurement assessment to assess the transparency of SFKC