Conformed Copy - C3320 - Biodiversity and Protected Areas Project - Supplemental Letter 2

Page 1 KINGDOM OF CAMBODIA March 7, 2000 International Development Association International Bank for Reconstruction and Development, acting as Implementing Agency of Global Environment Facility 1818 H Street, N.W. Washington D.C. 20433 United States of America Re: Credit No. 3320 KH & GEF Trust Fund Grant No.23524 KH (Biodiversity and Protected Areas Project) Representations on Project Counterpart Funding Dear Sirs: We are pleased to refer to the Development Credit Agreement of even date herewith between Kingdom of Cambodia and International Development Association (the Association), and the GEF Trust Fund Grant Agreement of even date herewith between Kingdom of Cambodia and International Bank for Reconstruction and Development acting as Implementing Agency of the Global Environment Facility (the Bank) for the above-mentioned Project. Without any restriction or limitation upon Section 3.01 of the Development Credit Agreement, Section 3.01 of the GEF Trust Fund Grant Agreement, or any other provision of the Development Credit or GEF Trust Fund Grant Agreement, Kingdom of Cambodia hereby undertakes and warrants to the Association and the Bank that, in respect of each of the fiscal years included in the implementation period of the Project, it shall make available, from its own national budgetary resources, counterpart funds as follows, or in such other amounts as may be agreed from time to time with the Association and the Bank: (a) Fiscal Year 2000: US$ 60,000 equivalent; (b) Fiscal Year 2001: US$ 60,000 equivalent; (c) Fiscal Year 2002: US$ 65,000 equivalent; (d) Fiscal Year 2003: US$ 65,000 equivalent; It is our understanding that, in making the Credit and the Grant to Kingdom of Cambodia, and entering into the Development Credit and GEF Trust Fund Grant Agreements, the Association and the Bank may rely on the representations contained herein. Very truly yours, KINGDOM OF CAMBODIA By /s/ Roland Eng Authorized Representative