GEF Grant Agreement TF056038 with C4130-MZ Conformed

Page 1 CONFORMED COPY GEF TRUST FUND GRANT NUMBER TF056038 MOZ Global Environment Facility Trust Fund Grant Agreement (Transfrontier Conservation Areas and Tourism and Development Project) between REPUBLIC OF MOZAMBIQUE and INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT acting as an Implementing Agency of the Global Environment Facility Dated December 15, 2005 Page 2 GEF TRUST FUND GRANT NUMBER TF056038 MOZ GLOBAL ENVIRONMENT FACILITY TRUST FUND GRANT AGREEMENT AGREEMENT, dated December 15, 2005, between the REPUBLIC OF MOZAMBIQUE (the Recipient) and INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT (the Bank) acting as an implementing agency of the Global Environment Facility (GEF) in respect of grant funds provided to the GEF Trust Fund by certain members of the Bank as participants of the GEF. WHEREAS (A) the Bank, pursuant to Resolution No. 91-5 of March 14, 1991 of the Executive Directors of the Bank, established the GEF to assist in the protection of the global environment and promote thereby environmentally sound and sustainable economic development; (B) following the restructuring of the GEF, such arrangements continued in place on the basis set forth in Resolution No. 94-2 of May 24, 1994, of the Executive Directors of the Bank which, inter alia , established the GEF Trust Fund and appointed the Bank as trustee of the GEF Trust Fund (Resolution 94-2); (C) the Recipient, having satisfied itself as to the feasibility and priority of the project described in Schedule 2 to this Agreement (the Project), has requested assistance from the resources of the GEF Trust Fund to provide additional assistance towards cofinancing portions of Parts A, C and D of the Project, and said request having been approved in accordance with the provisions of the Instrument for the Establishment of the Restructured Global Environment Facility approved under Resolution 94-2; (D) the Recipient has also requested the International Development Bank (the Bank) to provide additional financing for the Project and by an agreement of even date herewith between the Recipient and the Bank (the Development Credit Agreement), the Bank is agreeing to provide such assistance in an aggregate principal amount equivalent to thirteen million nine hundred thousand Special Drawing Rights (SDR 13,900,000) (the Credit); (E) the Recipient has requested the Bank acting as administrator of grant funds provided by Japan to provide additional assistance towards the cofinancing of portions of Parts B, C, and E of the Project; by an agreement of even date herewith (the PHRD Agreement) between the Recipient and the Bank, the Bank is making a grant in the amount of three million seven hundred and twenty thousand dollars ($3,720,000) (the PHRD Grant); (F) the Recipient intends to obtain loans and grants from other donors (the Donors), including, inter alia , the African Wildlife Foundation and the Peace Parks Foundation, equivalent to approximately an aggregate amount of two million and two Page 3 2 hundred thousand dollars ($2,200,000) to provide additional assistance towards the portions of Part D of the Project on the terms and conditions set forth in respective credit and grant agreements to be entered into between the Recipient and each donor (the Cofinancing Agreement and collectively, the Cofinancing Agreements); and WHEREAS the Bank has agreed, on the basis, inter alia , of the foregoing, to extend the GEF Trust Fund Grant to the Recipient upon the terms and conditions set forth in this Agreement; NOW THEREFORE, the parties hereto hereby agree as follows: ARTICLE I General Conditions; Definitions Section 1.01 (a) The following provisions of the