Conformed Copy - C2093 - Agricultural Sector Adjustment and Investment Project - Amendment 1

Page 1 September 11, 1992 His Excellency Mohamedou Ould Michel Minister of Plan B.P. 238 Nouakchott Islamic Republic of Mauritania Re: Credit No.2093-MAU (Agricultural Sector Adjustment and Investment Project) Amendments to the Development Credit Agreement and Reallocation of Funds Excellency, We refer to the above-mentioned Credit Agreement between the Islamic Republic of Mauritania (the Borrower) and the International Development Association (the Association) dated February 26, 1990 and your letter No. 00551 dated August 23, 1992, requesting the Association's assistance for the extension of the Project area, and requesting the Association's assistance in the reallocation of funds. We are pleased to confirm the Association's willingness to provide this assistance and, therefore, agree to amend the Development Credit Agreement as follows: 1. Section 1.02 (c) of the Development Credit Agreement is amended to read: "Project Area" means the Foum Gleita irrigated area, the flood recession cropping areas around the Foum Gleita reservoir, and the public smallholder irrigated schemes in the Senegal River Valley, administered by SONADER and situated to the east of the District ("Wilaya") of Trarza." 2. The provision of funds and the percentage of expenditures to be financed according to Schedule I of the Development Credit Agreement shall be changed by: 1) a transfer of SDR 100,000 from Category (4), Technical Assistance, Studies and Training (a) for MDR to Category (5), Incremental Operating Costs, (a) for MDR; and 2) the percentage of disbursement: Category (4) for (a) MDR, (b) SONADER, (c) UBD shall be augmented from 50% to 100%. Therefore, Schedule 1 of the Development Credit Agreement shall read: Category (1) through (3), (6) and (7): unchanged. Category (4) et (5): Amount of the Credit Allocated % of (Expressed in Expenditures Category SDR Equivalent to be financed 4) Technical assistance, 100% studies and training for: a) MDR 350,000 b) SONADER 1,100,000 c) UBD 150,000 Page 2 5) Incremental operating costs: 50% a) MDR 180,000 b) SONADER 390,000 Please indicate your agreement to the foregoing amendment by signing and dating the confirmation form on the enclosed copy of this letter and returning it to us, while keeping the original for your records. This amendment will become effective as of the date of confirmation of your agreement as indicated hereafter. Very truly yours, Albert Osei Acting Director Sahelian Department Africa Region CONFIRMED: ISLAMIC REPUBLIC OF MAURITANIA By: H.E. the Minister of Plan Date: October 19, 1992