Conformed Copy - C2332 - Transport Sector Adjustment/Investment Credit - Amendment 3

Page 1 July 31, 1995 H.E. Zephirin DIABRE Minister of Economy, Finance and Planning Ministry of Economy, Finance and Planning B.P. 7050 Ouagadougou Burkina Faso Re: Credit No. 2332 (Transport Sector Adjustment/investment Credit) Amendment Excellency, We refer to the above-mentioned Development Credit Agreement between Burkina Faso (the Borrower) and the International Development Association (the Association), dated February 18, 1992, discussions held between your Ministry and the Association during the last supervision mission of this Project and your letter dated February 9, 1995, requesting a change of the disbursement conditions for the second and third tranches. We are pleased to confirm the Association's approval to this request and, therefore, agree to amend the Development Credit Agreement as follows 1. Section 1.02: "(o)" becomes "W" and three new subparagraphs (o), (p) and (q) are added to read as follows: "(o) "Railway" means the Abidjan/Ouagadougou/Kaya railway; (p) "SITARAIL" means the consortium formed by, inter alia, SICC (Societe Internationale de Cafe et Cacao) of Cote d'Ivoire; SAGA; SDV (SCAC Delmas-Vieljeux); and SOFRERAIL, all of France, to bid for the concession of rail services on the Railway; (q) "Concessionary Company" means the company which will operate the Railway; and". 2. Section 6.01: (a) Subsections (c), (d) and (e) are deleted and subsections (f) and (g) become subsections (c) and (d); (b) in the re-numbered subsection (c) the following words are added after 'any action': " not previously agreed to by the Association". 3. Schedule 5, Part A, is modified to read as follows: (a) in paragraphs (1) and (2) the year " 1993" is replaced by the year "l 994"; (b) in paragraph (3) the year " 1992" is replaced by the year " 1993 n (c) paragraph (5) is deleted; (d) paragraph (6) is deleted, renumbered and replaced by the words: "5. The Borrower has launched an international call for bids, in form. and timing satisfactory to the Association, for the privatization of Page 2 the urban transport activity that is presently being carried out by Regie X9."; (e) paragraph (7) is deleted, renumbered and replaced by the words: "6. The Borrower and Air Burkina have presented to the Association an action plan, including a timetable, satisfactory to the Association, for the restructuring of Air Burkina, based on actual economic conditions and the exclusion of budgetary subsidies."; (f) paragraph (8) is renumberd (7); and (g) paragraph (9) is deleted. 4. Schedule 5, Part B, is modified to read: (a) in paragraphs (1) and (2) the year "l994" is replaced by the year "1995"; (b) in paragraph (3) the year "l993" is replaced by the year "l994"; (c) paragraph (5) is deleted and replaced by the words: "5. The Borrower has concluded an agreement, satisfactory to the Association, pursuant to the call for bids referred to in Part A.6 of this Schedule, as amended."; and (d) paragraph (6) is deleted and replaced by the words: "6. (a) Implementation of the action plan for Air Burkina, referred to in Part A.7 of this Schedule, as amended, satisfactory to the Association; and (b) the Borrower has submitted an action plan, satisfactory to the Association, for the reorganization of management activity of the airports in the Borrower's territory.". 5. The table set forth in paragraph 1 of Schedule 1 of the Development Credit Agreement is deleted and replaced with the new table set forth in the Annex hereto. All other provisions of the Development Credit Agreement, as amended herein, shall remain in force. Please indicate your agreement with the foregoing amendments by signing and dating the confirmation form on the attached 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. Sincerely, By /s/ Olivier Lafourcade Director West Central Africa Department Africa Region CONFIRMED BURKINA FASO By /s/ Tertius ZONGO Authorized Representative Page 3 Date: August 28, 1995 ANNEX 1. The table below sets forth the Categories of items to be financed out of the proceeds of the Credit the allocation of the amounts of the Credit to each Category and the percentage of expenditures for items so to be financed in each Category. Amount of the Credit Allocated (Expressed in Category SDR Equivalent) (1) Civil works: (a) for Part A.1 (a) 1,000,000 of the Project (b) for Part A.1 9,530,000 (c) and (e) of the Project (c) for Part E.1 150,000 of the Project (2) Equipment for Parts 5,900,000 C.2 (b) and (c) of the Project (3) Materials: (a) for Part C.1 (c) 7,000 of the Project (b) for Part C.2 (a) 100,000 of the Project (4) Consultants' services, studies and training: (a) for Parts A.2 and A.3 5,550,000 of the Project (b) for Part B 380,000 of the Project (c) for Parts C.1 (d) and 750,000 (e) of the Project (d) for Part D 1,800,000 of the Project (e) for Part E.5 100,000 of the Project (5) Operating costs 500,000 (6) Goods and services 22,510,000 required during execution of the Program (7) Refunding of Project 1,020,000 Preparation Advance (8) Unallocated 303,000 Page 4 TOTAL 49,600,000