Conformed Copy - C3006 - Urban Development and Decentralization Program - Project Agreement 1

Page 1 CONFORMED COPY CREDIT NUMBER 3006-SE MDA Project Agreement (Urban Development and Decentralization Program) between INTERNATIONAL DEVELOPMENT ASSOCIATION and MUNICIPAL DEVELOPMENT AGENCY Dated December 29, 1997 CREDIT NUMBER 3006-SE MDA PROJECT AGREEMENT AGREEMENT, dated December 29, 1997, between INTERNATIONAL DEVELOPMENT ASSOCIATION (the Association) and Municipal Development Agency (MDA). WHEREAS (A) by the Development Credit Agreement of even date herewith between Republic of Senegal (the Borrower) and the Association, the Association has agreed to lend to the Borrower an amount in various currencies equivalent to fifty five million two hundred thousand Special Drawing Rights (SDR 55,200,000), on the terms and conditions set forth in the Development Credit Agreement, but only on condition that MDA agree to undertake such obligations toward the Association as are set forth in this Agreement; and (B) by a subsidiary agreement to be entered into between the Borrower and MDA the proceeds of the Credit provided for under the Development Credit Agreement will be made available to MDA on terms and conditions set forth in said Subsidiary Agreement; and WHEREAS MDA in consideration of the Association