Conformed Copy - L4202 - Second Municipal Development Project - Supplemental Letter 4

Page 1 REPUBLIC OF TUNISIA September 24, 1997 International Bank for Reconstruction and Development 1818 H Street, N.W. Washington, D.C. 20433 United States of America Re: Loan No. 4202-TUN (Second Municipal Development Project) Institutional Performance Indicators Paragraphs 1 and 2 of the Schedule to the Guarantee Agreement Dear Sirs and Mesdames: We refer to the Institutional Performance Indicators to be utilized by the Republic of Tunisia (the Guarantor) pursuant to the provisions of paragraphs 1 and 2 of the Schedule to the Guarantee Agreement of even date herewith between the Guarantor and the International Bank for Reconstruction and Development (the Bank) to measure the progress in the carrying out of Parts C, D and E of the Project and the degree to which the objectives of Parts C, D and E of the Project are being achieved. We hereby confirm that said Indicators shall consist of the parameters set forth in the Attachment to this Letter. Very truly yours, REPUBLIC OF TUNISIA By /s/ Mohamed Ghannouchi Authorized Representative AGREED AND CONFIRMED: INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT By /s/ Kemal Dervis Regional Vice President Middle East and North Africa