Conformed Copy - C2937 - Structural Adjustment Credit - Development Credit Agreement

Page 1 CONFORMED COPY CREDIT NUMBER 2937-0 MAG Development Credit Agreement (Structural Adjustment Credit) between REPUBLIC OF MADAGASCAR and INTERNATIONAL DEVELOPMENT ASSOCIATION Dated May 1, 1997 CREDIT NUMBER 2937-0 MAG DEVELOPMENT CREDIT AGREEMENT AGREEMENT, dated May 1, 1997, between REPUBLIC OF MADAGASCAR (the Borrower) and INTERNATIONAL DEVELOPMENT ASSOCIATION (the Association). WHEREAS (A) pursuant to Resolution No. IDA 184 of the Board of Governors of the Association, adopted on June 26, 1996, the Board of Governors of the Association has established an interim trust fund (Interim Fund) with funds contributed by certain members of the Association; (B) the Borrower and the Association, as administrator of the Interim Fund, have entered into an Interim Fund Development Credit Agreement (Structural Adjustment Credit) dated March 14, 1997 (the Interim Fund Development Credit Agreement) for the purpose of providing support for a program of actions, objectives and policies referred to in the Interim Fund Development Credit Agreement and designed to achieve structural adjustment of the Borrower's economy (hereinafter called the Program); (C) the Borrower has requested the Association to provide further assistance in support of the Program by providing an additional credit in an amount in various currencies equivalent to four hundred thousand Special Drawing Rights (SDR 400,000); and WHEREAS the Association has agreed, on the basis, inter alia, of the foregoing, to provide such additional assistance to the Borrower by making a Credit in one tranche as hereinafter provided upon the terms and conditions set forth in this Agreement; NOW THEREFORE the parties hereto hereby agree as follows: ARTICLE I General Conditions; Definitions Page 2 Section 1.01. The "General Conditions Applicable to Development Credit Agreements" of the Association, dated January