Conformed Copy - L4227 - Water Districts Development Project - Project Agreement

Page 1 CONFORMED COPY LOAN NUMBER 4227 PH Project Agreement (Water Districts Development Project) between INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT and METROPOLITAN WATERWORKS AND SEWERAGE SYSTEM Dated May 15, 1999 LOAN NUMBER 4227 PH PROJECT AGREEMENT AGREEMENT, dated by May 15, 1999, between INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT (the Bank) and METROPOLITAN WATERWORKS AND SEWERAGE SYSTEM (MWSS). WHEREAS (A) by the Loan Agreement of even date herewith between Republic of the Philippines (the Borrower) and the Bank (the Republic Loan Agreement), the Bank has agreed to make available to the Borrower an amount of two million three hundred thousand dollars ($2,300,000), on the terms and conditions set forth in the Republic Loan Agreement, but only on condition that MWSS agree to undertake such obligations toward the Bank as are set forth in this Agreement; (B) by a subsidiary loan agreement to be entered into between the Borrower and MWSS (the MWSS Subsidiary Loan Agreement), the proceeds of the loan provided for under the Republic Loan Agreement will be made available to MWSS on the terms and conditions set forth in said MWSS Subsidiary Loan Agreement; and WHEREAS MWSS, in consideration of the Bank