THE WORLD BANK IBRD * IDA I WORLD MNK GROUP MR. JEAN-CHRISTOPHE CARRET Country Manager Vientiane, Lao PRO FFICIAL E ast A sia and P acific R eg io nD OUETA u st 3 , 2 1 DO CU MENTS August 30, 2017 H.E. Mr. Somdy Douangdy Deputy Prime Minister and Minister of Finance Ministry of Finance 23 Singha Road P.O. Box 46 Vientiane, Lao PDR Excellency: Re: Grant No. TFOA5033 (Lao PDR Southeast Asia Disaster Risk Management Project) Additional Instructions: Disbursement I refer to the Letter Agreement (" Agreement") between the Lao People's Democratic Republic ("Recipient") and the International Bank for Reconstruction and Development/International Development Association ("World Bank"), acting as administrator of the Southeast Asia Disaster Risk Insurance Facility Program Multi-Donor Trust Fund for the above-referenced project, dated August 30, 2017. The Agreement provides that the World Bank may issue additional instructions regarding the withdrawal of the proceeds of Grant TFOA5033 (" Grant"). This letter (" Disbursement Letter"), as revised from time to time, constitutes the additional instructions. The attached Disbursement Guidelines for Investment Project Financing, dated February 2017, (" Disbursement Guidelines") (Attachment 1), are an integral part of the Disbursement Letter. The manner in which the provisions in the Disbursement Guidelines apply to the Grant is specified below. Sections and subsections in parentheses below refer to the relevant sections and subsections in the Disbursement Guidelines and, unless otherwise defined in this letter, the capitalized terms used have the meanings ascribed to them in the Disbursement Guidelines. 1. Disbursement Arrangements (i) Disbursement Methods (section 2). The following Disbursement Methods may be used under the Grant: * Reimbursement * Advance * Direct Payment * Special Commitment (ii) Disbursement Deadline Date (subsection 3.7). The Disbursement Deadline Date is 4 months after the Closing Date specified in the Agreement. Any changes to this date will be notified by the World Bank. (iii) Disbursement Conditions (subsection 3.8). Please refer to the Disbursement Condition(s) in the Agreement. II. Withdrawal of Grant Proceeds (i) Authorized Signatures (subsection 3.1). A letter in the Form attached (Attachment 2) should be furnished to the World Bank at the address indicated below providing the name(s) and specimen signature(s) of the official(s) authorized to sign Applications: The World Bank Xieng Ngeun Village. Chao Fa Ngum Road Chanthabouly District, Vientiane, Lao PDR Attention: Jean-Christophe Carret Country Manager (ii) Applications (subsections 3.2 - 3.3). Please provide completed and signed (a) applications for withdrawal, together with supporting documents, and (b) applications for special commitments, together with a copy of the commercial bank letter of credit,] to the address indicated below: The World Bank 26/F, One Global Place 5' Ave. corner 25* Street Bonifacio Global City Taguig City, Philippines Attention: Loan Department (iii) Electronic Delivery (subsection 3.4) The World Bank may permit the Recipient to electronically deliver to the World Bank Applications (with supporting documents) through the World Bank's Client Connection, web-based portal. The option to deliver Applications to the World Bank by electronic means may be effected if: (a) the Recipient has designated in writing, pursuant to the terms of subparagraph (i) of this Section, its officials who are authorized to sign and deliver Applications and to receive secure identification credentials ("SIDC") from the World Bank for the purpose of delivering such Applications by electronic means; and (b) all such officials designated by the Recipient have registered as users of Client Connection. If the World Bank agrees, the World Bank will provide the Recipient with SIDC for the designated officials. Following which, the designated officials may deliver Applications electronically by completing Form 2380, which is accessible through Client Connection (https-/iclientconnection.worldbank.orj). The Recipient may continue to exercise the option of preparing and delivering Applications in paper form. The World Bank reserves the right and may, in its sole discretion, temporarily or permanently disallow the electronic delivery of Applications by the Recipient. (iv) Terms and Conditions of Use of SIDC to Process Applications. By designating officials to use SDIC and by choosing to deliver the Applications electronically, the Recipient confirms through the authorized signatory letter its agreement to: (a) abide by the Terms and Conditions of Use of Secure Identification Credentials in connection with Use of Electronic Means to Process Applications and Supporting Documentation (-Terms and Conditions of Use of SIDC") provided in Attachment [3]; and (b) to cause such official to abide by those terms and conditions. (v) Minimum Value of Applications (subsection 3.5). The Minimum Value of Applications for Direct Payment, Reimbursement and Special Commitment is USD20,000 equivalent. (vi) Advances (sections 5 and 6). * Type of Designated Account (subsection 5.3) Segregated, Managed by State Reserve Department (SR.D) of the Ministry of Finance * Currency of Designated Account (subsection 5.4). US Dollars * Financial Institution at which the Designated Account Will Be Opened (subsection 5.5): Bank of Lao PDR * Ceiling (subsection 6.1); Variable based on forecast for 2 quarters III. Reporting on Use of Grant Proceeds (i) Supporting Documentation (section 4). Supporting documentation should be provided with each application for withdrawal as set out below: * For requests for Reimbursement: " List of payments against contracts that are subject to the Association's prior review, in the form attached (Attachment 4) together with records evidencing eligible expenditures (e.g., copies of receipts, supplier invoices) and " Statement of Expenditure in the form attached (Attachment 5) for all other expenditures contracts. * For reporting eligible expenditures paid from the Designated Account. o List of payments against contracts that are subject to the Association's prior review, in the form attached (Attachment 4) together with records evidencing eligible expenditures (e.g., copies of receipts, supplier invoices) and o Statement of Expenditure in the form attached (Attachment 5) for all other expenditures contracts. o Designated Account Reconciliation Statement in the form attached (Attachment 6) and copy of bank statement o Forecast of Expenditure by Component in the form attached (Attachment 7) for withdrawal applications requesting advance to the DA * For requests for Direct Payment: records evidencing eligible expenditures, e.g., copies of receipts, supplier invoices (ii) Frequency of Reporting Eligible Expenditures Paid from the Designated Account (subsection 6.3). quarterly IV. Other Important Information For additional information on disbursement arrangements, please refer to the Disbursement Handbook available on the World Bank's public website at https://wwv.worldbank.org and its secure website "Client Connection" at https://clientconnection.worldbank.orz. Print copies are available upon request. From the Client Connection website, you will be able to download Applications, monitor the near real-time status of the Grant, and retrieve related policy, financial, and procurement information. If you have not already done so, the World Bank recommends that you register as a user of the Client Connection website (https:// clientconnection.worldbank.or ). From this website you will be able to download Applications, monitor the near real-time status of the Grant, and retrieve related policy, financial, and procurement information. All Recipient officials authorized to sign and deliver Applications by electronic means are required to register with Client Connection before electronic delivery can be effected. For more information about the website and registration arrangements, please contact the World Bank by email at . If you have any queries in relation to the above, please contact WFALN Manila(a,worldbank.org using the above reference. Yours sincerely, Jean-Christophe Carret Country Manager Lao People's Democratic Republic Attachments 1. Disbursement Guidelines for Investment Project Financing, dated February 2017 2. Form for Authorized Signatures 3. Terms and Conditions of Use of Secure Identification Credentials in connection with Use of Electronic Means to Process Applications and Supporting Documentation, dated March 1, 2013 4. Form of Statement of Expenditure 5. Form of Payments Against Contracts Subject to the Bank's Prior Review 6. Form of Designated Account Reconciliation Statement 7. Form of Forecast of Expenditure by Component Cc with copies: Ms. Bouangeun Ounnalath, Director General, State Reserve Department, Ministry of Finance, Vientiane Capital, Lao PDR (bouangeund(gmai.com) Mr. Ounheun Chittaphong, Deputy Director General, Planning Department, Ministry of Planning and Investment, Souphanouvong Avenue, Vientiane Capital, Lao PDR Attachment 1 Disbursement Guidelines for Investment Project Financing February 2017 WORLD BANK GROUP CONTENTS PA6E I Purpose 1 2 Disbursement Methods 1 3 Hithdravkal of Funds from Financing Account 2 4 Supporting Documentation Requirements 3 5 Designated Accounts 4 0 Terms and Conditions Applicable to Advances 6 '7 Ineligible Expenditures 8 Refunds 8 1. Perpose ' ' 1he purpose ,the Dr,'eree1 idehrs to inestent PTu,n hnan the types of iurportn do.cumenuinn that the horr,wer rn ty he requred .' pr' jde to Jermonstralc the jse it tunds ,f the [rancing X,_ount tor eligihe cxpendlture id, the i,rsterij for estbshmg t esnted \e,ounts . t, the terns and coridmotns applicahe tt adtances. in rhe r~s or disburseennt-related acions that the l orld Bank ma take it it Jcetmiines that und of the Financin .\,:,_unt are not needed ,r ha, he,n used for melihle purps--e,, and igi the dishursemeni osequience : retind, 2. Disburement Methods h, \ orld Bank establishes dbursement arrangemenc tor i proect i .'nsdutaion with th. borrowcr- takrg mnto consideranon. anong other things. an ~sessment ot the horrower tinanial mnagement rid procuirement arrjngeennts. the ,,xsh Ilom need o the protcet. and ti JiS ur'ement epenience tth the brrom--r Fhose arrangemnent. are stated in th Finanegn \grecent and additional inonnation is pro,dcd in the Dishursement Letter S' Tbe World Bank disburses tund from the tmaneing ecount estabhished for Cath Kan, to or or the order of th biorrowker, a'.Ing wne or itore , the tol inu J,hursenent methods. as deternined h, the W orld Rank Ja ci docunent the ii i BmS nciuds the liternakiuna, Bank Tor Rcon,truc'Lon and Development r R R f)j itih i ma IDeidou.i A merztoaon IDA, " t m a ,, ,n , ~i fl -äm . >r in the .tpawtit idmitraltol f rs !und, lunidd - ionor. I na, e, - B. n finudiks åm kmin criedi >r 2rnit rnadc - ri W rild Bank tom vs ~wn r. lr4es trom, lioju im i dj i in, ,oK, ino it- ~ d ' tidt, i te w rd Ran, or ixm R ,;mrnbnation >f those B, - -eos a b-er or vrpient r. mcSani Joan tUr a pIricIIaC M II' athler entts CTK'Ged Ln the mp1rk0'1111nta o ik '.11- : IllOll "le il Wh InR k 11.01 hrse uiLcn, ippi' tu Bni ar- ir in enetmem Pc e F.nanung I 4e' Ju nio ippc iv Pic,ram-i or-Reuis E iatncein nd Dc% eernrt Pli lananc år for trant made iý the world nxi 'r vi , i, l ndå d iÅJ ' i, h.' J-'W ~J i1nIIT kee - , * >rIJ 91n,k w hen e ,etytnala-ý 1 hm term- oi the atreemenr ,,,h !h ii ,-r r- 'de ir ällcrent n:qiiirment he i- n \bk unt retc 'o the i,oum >pened -n nri ord Ban3 to 't, -UMIoW , sten i the S IM iJ Ii Åtr1r11 .. Ml il4 t 1 o r. PI 1OLn 1: 1 ~l j 1 ut u''ru'r. 1oak dirOmt . m H the Ä ru Bi. i ke- mnt, stldrawn . rofmi lhe f naintm Åci wiounto rm, m li ciiN,1 cyc>]oAurc < 1he, 2C n-I1-1 tr Dsbrri>t Letter uiti mmdnsi a tse-e(ro R.,4kiw mh Rcn t tleJ tor & !Aan. ,,j, [he DÄbjrsememi 1tetter '01ntam11 Jdi&joa,al n r e et b gte di,>ur%mnijt irr,-icments ror -Ihd2 - 'K 11 . ý A, - Ii ri Fnin, *1 A111WI 11nær I t1ý e t, -1 Reurnbursement t he tt r B1Hnk m1\ rniurl thl . cr tur c\pitnoturl 1h te f, finar),.: nursuant tk th, Flnanetri, k re,niew .ltihic xpenditure' that -h horrw: has pr:l(inAm.e ýd ,en uwn Aace. tlh wrk 1 aCk IJJ ntie rund> trUm dt l ietmlg .\ceount trt.u a Dcstnatcd \u m ui thf borrower ti tinan, elhible arenditurcs us ihc aic n ure 1 md ir wch suppcrtng Jocur:nls A llt he pruvided al j latcr Ae * the F,nanLtl ecumnt Mi be withdrawn or cnmttked. the authored repre,nneeiwen or through an upJaIIt autliorzed iat r Jumgnaiwn lerter Tern and Conditions of L se of Secure Identification Credenlials (SIDO to Process Ipplications. B, designatne otticas to use 'ýIDL and 15, cheosig to stubmn the appicaltons e:ktronicaib\ the borrow,er contirm5 ts acremen tc ihide b h terms st ondtons mo uf Dt ( tppliearsons. \pri Atins must h pro uCe t the l t,J Banx in sieh t,rn i requred tu acre tds trni (II, Hnan mc \unnt and must ^dide ,uch frnajtn t> tbc S orld Bank man rexsonabi ru 4 Cppunn, 0d e..ar . mammr. u.mer < scein -4 Supprn. ,tlvtiutenutaun Regulremen should ot ,uinnnce to mtr iOJ m3nk eterrn,i iii, n ranner and on tens aind onditns speaitied t Jt world jank. thr,ugh [te tU n onnecnon web,ote at nttp chcntconrectwn wor'dbank org I ie SA odd Bank ma,y. at its d rc mwn, emom x ot pertianent[, J,l0w 'he Ct 'rmnt kubmni'ho.'n ot appitAtuns Ks the horrower rhe V irid B.nk ai ptrm th heNrrý'r tu orrplvt. and tuhmnt app:aiatn r, ianual: l pap to-rm Paper ippt min, orni, :an he tound i the ( iem t unneuin wbite at htt chenttjnnjinn or dbankr5 oc rna e btaditll tiam the k .rld Bank upon request Vi,ipniun ifaue of 4ppltitionv. Dhe \Xord Btnk tahhthes a minimurn alue or appitaont,os ior reintritien dire, p acn ,p1 a! contiittment. i be A orid BanK roer es the right not tc atept appi-anon that are beow% such rnmmum ,aiu 16 Loans Disbursing Period. The World Bank procs \pplication, only atter the k manemrg ½reenent ha, een declared ellecne r accordance wiih the terms ok the i mnvnjj \reement l he cpenditures for wihKh the \pp aanons are made must he ii Paid for on or aii,r the date it the Fnancing Agrnement or åternatt% cK. i the cate oft protects that permåt rroiactte finaiing. on or after the ariler date specttied in the inmanoini Xreement tor ihot purpose and h. Iitcurred on or btoer- the closing date peuttied or reterred to in the Fimancing -greement th,e - lossg DaK , exCept as otherwsc specifically agreed with the \X 'tdd Bank l 'he lon di-huring period endN un the !inl date estab SNhed b he N orlj Ilnk ior receipt b, the Wrld Rink of appicanons tor Nithdraw,ai and supportng decumentation ithe Disbur,,ement Deadli Dati Th) Disbursnent Eadine Date may hk the ,ane as the Closing Date or up to tour months aier the Closing Date To sulppen ordert projeet ýompletwn and Jobksre ol the f manmginw Ätcount the h orld Bank does not ýCept apphCajions "r wtldra k or supportong docuntentauttn reet\ed alir (he 1i,bui-srtment Deadlte Date hlie borrower nitst prompui intorm te iAorid Bank ot an- expected unplementatun Jejays or :ceptional admistran,, tssues before those Jates The Wrld Bank noittic the birrcor t1 anY exkpItin that the W,orld Bank rmay make to the Diýhur4ement Deadhne Daie t8 Disbursement Conditions tt the 1-nan,ing Xreement contan a bIur-sement condittorn tor a peclti,.. expE.nditure category. the S orid Bank will Jsburye tunds froni the Fnw,,ciig \eount for that jctepors only attkr the JJshtusement condition has been tuLtJed jnd ;be W wdJ Bank ha, iotllIed e rrw er o th IT elelct 4. Supporting Documentation Requirementi P Ti horrowcr prod)s ;upptrtmit J,cueni)tat,)rn to the XX r(d Bank tu how that iunj, irom ie I xnanng Äcount haso been or are ing u:ed to linantc Jigthlc exnendutire, 4 K'r ,pecLad om m the -1-meICrj IrO e N I: o d IIIT ni matt,) JMet t, thc \k ,r41 Bank th at condit wn ikt ele c te , - ent onn eed r r A ithdraw, il has1 e meen miet 4 ; Types 'f Supporting Dcurmeniation. Ie i Urld Bank requr,;- 4ither couie, o, the ~riginal Jo.umens c decncmg Chice e Pend: e , ResorJs ir nmmarl rekert m e\penditure (umniarn Reportr a i.h turm and sihstance as rte \k add ank ma, spect' Records metUde uch doci ment :- ioices _nd rceiptr \ 1nian Report mak be ýtthcr ia th iterini unaudditt tinancial rport requirsd und:r the Finmncing Xgrcemrit dnteirn Financial R,pkrtn r 4hi a tiat,:ment al exprrurc nummarming cligihic expendrltes paid JurInn 4 tated peri-d t'temenlt m Irendture In al case the ho>rrow%er is respotible ror retifl%- :he orgena, dkcurnent etJenun eftgiblie expenditules and making thet akalaNe tr audt or .aspecuon 4 4 Tbc World Bank determin, ,h tyces 1 suppot'nc Jljtumntation that the borrowei must pro%ide ukng mio cenmderaten the Jihursement ethiod used Fhe suppx,rtim dcumentat,on may he the rolw ng (ai For applications for Reim,bursement L, Imenim Financtal Reports tii satemen, ol Expenditure ir i m. Reeords Ihv or reporfinig on lie use of 4dvsne> , , nitetnrm I mancia Repurt, statements >1 l \penditure oau i. Recor, I For applicatiomr for Direct Poymentts Reu,rds uch is copies o supplier ink (es (, i 1trtk euarantee i r 'Jane ntelriulon pa ment 1 For applicarioins for Special Commiument ( ap, at tie I etter at ( redit (wih alid expirv date; that the cojmtrcial 1ank. knwni as the openung bank. has issued For payment. a 'WIFT ociety tar worldwtde Interbank l elecommuieanicior rmes,:e mit be emn N the commercial bank and (- n othier supporilng Jocunentaton that th, Xk rid Bank may request h, note, to tbc hormwer ar t reu[-d m the D,bursement [ etter 4 S Failure to Pro vide ludiled I»7sauniii SlUtemen^. 11 Ihe hcýsgnated \ceounts mus be mn a surrency aceptahle to the \k,>rld Bank In mntrie that has a tree con\tible currency [signatej \ecounts ma bK hed im the urrenc oM the horrower sr an) 1reek onsertible eurrenex lhe \ arla Bank mas alo abr«t to iocal urrenes Designated Accounts whhen. among other thins, the counrn currenco tes,n it not freck on' ertihlc IS stable and the e:penditures to he hnas ed are primaris in local ,urrenc\ fhe oruower hears all rik, tsneed w,ith trein x,bange hmltuatons berween tai the curTenck >t jenomnalon )4 the loan and that t the rorrower , eSIntld \.eount and (bi the curreni, ot denonminanon at the burower Designated \ecount and the currency or currenes ot protect expendtiures ; ý Financial Insintutin. De,sinaed \,iuns mut be -pened and mantained in a utnanaull Im-Uutun1i(n3 seleLtd b t, m,orrow.er and acepahlc 1o th U rld Rank A minanuti insutuon ts acceptable i t neets all the eoIAlukkng requirement I It s kinain(call - souqnd ' ( It ss g>ood stndm It 1 autlhosrli/ed to almu Othl it 1 akd \e Oun t :n c ýurne' agr.-u between die tÄorld Bank and the sortswer 1, It i attdited IC tltart iJ reck, e ,attfactorn aud.t report X so -,zt mm. il l ,In ,,,r ht 1h P co.mtr ci, 1, v m ,ss r 1 , nmlcr,:ä ,,nk i it cn execute i large nunhr ot tanat,ns prp it .,n aitactol d pertr n id rwi t i,nkm. r hj~ anqnrode detaled s tt.me[ ' the Defi naed \'cC'unt i-h l part of a austacory .rrespondent arkmg ne'ý''rk I iiriar,.es reasonrahic Nees tor , ,e- [ýe 5 " The W oriBa reBera k the,. rmLht n1, i 1,rn tind tu i tnilani,al insrtiuwj, a hiat rnsalturron hss aserid or as ler t Jin -et 'b set: ir alt,h the rro,.-:d i .In Rink kan -' dcr4o,t n i Designticd \ m,in mtLined ,, lcJ 'ite ,fit-,n 6. Terms and Condirions Appfic-aIbile to AdIances ' i Criling i he VA )rd Bank notiis the borrover )1 the m.Lýiiuum aimtount ut tunds trom the I-aruncing AXccount that na be n Jýpokt n a Deienated kLcount (the e ilings The W orld Bank, at s J c rntnm c,t,jbt-hih the t ehng i eilher i i rixed Imunt or th an amiunt that ts adntsted trom time Jrum durinv. prti1er mpkmentan )n th,: hao-m of periodrL oi pr'1.Leash L om U FirianLng AX,ount ,id,anedu to the D>essniiated Account itersa >eUed m% the i orid BSank b noru:e to the borrower [he botrrower must ensure tIhat iiI amounts d.posited into the Dciinatcd \count ire accounted Tor and that iherr use s reporred prior to the Dibhur,en,nt Deadlhne )aie \tier th4 date [i. h,orro%cr m1u, retund i, the Wrid Bank aný adý xnt-s -i,il unaIounlertd lor ir remam in ie iDesnakJ \'oumi t 4 Witlt/olding Adances. fie World Bank (s not retutred to make an deposit miw the r>cignated \i,ounit an ofthe fi,illong condi In ppl\ ar 11hc Woirlu Bank iinone hat pa,mnt kt tin, Lpen wouid resaln M 2e\ecding th 4 ethng ,ee subseiuen o2 \ppitc>ns tr \eiins,i ihe World Bank . not satitied that ihe "crowet , pianred project ex'endirs rsrtt' he Jcptu 'he V -rld Bink mar r d% t the amor,un i deptt 'r othholu nrther J:p-- mirnr :h, Dent \,'tint it ( ta e hat th n an neLJs 11 the prk'C,I ý,rramn ý'urther S ie l rro r tall t tAke the ituon requireld tvrsuant to the Jeerminatons maJc the \ rid Rink under t,h,ection' 'nd ,' ThI Ib orrow tr [iil t pro\ -d am i tk, aiu Jd aR al stmelncnt, required in accorance wahL. and Aiu theIperIe T>ri- '1,13ti1c spedciici in. the 1Fiianking Agrement T hlie '. vrld Rink detcomne that l iturthcr \thdraxaa )t runds ~om the l man,ing Xciourt stotld nc ni,-ÅJ h- the h,rr,wer Jjrvtly tromi the E,nanetig \Lkjuntl. 0r Thet World Bank ha- noutied :he borrowker al a intention to supend mn w-holc or in pan the borrowcr' right to makc wa-hdrawha> trom the Vidrncang \ccounnt 0 Erces.i Aidvatces. Iit in ji time t ord Ranjk deternamc that an amounti depoted in the Designated \ IouN w di not be required to -",er lurther pdymlents Ior cligibl: expenditurc ithe Uxcess Amount. tt ma% t at> discrction. require the borrower tc lake one of the toIIowmg two disbursemnt-relted actions -i Prod ti lerJne castactor to the Ä orld Bank ith i period speified bý die World Batk that the E K mnou- ti be used to pia, tor elible expenditr-es Ii the entdncec not 'urnished withn the minte pertod specitied. the borrower must prompt]\ retund rhe t xen \mount to the iA orld Bank, or (ht iund the Fx,c \mnount promptdy Vie Norr,%wer mnust periorm th, actton requesid prmpi% aiier rLleicSnmg rcltication trom the W orld Rank thai t niut 1, ;4 7. Ineligible ELpendlitures indigible Lvpenditures Generauly. 11 the k orld B-arik Jtcrrest that aný anount or dt runds from the i ininng \.count wa uscd tco pa, toi an experdiure that is not eihrible pursuant to the Fmancng \grcmemt l an mnehgibc expenditure f.the ' orld Bank may, m its di ercuton require th, horrower to tak. -n; ot the tollowing tvm dJaburs.emnent-related actions, wichot pre)udice to tbe Bank. oght to eerce remedie. under the (ieneral t onditwn. or Standard ( rldmnsti and H nanung kgreenment Ut R,fund an equai alent amount o the å orld Bank kb, Exceptionall prk,,,dc substiute J'umma n .denemxg other lgible e\peridtires -nie borrowker nusi perform the action requestcd primpak tcr r>ate. nii nIication Irom the wA orlid fank that ii mn, Jo ýc 1iX in ma gyina r ,- , fln .-. , - ,, et . .x lo - f .r. ,], n , .- VIo. 1 ,ppl.tt tr I1lt 40 , ,iu - ffi, 1t . v 1- e 'r,r- i - , ' Inefigible Expenditures Paid frm the Dtesignated 4coui. tt ffi \ urtd Bank detcminc that any payment out or thc tDeignat:u \C,ount 'w'. n it :sanlcc b thc idcncc Jurru~hed to the N& irld Bink t wat mad. t-r mn rnehaNe lpenur th 'Å ,rld f3ank may a(i s J1dtetun require the ommer , uke ,ne 1 the to lov nk deitt on 41 Provide dit addwsonai , id,nc, requeited h thc \ irId Bank ib) Deposit an :qui ilent Irounst mi the D:stgn,tcj \,uount ce i Relund an equsý ileni imouni to he ru1 Bjank 1d f xepttonailly pmode subainrute docum-tient.ani,r eeuecnung other ehgible expenditures Uhc borrowcr nust pertorm the kuun requ-1ed promptl ant.: v enmg nottiicaton irom the N orld Bank that it nust dk so 8. Refunds K i H4rrower Decision to Refund. rh Nm r mo upon nonte Tu the w orld Bank retund all or an amount af tii lÅa)n on dcp,osit n the DXg;nated \111cun (o (h W ortd Bank lor creda it the Financii \c.ount 8 2 Coniequence of Refumis. Ft W rid Bank hal! Jetermime wtlheher retunds made to the World 1ank in juordant.c wih scciuns o ind ' and subseenon X 1 or Thes guidetnes wsll he crcditcd to thc H naneng Xccount Rciund, .i rund nin the Hnanklng \ecount may re;uil rol at sw,ap rermnauon t.cs th umkinding ,t for amounts fo which the interest ramc basis or curmcne: ha, hen con1ncrtcd >r hedecd. (,j both 8 ý Otker Rigih und Obligitions I n«ffexted by Refunpda. Reiund, ,1 it,n amunl do not aftect other legai right, md >häga5