10894 WORLD BANK 1962-1963 r -yj F LE OO'Y K. S. Venkatraman Eighteenth Annual Report t. +l .( л PRI'SIDENT'S ITTTE'R OF TRANSMITTAI . . . . . . . . . . . . . . 2 FINANCIAL HIGHLIGHTS 3 THF YEAR'S ACTIVITIES . . . . . . . . . . . . . . . . 4 G eneral . . . . . . . . . . . . . . . . . -5 The Year's Lending . . . . . . . . . . . . . . . . 11 Financial Operations . . . . . . . . . . . . . . . 13 Technical Assistance . . . . . . . . . . . . . . 16 AN NFX . . . . . . . . . . . . . . . . . . 19 CONTENTS Lending- Africa . . . . . . . . . . . . . . . . . 19 Annual R.,bort 1962-1-963 Asia and the Middle East . . . . . . . . . . . 22 Europe . . . . . . . . . . 28 Western Hemisphere . . . . . . . . 30 FINANCIAL S FATEMENTS A Balance Sheet . . . . . . . . . . . . . . . . . . 38 B Comparative Statement of Income and Expenses . . . . . . . . 40 C Currencies Held by the Bank . . . . . . . . . . . . . 42 D Subscriptions to Capital Stock and Voting Power . . . . . . . . 44 E Summary Statement of Loans . . . . . . . . . . . 46 F Funded Debt of the Bank . . . . . . . . . . 48 G Notes to Financial Statements . . . . . . . . . . 50 OPINION OF INDEPENDENT AUDITOR . . . . . . . . . . . . . . 52 OTHER APPENDICES H Administrative Budget . . . . . . I . . . . . . . . 53 I Governors and Alternates . . . . . . . . . . . . . . 54 Executive Directors and Alternates . . . . . . . . . . . . 56 K Statement of Loans . . . . . . . . . . . . . . . . 57 L Principal Officers . . . . . . . . . . . . . . 69 International Bank for Reconstruction and Development September 30, 1963 My dear Mr. Chairman: In accordance with Section 10 of the By-Laws of the International Bank for Reconstruction and Development, I have been authorized by the Execu- tive Directors to submit to the Board of Governors this Annual Report of the Bank for the fiscal year July 1, 1962 to June 30, 1963. The first section of this year's Report surveys the various activities of the Bank in the fiscal year, and is followed by an Annex giving a country-by- country summary of lending and technical assistance. Finally, there appear the customary Appendices, including the Financial Statements as of June 30, 1963; the Administrative Budget for the fiscal year ending June 30, 1964; and a Statement of Bank Loans. Sincerely yours, GEORGE D. WOODS President Chairman, Board of Governors International Bank for Reconstruction and Development 2 Financial Highlights ..LOANS OF THE YEARks4' (Expressed in millions of United States Dollars) SALES OF PARTS OF BANK LOANS 3 1 REPAYMENTS OF LOANS TO BANK 1114 GROSS INCOME NET INCOME TOTAL OF SUPPLEMENTAL RESERVE 4-0 TOTAL OF SPECIAL RESERVE TOTAL RESERVES i"1 I 3 BORROWINGS (GROSS) 124 NET CHANGE IN FUNDED DEBT 1" i - 2 SUBSCRIBED CAPITAL 2 ..4' I , 1' 3 The Year's Activities -i1 __________Z_ o LOANS IN FISCAL YEAR 1962-'63 LOANS IN PREVIOUS YEARS The year's 28 loans were made in 19 countries and territories, and were equivalent to $4,49 million. 4 'he past year has been one of steady progress preparation in the Bank increased, and although A decrease in new Bank loans-to $449 mil- in improving and expanding international it happened that the total of funds lent declined lion from the previous year's peak of $882 million assistance to economic development. The amount from the previous year, there was no correspond- -more than accounted for the difference in of new financial commitments from public sources ing decline in the number of loans actually made. commitments by the group between the two edged upward as compared with the preceding Credits extended by the International Develop- fiscal years. There is no evidence, however, that year, and was extended partly on terms more ment Association rose, and consultations among this decrease signals any long-term trend. Large favorable to the receiving countries. International the representatives of member governments made fluctuations between years can be caused by consultation was further developed, in the De- encouraging progress toward replenishment of accidents of the calendar, whereby large loans velopment Assistance Committee of the Organi- the financial resources of IDA. IFC had an just before or after the end of June materially zation for Economic Cooperation and Develop- eventful year. It engaged in its first combined affect the total for a fiscal year. The number of ment, for example, and under the auspices of operations with the Bank, to assist industrial loan agreements signed by the Bank in the year the World Bank itself. New arrangements were development finance companies; it completed its was approximately the same as in the five made for financial and technical help, notable first underwriting and standby commitments; previous years, and there is no sign that loan among them the special drawing facility created and it enlisted more participation by other in- applications from member countries are de- by the International Monetary Fund to assist vestors in the projects it supports than in any creasing. member countries which experience temporary previous year. It is not possible to forecast with any preci- declines of income from exports-especially of sion the rate of Bank lending. On the one hand, primary products-due to circumstances largely some factors are operating to level off the rate or beyond their control. IN THE FISCAL YEAR ENDED JUNE 30, 1963, the even to diminish it. One such factor is that a At the same time, however, many of the de- World Bank group committed a total equivalent number of the Bank's borrowing countries are veloping countries continue to face severe dif- to $727 million in new loans, credits and invest- nearing the limit of the amounts they can afford ficulties. Some are hard-pressed to service their ments for economic development. This compared to borrow on the Bank's terms of interest and external debt, many are seriously handicapped with a total of $1,037 million in the previous repayment, although their ability to absorb ex- by the uncertainty of prospects for their export fiscal year. The 1962/63 total was made up of ternal finance remains high. It was to meet the trade, and the rapid growth of population weighs $449 million of loans from the Bank, $260 needs of these countries that IDA, whose credits heavily on the resources of much of the under- million of credits from IDA, and $18 million of impose lesser service burdens, was established- developed world. commitments by the International Finance Cor- and the annual lending rate of IDA is showing a The activities of the World Bank group- -the poration. Disbursements by the Bank group steady increase. Another factor is that other Bank and its two affiliates, the International reached $692 million in 1962/63, of which $620 countries, formerly Bank borrowers, have be- Finance Corporation (IFC) and the Interna- million came from the Bank, $56 million from come economically strong enough to be able to tional Development Association (IDA) -con- IDA, and $16 million from IFC-a record figure satisfy their needs for external finance by borrow- tinued to expand. The number of loans under in each case. ing in the world's private money markets. 5 On the other hand, many member countries $650 million in mid-1949 to $6,700 million. IFC signed to overcome both financial and non- can be expected to make more active use of the and IDA, the affiliated organizations established financial obstacles to a rise of living standards in Bank, some of them on a large scale. They are during Mr. Black's presidency, together added its member countries. still fully able to service additional Bank loans, investments and credits of about $500 million to During the year, the Bank has continued to and their capacity to absorb outside capital is the Bank's total. pursue its long-standing interest in ways of growing as they gain more experience in eco- Mr. Black played a key role in pursuing the encouraging international private investment. In nomic planning and development. There also Bank's purpose of enlisting private capital in the its efforts to increase the flow of private capital are member countries whose growing political task of financing the growth of the less developed into the less developed countries, the Bank has stability should eventually make them an active countries. The Bank's credit in the money always been aware of the overwhelming im- theater for Bank investments. In these cases, markets of the world was established on a firm portance of investor confidence. One of its the scope for Bank lending should expand. What footing, and its borrowings, which stood at $250 earliest policies, and one which had useful re- rnay result from these varying tendencies among million in 1949, increased to more than $2,500 sults, was actively to encourage governments to the Bank's membership cannot be forseen. But million. The interest of other investors was settle defaulted debts owed to private investors; there is no reason to doubt that the Bank will enlisted in the Bank's loans: by the end of 1962, and on a number of occasions the Bank has continue to play a leading role in financing investors had bought maturities of these loans to helped to settle financial disputes between in- economic development. the extent of more than $1,400 million.Mr. Black vestors and governments. also succeeded in assembling in the Bank and its ON JANUARY 1, 1963, Mr. George D. Woods be- affiliates a staff remarkable for breadth of ex- came President of the Bank. This was the first perience and diversity of skills. On May 5th, the Executice Directors, the officers change in this office since July 1949, the retiring The Bank will always owe to Mr. Black a and the staffs of the Bank and its affiliates President, Mr. Eugene R. Black, having served great debt of gratitude for the vital contribution expressed to the International Monetary Fund for all but the first three years of the Bank's he made to its affairs in more than thirteen years their profound and sincere sorrow over the death existence. of devoted service as its President. of Per Jacobsson, the Managing Director of the The achievements of the Bank under Mr. Fund. Their message read, "Per Jacobsson's Black's leadership as President are well known MANY OF THE MOST IMPORTANT FACTORS affecting contribution to the solution of the world's throughout the world. During his tenure of economic progress, such as social attitudes, /inancial and economic problerms was unique office, the Bank grew from its formative stage into population growth and forms of government, lie iewl be ebtcu re ic he gore a comprehensive development institution that is beyond the reach of financial institutions. But asiite In esier rgazto here asisistlance. In these sister organizations where the world's largest multilateral source of develop- many others have concerned the Bank, even we had corne to know him and to respect his ment finance and one of the most important though not all of them are closely related to its outstanding abilities, we feel that we have lost suppliers of technical assistance for economic own lending, and an increasing part of the not only a leader but a close friend." development. Bank loans grew tenfold, from Bank's work today is in technical assistance de- 6 The Bank continues to believe that the inter- that this approach holds great promise as a Helping its member countries to formulate these national flow of private capital would be greatly means to improve the climate for international programs has long been one of the most im- eased if investors could be persuaded to over- investment and to increase the willingness of portant technical assistance activities of the come their present fears that investment abroad private investors to export capital. Bank. The Bank has organized more than 20 may be exposed to abnormal risks. It has been expert missions to make comprehensive economic suggested in some quarters that one solution to surveys and to recommend the main outlines of the problem would be the adoption by govern- IN RECENT YEARS, CAPITAL-EXPORTING COUNTRIES development programs; it has sent other missions ments of a code for the equitable treatment of have explored various methods of coordinating to make detailed comments on programs being foreign investment, this code to be enforced by their financial assistance to less developed coun- drafted in member countries; and, through its an international tribunal. Another suggestion tries in order to insure its most effective use. Two Development Advisory Service, it is making has been that some form of multilateral scheme early efforts of this kind were the Consortium for senior experts available to assist in development be established to provide insurance coverage for Aid to India, which the Bank convened in a programing. international investment; a study of this subject situation of emergency in 1958, and the Con- Once an adequate program exists, it becomes by the Bank staff was published in 1962. sortium for Aid to Pakistan, which the Bank first possible to take a realistic measure of the external The Bank has had a third approach under assembled in 1960. These groups have continued aid required, and to relate that aid to the study for some time. It is a proposal to establish periodic meetings to examine and comment on economic priorities embraced by the program. facilities, linked in some way to the Bank itself, the development plans of the two countries, and In these circumstances, the Bank has expressed which would be available to foreign investors during the past year considered further assistance. its willingness to participate in efforts to coordi- and host governments wishing to bring invest- For the third year of the current Indian Five- nate such external aid as may be available; and ment disputes to conciliation or arbitration. It is Year Plan, the countries and institutions rep- it has cooperated with the Development As- an essential feature of the proposal that resort to resented pledged the equivalent of $1,052 mil- sistance Committee of the OECD in this respect. these facilities would be entirely voluntary. They lion, subject as appropriate to legislative or other One form such efforts may take is a consultative would be brought into use only when both the necessary authorization, of which the Bank and group of governments interested in assistance to government concerned and the foreign investor IDA share is $245 million. For the fourth year of a particular developing country; several of these had consented. But once this consent had been the current Pakistan Five-Year Plan, again sub- have been organized, some of them under the given, the parties would be bound to carry out ject to legislative or other necessary authoriza- leadership of the Bank. their undertaking and, in the case of arbitration, tion, the amount pledged was $425 million, of Meetings of this nature were initiated by the to abide by the award. The proposal for the which the Bank and IDA share is $80 million. Bank during the year for Colombia, Nigeria and establishment of conciliation and arbitration The international coordination of financial Tunisia. The first meeting of a consultative group services is being kept under study by the Execu- assistance to a developing country cannot be of countries interested in assistance to Colombia tive Directors. While there are still a number of effective unless the country has a well-formulated took place in January 1963. The group con- difficult questions to be solved, the Bank believes and sufficiently detailed development program. sidered a list of priority projects in the Colombian 7 Through the night, work continu,es on the foundations of Ghana's Volta Dam. The Bank has lent $47 million for the Volta project, which will generate electric Power for the industries, mines and townzs of southern Ghana. lU-, r7 1 . där * No L :ux + ~ 4 ) Wr Development Plan which were in a sufficiently to be able to make efficient use of domestic making libraries available to ministries and advanced stage of preparation to be ready for financial resources and development assistance agencies concerned with economic affairs in financing within the ensuing two years. In the from abroad. some 95 countries or territories, the Bank and case of Nigeria, a consultative group of interested Apart from the regular six-month course con- the co-sponsors believe they can make a real con- countries held meetings to exchange information ducted by the Institute-the eighth such course tribution to broader understanding of the com- on present and prospective assistance to Nigeria, -two other courses were started during the plex problems of development and economic and began to consider the possibility of helping fiscal year. The first was a somewhat abbreviated planning, both at the national and the project to finance the Kainji Dam project on the Niger version of the regular course; it was given in the level. River. Participating countries in several meet- summer of 1962 and was conducted entirely in ings on financial assistance to Tunisia heard de- French, the participants being senior officials scriptions of the development plan from Tunisian concerned with economic development in THE BANK IS CONVINCED that the economic pro- officials, and also considered a Bank analysis of French-speaking countries, mostly in Africa. By gress of the less developed countries will depend the plan. the end of the year a second course in the largely upon their success in enlarging the skills French language was in progress. It will be and widening the outlook of their peoples, which followed this fall by a second course in project in turn will depend upon providing effective and ONE OF THE MOST CRITICAL ELEMENTS in the evaluation, conducted this time in Spanish. In adequate systems of education. economic progress of the underdeveloped coun- all, 204 senior officials from 64 countries have The Bank took two initiatives in the educa- tries continues to be the skill brought not only participated in the various courses of the tional field during the year. One was to sponsor, to development programing but to the manage- Institute. jointly with the United Nations Educational, ment of economic affairs in general. The Bank's The Institute took steps during the year to Scientific and Cultural Organization, a new In- chief instrument for fostering this skill is the broaden its distribution of libraries on economic ternational Institute for Educational Planning to Economic Development Institute, founded in development to selected institutions in the de- undertake research and training. The Institute 1956 as a kind of staff college for senior govern- veloping countries. Distribution was begun of is situated in Paris, and also receives support ment officials concerned with economic matters. libraries in the French language, similar to those from the French Government and the Ford In the past year, the Institute greatly expanded in English distributed the year before. Work has Foundation. The other was to organize an ex- its work, providing courses in more subjects, to now started on assembling libraries in Spanish, pert study to recommend improvements in the more students, and in more languages, than ever also containing some works in Portuguese; in standards and procedures for the design and before. An example is the course on project this case the Inter-American Development Bank construction of schools in Tunisia. evaluation inaugurated during the year. This is making a financial contribution, and the work A later section of this Report describes various course, given in English, was introduced to help of producing the libraries is being carried out for other technical assistance activities carried out increase the capacity of member countries to the Institute by the Centro de Estudios Mone- by the Bank during the year, including project appraise and prepare development projects so as tarios Latinoamericanos, of Mexico City. By studies, economic surveys, special missions to 9 assist member countries, and work undertaken APART FROM THE CHANGE OF PRESIDENTS, other Gordon of the staff became Assistant Director of for the UN Special Fund. The Bank's work in changes took place in the staff of the Bank during that Department. In May, Mr. Howard C. John- these fields is likely to continue to grow. the year. Sir William 1liff retired in October son joined the staff as Manager of Portfolio Sales 1962 after 15 years of service. He had been a and Participations in the MarketingDepartment, Vice President of the Bank since 1956, had been situated in New York. one of the principal architects of the Bank's The Bank's regular staff increased by nearly THE MEMBERSHIP OF THE BANK rose rapidly dur- organization and policies, and had played a lead- 100 persons during the year to a total of 884. The ing the year, increasing by the following 10 ing role in a number of international negotia- number of nationalities represented was 55. countries to a total of 85: tions of exceptional importance. He will continue During the fiscal year, the Bank inaugurated to le associated with the Bank as Adviser. Mr. a new Junior Professional Recruitment and Gcoffrey M. Wilson became a Vice President in Training Program. This will bring into the staff Capital Date September, after having held the position of each year a small number of young university Country Subscription Joined Director of Operations for South Asia and the graduates of outstanding ability. The first group, Middle East. He was succeeded in that post by 11 in number, has been selected and will Ivory Coast . $20 million March 1963 Mr. Escott Reid, who had been a senior member begin a two-year training and probationary Jamaica . . 26.7 million February 1963 of the Canadian diplomatic service. Mr. Leonard period in September 1963. Their ages range Kuwait . . 66.7 million September 1962 B. Rist, formerly Special Representative for from 24 to 31, and they are nationals of 10 Niger . . 10 million April 1963 Africa, was appointed Special Adviser in January countries: seven from Western and Southern Senegal . . 33.3 million August 1962 1963. At the end of March, Mr. Gail Hathaway Europe, two from South and Southeast Asia, one Sierra Leone. 15 million September 1962 retired from his post as Engineering Consultant, from Latin America, and one from the United Somalia . . 15 million August 1962 and his place was taken by General Herbert D. States. Over the long run, the Bank hopes by Tanganyika . 33.3 million September 1962 Vogel. Following a distinguished career in the this means to fill much of its need for profes- Togo . . . 15 million August 1962 United States Army Corps of Engineers, General sionally qualified staff. Upper Volta. 10 million May 1963 Vogel was Chairman of the Tennessee Valley - Authority from 1954 until 1962, In April, Mr. Michael Hoffman resigned from his posts as As a result of these additions, the subscribed Associate Director of the Development Services capital of the Bank at june 30, 1963, was Department and Director of the Development $20,729,800,000. Soon after the end of the fiscal Advisory Service to enter private business. Direc- year, Cameroon, Central African Republic, tion of the Advisory Service reverted to Mr. Chad, Congo (Brazzaville) and Dahomey became Richard H. Demuth, Director of the Develop- members of the Bank. ment Services Department; and Mr. David L. 10 Colombia, Cyprus, El Salvador, Finland, Pan- LIST OF LOANS 1962/63 -Expressed in U.S. Dollars THE YEAR'S LENDING ama, the Philippines, Singapore, Swaziland, - Thailand and Yugoslavia. Country Purpose Amount Lending for industry totaled $110 million in minions) . Colombia Poer .8... . five loans to Colombia, India, Morocco, Paki- Colombia Railways . . . . . 30 stan and the Philippines. The first of these was Colombia Steel Industry . . . . 30 of $30 million to assist a steel mill in Colombia. Cyprus Power . . . . . . 21 There were 28 new Bank loans during the year, The four remaining loans were made to in- El Salvador Power . . . . . . 6 totaling $448.65 million; this compared with dustrial development financing companies, three Finland Power . . . . . . 25 $882.3 million in 29 loans during the previous in combination with investments of the Interna- India Industrial Development fiscal year. The loans of the year raised the total tional Finance Corporation. Israel H a . . . . . number made by the Bank to 349 and the total There were four loans, totaling $24 million, Mexico Irrigation . . . . . 12.5 lent to $6,983 million, net of cancellations and for agriculture, made to assist irrigation projects Morocco Industrial Development refundings. in Mexico, Nicaragua and Thailand. Bank . . . . . . 15 Four new countries or territories figured among Nicaragua Irrigation . . . . . 2.6 the borrowers--Cyprus, Morocco, Singapore Nigeria Port Improvement. . . 13.5 Pakistan Western Railway . . . 18.25 and Swaziland--and raised the total number of Pakistan Eastern Railway . . . 4.75 borrowing countries or territories to 64. Asia and Pakistan Industrial Development the Middle East received the largest amount of Bank . . . . . . 20 new loans, with a total of $179 million. The Panama Power . . . . . . 4 Western Hemisphere )orrowed $126 million, Peru Railways.13.25 Philippines Industrial Development E urope $111 m illion and A frica $33 m illion B . . . . . . 15 Transportation loans were the largest category. Philippines Power. . . . . . 3.7 at $190 million. There were four railroad loans, Singapore Power . . . . . . 15 totaling $66 million, in Colombia, Pakistan and Swaziland Power . . . . . . 4.2 Peru. Highway lending accounted for $110 Thailand Irrigation . . . . . 5.6 million in four loans to Israel, Thailand, Uruguay Thailand Ir . . . . . 6.6 and Yugoslavia. The remaining transportation Thailand Higwas . . . . . 3 loan was of $13.5 million to Nigeria for impro e- Uruguay Highways . . . . 18.5 ment of the Port of Lagos. Yugoslavia Power . . . . . . 30 Ten loans were made for electric power during Yugoslavia Highways . . . . . 35 the year, totaling $124 million, for projects in TOTAL $448.65 11 4. T :1 '3 - Electric power for the seaport of p -- Aalborg in Denmark is provided by this modern thermal plant. It and four other stations were expanded with help from a Bank loan of $20 million. Outside U.S. U.S. SALES OF BANK LOANS By Fiscal Years (In Millions of U.S. Dollars Equivalents) 350 the fact that issues maturing or redeemed ex- FINANCIAL OPERATIONS ceeded new borrowing for the first time since 300 1955/56. 250 200 RESERVES, INCOME, REPAYMENTS AND INTEREST 150-- -The new loans of the year brought the cumu- RATE At June 30, 1963, the Bank's total re- lative total of Bank loans, net of cancellations serves, comprising the Supplemental Reserve 100 and refundings, to $6,983 million, of which and the Special Reserve, stood at $813 million, o 4 --- $5,425 million had been disbursed by June 30, an increase of $114 million during the year. 1963. Of the $6,983 million, $2,261 million had The Supplemental Reserve, accumulated from o been repaid to the Bank or sold to other in- net earnings, increased by $83 million to $558 - e .Q li-is' o- '.-20. vestors. The total of loans (effective and non- million. The Special Reserve increased by $31 effective) held by the Bank, net of exchange million to $255 million; this Reserve is con- adjustments, on June 30 stood at $4,712 million, posed of receipts from the 1% loan commission, $47 million more than the year before. and can be used only to meet liabilities of the D 1v, R i.MENTS Net earnings (exclusive of receipts from the Bank in case of default. . iI Years 1% annual commission payable on all Bank Gross income for the year, excluding receipts I /:... I I ollars Equivalents) -loans) were $83 million, an increase of $13 rnil- from the 1% loan commission, was $204 million, lion over the previous year and the highest earn- an increase of $16 million over the previous 6 -'- ings figure yet reached. Sales of Bank loans, all year. Bond and Note interest and issue costs rose made without the Bank's guarantee, amounted to $104 million from $99 million. Administra- to $273 million, compared with the peak of $319 tive costs for regular Bank operations also rose, __._ million last year. The total was made up of $12 to $13.6 million from $10.8 million in 1961/62. million of participations, where other investors In addition, the cost of services to member -000- took up parts of Bank loans at the time they countries-including general survey missions, were signed, and of $261 million of sales from project and sector studies, training programs co- the Bank's loan portfolio. Loan disbursements and other advisory and technical services-in- were $620 million, the highest yet recorded. The creased from $1.9 million to $2.8 million. Bank's outstanding funded debt fell by $2 mil- Repayments to the Bank amounted to $113 0 _ - lion during the year to $2,519 million, reflecting million, and repayments by borrowers to other 1957 1958 1959 1960 1961 1962 1963 13 investors holding maturities of Batik loans were was the Bank's first loan and, as a result of this $11 ilin te oalo $4 milo cmaeINLOAN EXPENDITURES $131 million; the total of$244 mhlion compared IN INDIVIDUAL COUNTRIES purchase, the outstanding balance held by the with $226 million the year before. (Axpressed tn millions of U.S. Dollars) Bank was reduced to less than $60 million. Soon The rate of interest on new Bank loans, in- after the close of the fiscal year, the balance was eluingthe1% nnul emrtssin, ontnue Disbaie,i/s Ig5 Connota/ive Fiscal Cumut olive cluding the 1% annual commission, continued tboe r comulate Ieal comalie purchased by Banque de France. from the previous year at 534%% until September i?mports fromn: June 30,1962 1062/163 Juie 30,1963 1962. Changes in marketing conditions for the Belgium . . . . $ 119.7 $ 6.5 $ 126.2 Bank's borrowing operations then made pos- Canada . . . . 143.2 4.2 147.4 THE YEAR'S BORROWING The Bank's borrowings sible a reduction to 5½%, which prevailed for France . . . . 161.1 49.2 210.3 during the fiscal year amounted to $124 million, the remainder of the fiscal year. Germany . . . 413.0 43.5 456.5 but maturing issues and rclcmptions totaled Italy . . . . . 132.5 33.1 165.6 Japan . . . . 101.8 20.0 121.8 $126 million, reducing the outstanding funded Netherlands . . - . 42.7 9.8 52.5 debt by $2 million. The Bank was in a liquid Sweden . . . . 57.8 10.4 68.2 position and had no need to raise new money in DISBURSEMENTS AND SALES OF LOANS The year's Switzerland . . . 93.6 14.2 107.8 the world's capital markets. This situation is due record disbursements of $620 million compared United Kingdom 550.6 54.6 605.2 in large part to the continued high level of sales h $ United States 1,752.2 132.4 1,884.6 with $485 millon the year before. Since the All Other Countries. 166.4 21.3 187.7 of Bank's new loan commitments averaged about which have replenished the Bank's funds to the Total . . . . .$$3,734.6 399.2 $4,133.8 $700 million a year for the five years from extent of over $1,000 million in the past four 1957/58 to 1961/62, this rise in disbursements Other disbursements* 1,070.4 221.2 1,291.6 years. Other contributing factors have been the had been expected, and further increases are GRAND TOTAL . .$4,805.0 $ 620.4 $5,425.4 high level of net earnings, which are available expected in the years to come. for lending, and the fact that disbursements in the The accompanying table shows the distribu- *These nclude disbursements on loans in which the funds are used for local past three years were lower than was expected. expenditures or for broad development programs where the source of the iterns tion by countries of the orders placed by Bank imoJ,rled with Bank funds is not specified. As the accompanying table shows, three new . sunensry of the currencies repayable Io Ithe Bunk us of,7une 30, lQ63, zi borrowers using Bank loan funds. The normal given in Appendix E. issues of the Bank's Bonds were effected during procedure is for borrowers to place their orders the fiscal year, for a total of $121 nillion. The on the basis of international competition, and first borrowing was in the Netherlands and was the table illustrates the wide distribution which noted in last year's Annual Report as having results. in the high total for the fiscal year was the been announced before the beginning of the The market for maturities of Bank loans con- purchase by Banque de France of $61 million of fiscal year, but with effect after june 30, 1962. tinued to be active; sales during the year totaled the outstanding balance of the 30-year Bank The issue was of f.40,000,000 (approximately $273 million, and the cumulative figure of sales loan of $250 million made to Credit National of $11 million) of 4)4%4 20-year guilder Bonds sold of loans now exceeds $1,600 million. One factor France in 1947 for postwar reconstruction. This at 99%. Nederlandsche Handel-Maatschappij, 14 N.V. (the Netherlands Trading Society) headed Al the underwriting group. DEBT TRANSACTIONS: 1962/63 The next transaction was the sale, entirely out- side the United States, of a $100 million issue of (U.S. $ millions equwvalent) U.S. dollar Bonds. This sale was announced on DEBT RETIRED September 14, 1962, and represented the re- Issue Refunded (U.S. Dollars; see below) 100 funding of the Two-Year Bonds of 1960. Demand Sinking Fund Redemptions (various for these Two-Year Bonds, particularly by cen- crrescies).18 Matured Issue (Swiss Francs) . . . 8 tral banks and government accounts in the Matal Debt (Swisrancs) . . . 8 Total Debt Retired 1 ..26) Bank's member countries, is constant, and the DEBT INCURRED new Bonds were placed with 53 institutional New Borrowings: investors in 25 countries. The issue is known as U.S. Dollars . . . . . . . 10 the Two-Year Bonds of 1962 and bears interest Netherlands Guilders. . . . . 11 of 34%. 21 The only other borrowing of the year was the Refunding: Bank's first in the Austrian market. It took place U.S. Dollars (see above) 100 in November 1962, and amounted to $10 mil- Delivery of Bonds Sold in Previous Years: lion, in United States dollars. It consisted of (1) U.S. Dollars . . . . . . . 3 a placement of $5 million of 4% five-year Notes, Total Debt Incurred . . . 124 due November 15, 1967, with the Oesterreich- NET DECREASE IN DEBT . . . . . 2 ische Nationalbank (Austrian National Bank) and (2) a public offering of $5 million 42% 15-year Bonds. The offering was made through a syndicate of 12 Austrian banks headed by Oesterreichische - Kontrollbank Aktiengesellschaft. It was the first non-schilling issue to be publicly offered in- the Austrian market since 1930, and was sold at Negotiating a difficult bend in the road, heavy 102% to yield about 4.33% to final maturity. equipment is brought up o tto the site of Malaya's Caneron Highlands The following table summarizes these transac- Iydroelectric scheme. tions, and shows redemptions, sinking fund pur- Finanmeed by the Bank, the project was , chases and other repayments of past borrowing. inaugurated this year. .'> . 15 The local costs in each case will be met by the Bank's regular staff. The Service now numbers TECHNICAL ASSISTANCE Government concerned. about 20 persons, most of them with many years' The Bank also acted as Executing Agency for experience in posts of high responsibility. Some a number of pre-investment studies being fi- are acting as advisers in Chile, Colombia, Ghana, nanced by the UN Special Fund. Work con- Guatemala, Honduras, Libya, Nigeria, Pakistan During the year the Bank continued to expand tinued on several studies, some of which were and Thailand; others are working at Bank head- its assistance to member countries in preparing mentioned in last year's Report: of port silta- quarters. The additional flexibility afforded by development projects and programs up to the tion at Georgetown, British Guiana, and Bang- the DAS pool has facilitated the assignment of point where they are ready for financing. Seven kok in Thailand; of power and irrigation projects regular Bank staff members as advisers or resi- new project or sector studies were undertaken, of in Guatemala; of mineral resources in Surinam; dent representatives in Chile, Colombia, Guate- widely varied character. In Ecuador the Bank is of telecommunications needs in Central Ameri- mala, India, Kuwait, Malaya, Panama, Pakistan, meeting the foreign exchange costs of a survey of ca; of coal resources in the Cauca Valley of Peru and Thailand. all types of transport, and of a study to lay the Colombia; and of power requirements in the Two reports of general economic survey mis- basis for a national electrification program. In Sudan. The Bank has also agreed to serve as sions were issued during the year. The report of India, consultants are studying ways to solve the Executing Agency for four additional projects, the mission headed by Sir Hugh Ellis Rees, coal transport problem, both for the short and for the study of the technical and economic formerly Chairman of the Council of OEEC, on the long term. In Iran a team of experts is to feasibility of a railway to transport iron ore from "The Economic Development of Spain" was advise on the establishment and operation of an the Mekambo mines in Gabon, and the develop- published in English by The Johns Hopkins Electricity Authority. In Nigeria a study is being ment of other resources in the area likely to be Press in January 1963; it had been published in made by consultants of highway needs in the traversed by the railway; of the hydroelectric Spanish some six weeks earlier by the Spanish northern part of the country. In the Republic of power resources of South Central Brazil; of port Government, which showed keen interest in the China, consultants are helping the Government and railway facilities in central Costa Rica; and views of the mission and carried out some of its to prepare an investment program for improve- of a road program for Paraguay. recommendations even before the Report was ment of the transport facilities of Taiwan. In The deployment of the members of the De- published. About 25,000 copies were sold in Tunisia consultants will make a study of school velopment Advisory Service continued. The Ser- Spain, anunprecedented number for an economic designs and construction methods, and design vice, established in November 1961, consists of report of this type. The other report was on three prototype schools, to assist the Government experts of broad qualifications and experience Kenya, and was the work of a survey mission in obtaining the best value for its investment in who can be posted to member countries as headed by Gen. Edmond H. Leavey, former this sector. The direct cost to the Bank of these advisers on planning and other major problems Chairman of the Board of the International studies will exceed $2,750,000; the full cost, of of development policy, for periods of two or three Telephone and Telegraph Corporation of the course, rises considerably if overheads in staff years. Requests for such advisory services had U. S. The report was published in Kenya, as time and other services are taken into account. become too heavy to be met entirely from the well as in the United States and the United 16 Kingdom, and was widely read in Kenya and Governments on July 8, the day before the sign- the current situation and future prospects of the neighboring countries. ing in London of the international agreement principal primary products moving in interna- Other books published for the Bank during the forming the Federation of Malaysia. tional trade. Price trends in these commodities year by The Johns Hopkins Press, of Baltimore, Missions headed by senior Bank economists interest the Bank because they affect the capacity and by the Oxford University Press, were mono- were sent at the request of the Governments of its members as borrowers and guarantors; and graphs by Albert Waterston of the Economic concerned to review the development programs they are of vital significance to many of the Development Institute on "Planning in of Chile, Colombia, Mexico, Nigeria, Sudan, Bank's member countries, since fractional price Morocco" and "Planning in Yugoslavia." A Tunisia and the United Arab Republic. A three- changes can affect the trade earnings of these third monograph, concerning planning in man mission made up of a member of the De- countries by several times the amount of the Pakistan, will be published in the fall of 1963. velopment Advisory Service and officials of the financial assistance they may be receiving from These country studies form part of a larger Bank of England and the Netherlands Bank abroad. It was a natural development from these research project designed to result in a book on went to Chile to direct a study of measures to commodity reviews that led the Bank during the the organization and implementation of develop- make the Chilean capital market more effective fiscal year to embark upon a comprehensive nent planning. in mobilizing domestic savings for economic study of the market for extra-long staple cotton. One new survey mission, to investigate the development. During the second half of 1962 the This study, undertaken at the request of the economic development potential of the Territory Bank sent several advisers to the Philippines for International Cotton Advisory Committee, of Papua and New Guinea, began work during short periods to assist the Government in launch- should be completed in the spring of 1964. the year. It was organized at the request of the ing the Five -Year Socio-Economic Program. The Another field of work currently being studied by Australian Government, which is responsible for Bank advisers helped to set up the machinery for Bank economists concerns the special problems the administration of the Territory. The mission program implementation, to select high-priority of African agriculture, which will be of increas- left for Australia and the Territory at the begin- projects and assist in the formulation of the ing importance in future years. ning of June. public investment program for the year 1963/64. Another important mission was organized, at As the year's activities show, Bank economists the request of the Governments concerned, to are each year becoming more deeply engaged in study the economic implications of the associa- assisting individual member countries with the tion of the Federation of Malaya, the State of preparation or refinement of development pro- Singapore and the British Borneo territories in a grams. Another type of work carried out by the new Federation of Malaysia. The mission was Economic Staff is related to problems of wider headed by Governor Jacques Rueff, Inspector interest. Here, studies originally undertaken for General of Finance for the French Government the Bank's own internal purposes have become and one of Europe's leading economists and useful outside the Bank. For example, the Staff jurists. It transmitted its formal report to the makes and on occasion has circulated reviews of 17 Areas Asia Western and Middle Hemi- Purpose Total Africa East Australia Europe sphere Grand Total . . . . . . . . 6,983.2 917.6 2,354.6 417.7 1,554.5 1,738.8 Development Loans: Total . . . . . . . 6,486.5 917.6 2,354.6 417.7 1,057.7 1,738.8 ELECTRIC POWER Bank Loans Generation and Distribution . . . . . . 2,336.0 251.6 516.3 129.3 464.0 974.9 Classified by TRANSPORTATION . . . . . . 2,260.9 442.5 1,022.6 132.3 103.4 560.1 d Railroads . . . . . . . . . . . 1089.8 274.1 600.5 37.3 2.3 175.6 urpose an rea Roads . . . . . . . . . . . . 741.5 87.7 209.0 50.9 35.0 358.9 Shipping . . . . . . . . . . . 12.0 - - - 12.0 -- Ports and Waterways . . . . . . . . 296.7 30.7 193.5 - 46.9 25.6 'JUNE 30, 1963 Airlines and Airports . . . . . . . . 56.9 5.6 44.1 7.2 - Pipelines . . . . . . . . 64.0 50.0 14.0 - - (Millions of U.S. Dollars, COMMUNICATIONS initial commitments net of Telephone, Telegraph, etc. . . . . . 26.9 4.4 0.3 22.2 cancellations and refundings) AGRICULTURE AND FORESTRY . . . . . . 528.8 59.1 178.5 103.4 87.8 100.0 Farm Mechanization . . . . . . . . 121.1 - 89.4 2.0 29.7 Irrigation and Flood Control . . . . . 330.6 35.0 163.9 6.0 73.3 52.4 Land Clearance, etc. . . . . . . . . 49.3 22.1 13.6 6.0 2.1 5.5 Crop Processing and Storage . . . . . . 7.0 1.0 - 4.2 1.8 Livestock Improvement . . . . . . . 12.6 1.0 1.0 - - 10.6 Forestry . . . . . . . . t . . 8.2 - - 2.0 6.2 - INDUSTRY . . . . . . . . . . . . 1,128.9 120.0 562.3 52.7 312.2 81.6 Iron and Steel . . . . . . . . . . 380.3 - 314.2 13.4 22.7 30.0 Paper and Pulp . . . . . . . . 138.7 - 4.2 1.1 113.4 20.0 Fertilizer and Other Chemicals . . . . . 82.0 - 25.0 0.3 56.7 - Other Industries . . . . . . . . . 97.0 -- 5.2 23.7 58.8 9.3 Mining . . . 203.5 101.0 54.5 14.2 11.9 21.8 Water Supply 2.0 - -- 2.0 - Development Banks 225.4 19.0 159.2 - 46.7 0.5 GENERAL DEVELOPMENT . . . . . . . 205.0 40.0 75.0 - 90.0 - Reconstruction Loans: Total . . . . . . 496.7 - - 496.7 18 ANNEx The information in this section describes loans and other Bank activities during the year. Loans to borrowers other than member governments carry the guarantee of the governments concerned. Interest rates shown include the 1% commission which is allocated to the Bank's Special Reserve. The participations of financial institutions in loans of the year were all without the Bank's guarantee. This Annex also records Development Credits made to member countries during the year by the Bank's affiliate, the International Development Association (IDA). Fuller descriptions of those Credits are given in the Annual Report of IDA, which is published simultaneously wtith the Report of the Bank. AF RI CA ETHIOPIA/IDA CREDIT shareholder of BNDE, it has pursued a policy of The International Development Association selling its shares to other investors, and BNDE's extended the following credit to Ethiopia: stockholders now include important financial in- Highway Improvement stitutions in Belgium, France, Germany, Italy February 27, 1963 . . . . $13,500,000 and the United States. The Government is now in a minority position. IFC subscribed the equiva- lent of $1.5 million of new shares, and the GABON Government and IFC have agreed to make equal The Bank has agreed to act as Executing amounts of their shareholdings, to the extent of Agency for a UN Special Fund study of the 12% of all stock outstanding, available for sale feasibility of a railway to transport iron ore from to the Moroccan public. large deposits in the interior of Gabon to the The Bank loan will be used as a line of credit, coast. This study is the subject of a UN Special expected to be used up by the end of 1964, and Fund grant of $2,092,000. will be committed in parts for individual projects to be agreed upon by the Bank and BNDE. KENYA Repayment of each part so committed will be The report of the General Economic Survey over a maximum period of 15 years. Interest will - Mission to Kenya was published in May 1963. be applied to each part of the loan at the Bank's then current rate. MOROCCO/INDUSTRIAL LOAN $15 million loan of December 21, 1962 NIGERIA/PORT LOAN BORROWER * Banque Nationale pour le $13.5 million 20-year 5 2% loan of December 10, 1962 Developpement Economique (BNDE) BORROWER * The Nigerian Ports Authority This loan, to promote the growth of private This loan will help to extend and improve the industry, was made as part of a joint operation port of Lagos, through which passes about four with the IFC, comprising the first Bank loan and million tons of cargo a year, about half of the first IFC investment in Morocco. BNDE was Nigeria's foreign trade. established in 1959, and by June 1962 had made The Nigerian Ports Authority, a public cor- 23 direct loans aggregating the equivalent of $13 poration established in 1955, has made vigorous million for a variety of enterprises in Morocco. and successful efforts to modernize port opera- Although the Government was initially the main tions through the construction of new facilities 19 and the use of modern cargo-handling pro- requirements of the Sudan and the preparation TUNISIA/IDA CREDIT cedures. Traffic has increased beyond the capac- of a long-term program for power development. The International Development Association ity of the ports, however, particularly at Lagos, extended the following credit to Tunisia: which serves the Federal Territory and most of School Construction the external trade of the Northern and Western swAZILAND/POWER LOANSeptember 17, 1962 . . . $ 5,000,000 regions. $4.2 million 20-year 52% loan of May 16, 1963 The port of Lagos consists of Customs Quay, BORROWER * Swaziland OTHER ACTIVITIES * The Bank is contributing used principally for cargo consigned to the island Swaziland, a British dependency in southern to the financing of a study of standards and pro- of Lagos, and Apapa Quay on the mainland. Africa, has an area of some 6,700 square miles cedures for design and construction of secondary Although berthing space at Apapa has doubled and a population of 270,000. Traditionally, farm- schools in Tunisia, with the aim of improving the in the past seven years, the number of ships ing and stock raising have been the main activity, long-term school-building program and lower- berthed there has increased nearly fourfold, with but mining is growing in importance and new ing costs. consequent delays to shipping. The Bank funds commercial and industrial undertakings are will be used for the most urgent needs of the being set up. These include two large under- Apapa project, which should be completed by takings, one for the development of Swaziland's 1966. rich iron ore resources and the other a recently PARTICIPATIONS * Bank of America, San Fran- established wood pulp industry, both requiring cisco; Bankers Trust Company, New York; and large additional supplies of electric power. To The Chase Manhattan Bank, New York, par- meet these and other needs, the Bank loan will ticipated in the loan for a total of $660,000. assist the construction of the 10,000-kilowatt OTHER ACTIVITIES -The Bank is hearing half Edwaleni hydroelectric plant and a 1,000-kilo- the costs of a study looking toward the improve- watt thermal plant, together with associated mnent and expansion of the road network in transmission and distribution facilities. These will .o r Nbe the first power installations to be built by the northern Nigeria. Inadequate transport is any obstacle to the economic development of the Swaziland Electricity Board, which was estab- Northern region, and especially to the realiza- lished last year to develop an electric power sys- tion of its potential in agriculture and fisheries. tem. The loan is guaranteed by the United Kingdom. The Apapa Wharves, as seen across PARTICIPATIONS * The Standard Bank Limited, the roadstead of the Port of Lagos, SUDAN New York, and Barclays Bank D.C.O., New handle a large part of Nigeria's imports and exports. A Bank loan of The Bank is acting as Executing Agency for a York, participated in the loan for a total of $13 million is financing extension UN Special Fund survey of the electric power $385,000. of the Wharves. 20 � � �,� У��� �j_,�д��_ -___-_--`- - � . . °��_.._ . i �� �� �" - _- � •�� � 1� - . ' � ±а - -- ~� � Я - _ I _ _ _ г. �'в:'�-�,` _ � -!г � А _ `� _� � i{� у � _ !q��. �ТТ/r ■ беа�'�'�`, - _ ,�Т ` -sF• f#� -- - F. �L �- � Ф , � -''� __ _ :� �, : , f - �' �-а ��" .- _ _ � � � � - �` ! 'sv Э_� . 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' � , ��. s � , ,,: - � V 1•�г `� •д '" R, ' � я � .�', ' , ф s в i�г � 1 . �• � r� ` . � ��.! �г '•��lв �` Т т . ,•r' � . } # I � -� � е��°` ��}. � � ' � � ```'�� �. ' �� Е � ♦ +_ ^ �1���_ %' ' � k Е' _L;!М(.R+. _ � г _ � � If � L _. �� _ F . - • , ���� � : . _ _ � � • . . '�_� ;' $ г. i т � "��f' r ��' 1 е Н ��� - i, а�. �'.� � . � ' �� ` � . `_ • i ASIA AND CHINA loan, together with the balances still available The Bank has agreed to finance the foreign from previous loans, should meet foreign ex- THE M IDDLE EAST exchange costs of a study to assist the Govern- change requirements until the early part of 1965. ment to formulate an investment program for ICICI is also making arrangements to obtain an developing transport facilities in Taiwan. additional Rs. 100 million of rupee funds. Interest charged on each part of the new loan INE)IA/INDUSTRIAL DEVELOPMENTBANK will be at the Bank's current rate when that part is committed for one of ICICI's projects. At that $30 million 15-year loan ofjune 5, 1963 time, the Bank and ICICI will agree on an BORROWER - The Industrial Credit and amortization schedule for repayment of that part Investment Corporation of India Limited of the loan. These amortization schedules will (ICI(',I) provide for semiannual repayments and for final Bank lending to ICTCI has now provided $90 repayment of the entire $30 million loan not million in foreign exchange for industrial de- later than December 1, 1978. velopment projects in India. Since ICICI was organized in 1955, with the advice and assistance IDA CREDITS of the Bank, it has approved financial assistance for 200 industrial projects involving 183 firms for The International Development Association a total amount equivalent to $127 million. Nearly extended the following credits to India: half of this total was made up of loans in foreign Purna River Valley Irrigation exchange. Among the industries assisted by July 18, 1962 . . . . . $ 13,000,000 ICICI have been iron and steel, chemical, elec- Koyna Power Project trical, mechanical, paper and pulp, shipping, August 8, 1962 . . . . $ 17,500,000 food processing, textile, metal products, glass, Telecommunications cement and other building materials, In all, it is September 14, 1962 . . . $ 42,000,000 estimated that the operations of ICICI have re- Port of Bombay sulted in mobilizing a total capital investment in September 14, 1962 . . . $ 18,000,000 India, domestic and foreign, equivalent to some Indian Railways $650 million, or five times that of its own invest- March 22, 1963 . . . . $ 67,500,000 inents, and in an increase of some 60,000 jobs. Kothagudem Power Project 1CICI's operations are expected to continue May 24, 1963 . . . . . $ 20,000,000 at the high level of the past few years. The Bank $178,000,000 22 OTHER ACTIVITIES * The Bank is financing the ment of equipment for maintenance, accounting provided in this way to promote the growth of foreign exchange cost of a study aimed at im- machines, installations and equipment for road private industry in Pakistan. PICIC was estab- proving the transport of coal in India. The con- traffic patrols and for the collection of traffic lished in 1957 with the advice of the Bank and its sultants being employed will first make an interim information, Provision is made to employ con- shares are held by private investors of Pakistan, report suggesting ways to provide quick relief for sultants for the design and supervision of the Canada, Germany, Japan, the United Kingdom the present shortage of coal transport. There- road program and for the preliminary design of and the United States. In addition IFC has this after, the consultants will recommend long-term additional roads. Consultants will also undertake year become an investor in PICIC by participat- measures to put coal transport on a sound foot- an urgently needed study of inland surface trans- ing to the extent of Rs, 2 million in a Rs. 10 ing. Their report is to be available in 1964. portation to insure that the development of roads million increase of share capital. PICIC is now and railways takes place in the most economic the main institution in Pakistan providing medi- IRAN manner. The Bank loan will cover the foreign um and long-term finance for industry. By the The Bank has agreed to help to pay the foreign exchange requirements of the program. end of 1962 it had approved 318 loans amounting to the equivalent of Pakistan Rs. 401 millhon exchange costs of engaging a team of experts totohequvlnofPksaR.40miin .e.c.han e scst of e tam of exet KOREA/IDA CREDIT ($84.2 million) to the textile, jute, food processing advise and assist in the establishment and initial operation of an Electricity Authority in Iran. The International Development Association and engineering industries, and to plants pro- This Authority will be responsible for the regula- extended the following credit to Korea: ducing chemicals, pharmaceuticals, cement, tion and the future planning and development Railway Improvement ceramics, glass and paper products. PICIC also of the power industry in Iran. August 17, 1962 . . . . $14,000,000 holds about Rs. 14 million worth of shares in industrial companies, has underwritten new share MALAYA, SINGAPORE AND offerings aggregating Rs. 15 million, and has ISRAEL/HIGHWAY LOAN THE BRITISH BORNEO TERRITORIES helped to find $10 million equivalent of foreign $22 million 17-year 52% loan of October 17, 1962 At the request of the Governments concerned, investment for Pakistan enterprises. Most of BORROWER * Israel the Bank sent a mission of experts to the above PICIC's loans have been made in foreign ex- The highway development program of Israel, areas to study the economic implications of their change, and this new loan, together with other which is being assisted by this loan, calls for the association in a new Federation of Malaysia. foreign exchange credits yet to be drawn down, building or reconstruction to higher standards of should meet PICIC's requirements for at least about 500 miles of interurban highways by 1966. PAKISTAN/INDUSTRIAL LOAN another year. About 155 miles of subsidiary roads which link $20 million loan of February 13, 1963 Each part of the Bank loan committed by agricultural and other settlements to the main BORROWER * Pakistan Industrial Credit and PICIC for a particular project will be repaid highway network will also be improved. Investment Corporation Limited (PICIC) according to a schedule determined at the time, The program is estimated to cost a total of $46 This was the Bank's fourth loan to PICIC; in with interest applied at the Bank's rate then million equivalent, and also includes the procure- all, $49.2 million in foreign exchange has been prevailing. 23 ! 슨1 PAPUA AND NEW GUINEA cisco; and The Chase Manhattan Bank, New population requires a substantial increase in in- At the request of the Australian Government, York, participated in the loan for a total of vestment to diversify production and increase the Bank organized a general economic survey $390,000. productivity. PDCP was established to fill the mission to make a survey of the economic de- serious gap between demand and supply of long- velopment potential of the Territory of Papua INDUSTRIAL LOAN term capital for industry, and is expected to play and New Guinea. The mission left for Australia a key role in the country's development. and the Territory in June 1963. $15 million loan of February 15, 1963 The Bank loan has a maximum term of 15 BORROWER - Private Development Corporation years. Each part committed for a particular pro.]- PHILIPPINES/POWER LOAN of the Philippines (PDCP) ect to be financed by PDCP will be repaid PDCP was established early in 1963, with the according to a schedule to be determined at the $3.7 million I 8-year 5 Y2 Ivo loan of November 7, 1962 advice and assistance of the Bank and its affiliate, time of the commitment. Interest will be applied BORROWER - The National Power Corporation the International Finance Corporation (IFC), to to each part of the loan at the Bank's then of the Philippines assist the expansion of private industry in the current rate. The National Power Corporation is an autono- Philippines. PDCP is privately owned and man- mous public corporation which sells power to aged, and will make long and medium-term SINGAPORE/POWER LOAN industry and to private power distributors loans to industrial and other enterprises; invest throughout the Philippines. This loan will assist in the shares of private enterprises; underwrite $15 million 20-year 5y20 loan of May 16, 1963 the installation of a second 50,000-kilowatt unit new issues of securities; guarantee loans frorn BORROWER - State of Singapore and other works at the Corporation's Maria other investment sources; and provide man- Singapore remains the main trading center of Cristina Falls power plant, which serves the agerial and technical advice and assistance. Its Southeast Asia, but the future improvement or northern region of Mindanao. The plant has a initial resources total the equivalent of 111 mil- even maintenance of the high per capita income large industrial market; five enterprises use nearly lion pesos (US $ 28 million), made up of share of its population depends on diversifying the 80% of its present 50,000-kilowatt capacity. By capital of 25 million pesos, a loan of 27.5 million economy and expanding local industries. The 1966 considerable industrial expansion is ex- pesos from the U.S. Agency for International Government has initiated a program to promote pected, including a copper-zinc reduction and Development and a $15 million loan froin the the growth of industry on the island, which al- fabricating plant. An integrated steel mill is also World Bank. Of the initial share capital, 70% is ready possesses an oil refinery, a cer-nent plant, a expected to come into operation and will require owned by Filipino investors and the IFC, and steel rolling mill and ship-breaking yard for the still more power capacity in the area. The total the balance is held by foreign investors. IFC recovery of scrap. Industrial estates have been estimated cost of the present expansion is equiva- gave a standby commitment for part of the established and have attracted a large variety of lent to $7.1 million, of which the Bank loan will shares offered to Filipino investors. small manufacturers. -over foreign exchange requirements. To maintain adequate economic growth in the The present 175,000 kilowatts installed ca- PARTICIPATIONS - Bank of America, San Fran- Philippines in the face of a rapidly expanding pacity of Singapore's public electric utilities is 25 already inadequate to meet growing power project includes the construction of 12,000 miles POWER LOAN demand, which is expected to increase at an of ditches and dykes to bring a controlled supply $6.6 million 20-year 52% loan of March 7, 1963 average annual rate of more than 10% for the of water to the farms; the dredging of existing BORROWER * Yanhee Electricity Authority next five years. This first Bank loan to Singapore navigation canals; the construction of about 165 The loan will assist in financing a second high will assist in financing the construction of a new miles of feeder roads; and extension services. voltage circuit between the Yanhee hydroelectric 120,000-kilowatt thermoelectric power station. The Petchburi project provides for the irriga- plant in northwest Thailand and the capital city Power from the plant will be fed into a transmis- tion, drainage and flood control of 131,000 acres. of Bangkok, 280 miles to the south. In addition, sion and distribution network which covers most The key feature in the project is a storage reser- 446 miles of transmission lines will be installed to of Singapore Island. voir to improve the availability of water through- serve 12 towns in the central part of the country. out the year. A dam will be built at Kang The new facilities will further extend the power THAILAND/IRRIGATION LOANS Krachan on the Petchburi River to create a network being built as part of the Yanhee proj- $5.6 million 15-year 52% loan of December 21, reservoir with an effective storage capacity of ect, the largest hydroelectric plant in Southeast 1962, for irrigation in the Chao Phya area in 595 mdlion cubic meters. Other works include Asia. Construction of the first stage, which in- central Thailand an enlargement of the existing canal system; the cludes a 140,000-kilowatt power plant and trans- construction of ditches to deliver water to the nission lines to Bangkok and ten towns en route, $3.4 million 20-year 5 % loan of December 21, farms; and about 80 miles of farm-to-market was begun in 1958 with (lie assistance of a $66 1962, for irrigation in the Petchburi area in roads. Extension services will also be provided. million Bank loan. When Yanhee comes into PARTICIPATIONS * First loan-Bank of America, operation in 1964 and the transmission facilities BORROWER - Thailand San Francisco; Grace National Bank of New have been installed, the power system operated Most of Thailand's working population is York; First National City Bank, New York; by the Yanhee Electricity Authority will have engaged in agriculture, fisheries or forestry, agri- Girard Trust Corn Exchange Bank, Philadelphia; total generating capacity of 320,000 kilowatts, cultural output accounting for over 90% of the Crocker-Anglo National Bank, San Francisco; which can be expanded as required, up to a total country's exports. Rice, the staple food of the The Bank of Tokyo, Ltd., New York Agency; of 640,000 kilowatts, by the installation of more population and the chief source of foreign ex- The Bank of Tokyo Trust Company, New York; generators at Yanhec. change earnings, is grown on three-fifths of the and The Mitsui Bank, Limited, New York total cultivated area. Greater production largely Agency, participated in the loan for a total of PARTICIPATIONS * Bank of America, San Fran- depends on the improvement and extension of $645,000. cisco; Irving Trust Company, New York; Girard the irrigation systems. Second loan-Girard Trust Corn Exchange Trust Corn Exchange Bank, Philadelphia; Fideli- The Chao Phya project is the second financed Bank, Philadelphia; First National City Bank, ty-Philadciphia Trust Company; The Bank of by the Bank in the Central Plain.The first proj- New York; and The Mitsui Bank, Limited, New Tokyo Trust Company, New York; The Mitsui ect, assisted by a loan of $18 million in 1950, York Agency, participated in the loan for a total Bank, Limited, New York Agency; Crocker- provided the barrage and main canals. The new of $110,000. Anglo National Bank, San Francisco; First 26 National City Bank, New York; and Grace included in the project is the purchase of main- National Bank of New York participated in the tenance and other equipment, and a training loan for a total of $740,000. program abroad for Thai highway personnel. PARTICIPATIONS * The Chase Manhattan Bank, New York; Bank of America, San Francisco; HIGHWAY LOAN First National City Bank, New York; Irving $35 million 20-year 52% loan of June 11, 1963 Trust Company, New York; The Bank of Tokyo BORROWER * Thailand Trust Company, New York; and The Mitsui Thailand's impressive economic gains of the Bank, Limited, New York Agency, participated past decade, characterized by a more varied in the loan for a total of dollars $895,000. agricultural pattern and increased manufactur- ing, have put an additional burden on the country's railways, roads, inland waterways and coastal shipping. There is particular need for better roads, and the Government is now em- barking on its first comprehensive highway de- velopment program, which provides for the improvement of about 2,500 miles of existing highways and the construction of 950 miles of new roads. This loan will assist in financing the improve- ment or new ctonalucion of sections of three high priority national highways of a total length of 394 miles, and feasibility studies of five addi- tional sections, totaling about 650 miles, in various parts of Thailand. The project is being r carried out by the Department of Highways, and will include the services of consulting en- One of the many new diesel gineers to assist the Department in the design locomotives now hauling freight and and construction work, prepare the feasibility passengers on the railways of Pakistan. The Bank has lent over $93 million , - -_ studies, and advise on the reorganization of to modernize the railways of both operational and maintenance procedures. Also East and West Pakistan. 27 EUROPE CYPRUS/POWER LOAN FINLAND/POWER LOAN $21 million 20-year 512% loan of April 17, 1963 $25 million 20-year 54% loan of August 15, 1962 BORROWER * Electricity Authority of Cyprus BORROWER * Mortgage Bank of Finland Oy This first Bank loan in Cyprus will help to The woodworking industries of Finland, finance the construction of a new 60,000-kilo- whose sales abroad account for nearly 80% of watt thermal power station at Moni on the the country's total exports, require ample supplies southern coast, 95 miles of new transmission of electric power and consume about half of the lines and over 1,100 miles of distribution lines. total generated. Cyprus is a semi-arid island of 3,570 square This was the fifth Bank loan for power in miles with a population of about 565,000. Finland and is to assist the expansion of thermo- Although great progress has been made in the electric capacity. Part of the funds will be re-lent past ten years in bringing power supplies to the by the Mortgage Bank of Finland Oy to Imatran population, only half of the 600 towns and villages Voiina Oy, the largest electric utility company are served by the present network. This project in Finland, to help to add a second 133,000- being undertaken with Bank assistance will kilowatt generating unit at the Naantali plant enable the Electricity Authority to meet the near Turku, to construct 142 miles of new trans- pent-up demand for power and bring service to mission lines and to expand substation capacity. 200 additional towns and villages, which have The loan will also assist the Power Administra- never before had electricity. In this way, the tion of the City of Helsinki to add a 90,000- Government hopes to encourage the rural popu- kilowatt unit to its Hanasaari 75,000-kilowatt lation to remain on the farms and thereby to power plant and to expand its distribution sys- stimulate the expansion of agriculture, the main- tem. The third undertaking to receive Bank stay of the Cypriot economy. funds will be an 80,000-kilowatt plant to be built PARTICIPATIONS * The Chartered Bank, New in the town of Kotka by Kotkan Hoyryvoima Oy, York; The Chase Manhattan Bank, New York; a new company set up by large industrial power Irving Trust Company, New York; Manufac- consumers and the Kotka municipality. turers Hanover Trust Company, New York; PARTICIPATIONS * Bank of America, San Fran- Fidelity-Philadelphia Trust Company; The First cisco; Girard Trust Corn Exchange Bank, Pennsylvania Banking and Trust Company, Philadelphia; Irving Trust Company, New York; Philadelphia; and Barclays Bank, D.C.O., The Chase Manhattan Bank, New York; Con- New York, participated in the loan for a total tinental Illinois National Bank and Trust Com- of $1,185,000. pany of Chicago; The First National Bank of 28 Chicago; Banca Nazionale del Lavoro, Rome; wide electric power network by the installation Central Highway, the main stem of the Yugoslav Maryland National Bank, Baltimore; The First of 362 miles of transmission lines and associated highway network, extending 720 miles front the Pennsylvania Banking and Trust Company, substations. The Yugoslav Investment Bank, a Austrian to the Greek border and serving the Philadelphia; Chemical Bank New York Trust Federal Government institution which channels main centers of population, agriculture and in- Company; and Grace National Bank of New investment funds for development, will re-lend dustry. The second is the Adriatic Highway York participated in the loan for a total equiva- the proceeds of the Bank loan to the enterprises which runs 465 miles along Yugoslavia's Dalma- lent to $2,304,796. responsible for building and operating the power tian coast. plant and the transmission system. Road traffic in Yugoslavia has been growing SPAIN The new hydroelectric installation is the Bajina rapidly since 1955, and the Government, as part Basta project on the Drina River, and is part of a of its increased investment in roads, has given The report of the General Economic Survey program to install 1,751,000 kilowatts of new high priority to the two principal highways as a Mission to Spain was published in January 1963. generating capacity, increasing Yugoslavia's means of opening the country to western Euro- total capacity to 4,161,000 kilowatts by 1965. pean road traffic, reducing transport and road TURKEY/IDA CREDITS The program also includes the construction of maintenance costs, and stimulating tourism, an about 1,100 miles of transmission lines, together important source of foreign exchange earnings. The International Development Association with associated transformer and switching sta- The Bank loan will assist in completing two im- extended the following credits to Turkey: tions. In addition, the capacity of interconnec- portant sections of the Central Highway: one of Industrial Development Bank tion with Austrian and Italian networks is being 13 miles, from Ljubelj to Naklo in the Alps, will November 23, 1962. . . . $ 5,000,000 expanded, and equipment installed to permit the connect the Austrian and Yugoslav road systems Cukurova Power Project Yugoslav system to operate in parallel with the by a tunnel at the border, and the other will February 1, 1963 . . . . 1,700,000 integrated power system of Western Europe. extend 95 miles from Belgrade to Paracin. Seyhan Irrigation Project The power station should be completed in four On the Adriatic Highway, the Bank loan will May 31, 1963 .20,000,000 years. Construction of the transmission lines assist in financing new sections totaling 262 $26,700,000 should be finished in 1965. miles. In addition to encouraging tourism, the new Highway will stimulate economic develop- YUGOSLAVIA/POWER LOAN HM,HWAY LOAN ment by providing rapid road transport to ports and consuming centers for the new crops of fruit $30 million 25-year 534% loan of July 11, 1962 $35 million 20-year 5,2% loan of June 21, 1963 and vegetables which are to result frotn irriga- BORROWER * Yugoslav Investment Bank BORROWER * Yugoslav Investment Bank tion in the coastal zone. This loan will help to finance construction of This loan will assist completion of the con- a 240,000-kilowatt hydroelectric plant in central struction to modern standards of the two most PARTICIPATION * Irving Trust Company, New Yugoslavia, and the extension of the country- important highways in Yugoslavia. One is the York, is participating in the loan for $200,000. 29 W ESTERN BRAZIL advising the Chilean authorities on the execution The Bank is acting as Executing Agency for a of the highway construction and maintenance HEMISPHERE UN Special Fund survey of the hydroelectric projects which are being assisted by a Bank loan resources and power market of the southcentral and IDA credit totaling $25 million, which were region of Brazil. This study will also develop a made available to Chile in 1961. 15-year construction program for power genera- tion and transmission in the region, and sup- plants a similar survey limited to one part of the COLOMBIA/POWER LOAN area, the State of Minas Gerais, which was noted $8.8 million 20-year 5'2% loan of June 3, 1963 in last year's Report. BORROWER * Corporacion Autonoma Regional del Cauca (Cauca Valley Corporation) and Central Hidroelectrica del Rio Anchicaya CENTRAL AMERICA AND PANAMA Limnitada (CHIDRAL) The Bank is acting as Executing Agency for a UN Special Fund study of the possibilities of (a) This was the fifth loan to be made by the Bank the establishment of a telecommunications net- for electric power in the fast developing Cauca work for the whole region and (b) the moderniza- Valley of Colombia, bringing the total lent there tion and expansion of telecommunications sys- to over $44 million. Power demand in the area is tems in Costa Rica, El Salvador, Guatemala, growing as rapidly as anywhere in the world and Honduras, Nicaragua and Panama. requires a doubling of generating capacity every five years. The new loan will finance the installa- tion of two additional generators at the new CHILE Calima hydroelectric plant in the mountains A mission consisting of a member of the west of the Valley, thereby adding 60,000 kilo- Development Advisory Service and officials of watts of new capacity. The loan funds will also the Bank of England and the Nederlandsche be used to extend the transmission system to Bank (Bank of the Netherlands) went to Chile in Buenaventura, Colombia's main port on the August 1962 to direct a study of measures to Pacific Ocean; to expand the distribution system make the Chilean capital market a more effi- in Cali, the principal city of the Valley; and to cient instrument in mobilizing domestic savings purchase new machinery for the coal mines in for economic development, the Valley which supply the thermoelectric gen- A technical representative of the Bank took up erating plant near Cali. All these improvements his duties in Chile in February 1963. He is will assist the Cauca Valley Corporation in its 30 In the level cotton fields of the Yaqui irrigation district of Mexico, a field worker siphons water to feed the growing crop. A Bank loan of $15 million is helping to rehabilitate and improve this and three other irrigation districts in northwest Mexico. task of promoting the development of the entire region by providing more power for new indus- tries and for irrigation and drainage to assist agriculture. PARTICIPATIONS * The Bank of California Na- tional Association, San Francisco; Wells Fargo Bank, San Francisco; The Royal Bank of Canada, New York Agency; and The First Pennsylvania Banking and Trust Company, Philadelphia, participated in the loan for a total of $400,000. RAILWAY LOAN $30 million 20-year 5'2% loan of June 21, 1963 BORROWER * Colombian National Railways (CNR) This loan marked a further step in Bank assist- ance to the railway system of Colombia. The first was taken in 1952 when a Bank loan of $25 million enabled work to begin on the new Atlantic Railroad from central Colombia to the Caribbean. At that time, all freight and passen- gers traveling the 500 miles between the Atlantic and central Colombia had to make a journey lasting a number of days by boat and barge on the Magdalena River. The new Atlantic Railroad was opened for traffic in 1961 after nine years of very difficult construction operations, the cost of which was assisted by a second Bank loan of $15.9 million. The new Railroad has reduced the journey from 31 the principal cities of Colombia to the Caribbean Francisco; Southern Arizona Bank and Trust The Company has retained the services of to less than 24 hours; it interconnects at various Company, Tucson; Crocker-Anglo National consulting engineers to supervise the procure- points along its length with the older regional Bank, San Francisco; The Royal Bank of moent and installation of most of the new facili- railroads, thus providing the main stem of an Canada, New York Agency; The First Wiscon- ties, which include a blooming and slabbing mill, integrated national railroad system; it has also sin National Bank of Milwaukee; and The a 48-inch steckel mill, a sinter plant, ingot soak- led to the settlement and cultivation of large Philadelphia National Bank participated in the ing pits, an oxygen plant with auxiliary facilities, new areas of previously inaccessible land. In loan for a total of $790,000. and heavy mobile and other equipment for mill 1960 the Bank made a third loan, of $5.4 million, operations. to provide an essential minimum of new equip- PARTICIPATIONS * Bank of America, San Fran- ment for the Atlantic Railroad. INDUSTRIAL LOAN cisco; Bank of Montreal, New York Agency; The new loan will enable CNR to meet its two $30 million 15-year 5'i% loan of June 28, 1963 Grace National Bank of New York; and J. most pressing needs. The first is to buy 37 diesel BORROWER * Acerias Paz del Rio, S.A. Henry Schroder Banking Corporation, New locomotives and 1,150 new freight cars, with The Paz del Rio steel mill, the only integrated York, participated in the loan for a total of other components and spare parts, to meet the steel plant in Colombia, started operations in $325,000. immediate demand for its services. The second is 1955 and in 1962 produced 126,000 tons of fin- to begin the rehabilitation of the regional rail- ished items, including heavy structurals, rails, OTHER ACIVITIES * The Bank is acting as roads, now part of the CNR system. Bank loan merchant products and wire. This loan, by help- Executing Agency for a UN Special Fund study funds will make possible the renewal of about ing to finance several new facilities, will enable of the possibilities of increased exploitation of 130 miles of track in the next two years. Provi- the Company to raise output to 220,000 tons by the coal deposits of the Cauca Valley. The sion is also being made for the training abroad of 1968, to vary its production, to itnprove quality study, which is being carried out by consultants, selected railroad personnel and the services of and to reduce unit costs. From the point of view should be completed by the end of 1963. consultants to assist CNR in setting up diesel of Colombia, these additions when fully effec- A resident Bank mission has been established workshops. These improvements are scheduled tive will make possible import savings of about in Colombia to advise the Government on the for the first two years of a ten-year railway im- $10 million a year by meeting from local produc- development program and to help in the coor- provement program drawn up with the help of tion about 55% of Colombia's steel needs. dination of external financial assistance. The experts sent to Colombia by the Bank. Acerias Paz del Rio, organized in 1947 as a mission is headed by a member of the Develop- PARTICIPATIONS * The First Pennsylvania Bank- quasi-governmental concern is now a private ment Advisory Service. Another member of the ing and Trust Company, Philadelphia; Grace corporation with 80% of its capital owned by same Service has been posted to Cali to act as an National Bank of New York; First National City private shareholders. Arrangements have been industrial consultant to the Autonomous Re- Bank, New York; The Fidelity-Philadclphia made whereby the balance of shares, now held gional Corporation of Cauca, which is respon- Trust Company; First Western Bank and Trust by the Central Bank, will be transferred to the sible for promotion of the development of the Company, Los Angeles; Bank of America, San private sector over the next few years. Upper Cauca Valley. 32 COSTA RICA coast to the Sierra; review the operations and power capacity will enable CEL to keep pace The Bank is acting as Executing Agency for a financial status of the railways; and will make with demand, which is rising rapidly in El Sal- UN Special Fund study of port and railway recommendations concerning its future opera- vador as a result of industrial developments facilities in the central part of the country. tions. They will also review the desirability of a which have been spurred in recent years by bridge over the Guayas River near Guayaquil, Central American economic integration. and will appraise the existing studies of this PARTICIPATIONS - Grace National Bank of New ECUADOR project. York; First National City Bank, New York; The The Bank has agreed to finance the foreign Marine Midland Trust Company of New York; exchange costs of engaging consultants to assist Bank of America, San Francisco; Maryland the Institute of Electrification in laying the basis National Bank, Baltimore; and Wells Fargo for the preparation of a national electrification $6 million 20-year 51%% loan of June 19, 1963 Bank, San Francisco, participated in the loan plan for Ecuador. Working with the Institute's BORROWER * Comision Ejecutiva Hidroelectrica for a total of $395,000. staff, the consultants will review the Charter of del Rio Lempa (CEL) the Institute and recommend any revisions Bank lending to El Salvador began in 1949 IDA CREDIT needed for its effective operation; will prepare a with a loan of $12.5 million to help to finance The International Development Association program for gathering the data needed for a sur- the "5th of November" power plant at Guayabo extended the following credit to El Salvador: vey of hydroelectric resources; will establish pri- on the Lempa River. This 30,000-kilowatt hydro- Highway Improvement orities for feasibility studies for power projects electric plant, the first of its kind in the country, November 2, 1962 . . . $8,000,000 and the extension of transmission lines; and will trebled the public supply of electricity in El assist the Institute in selecting and training new Salvador and laid the foundation for a good deal personnel, both local and foreign. of industrial development which has since taken HAITI/IDA CREDIT The Bank is also financing the foreign ex- place. The capacity of the plant has since been The International Development Association change costs of a study which will help the increased to 60,000 kilowatts by the addition of extended the following credit to Haiti: Government of Ecuador to formulate a long- two generating units, one of them financed by Highway Maintenance range program of investment for the improve- the Bank. This new loan will add yet another November 2, 1962 . . . . $350,000 ment of transportation throughout the country. generator, of 18,000 kilowatts, which will utilize The consultants will recommend an 11-year pro- to the full the potential of the plant at Guayabo. gram of investment in trunk and feeder roads, The loan will also be used for the construction of ports, inland waterways, coastal shipping and a 25,000-kilowatt thermoelectric plant at the $12.5 million 20-year 52% loan of April 29, 1963 air transportation; prepare a preliminary feasi- port city of Acajutla on the Pacific, and a trans- BORROWER * Nacional Financiera, S.A. bility report on the Government's proposal to mission line to connect it with the main trans- Recent years have witnessed a large expansion construct additional pipeline facilities from the mission network of CEL. These two additions to of Mexican agricultural production, which now 33 '} • , • ь � � ` �._•� , � , , � i � � . - i у t� �, �. , �� -. , 14` �� :�' � � , ' •'� � �� i` �t; _' -'s � *. 1 � � ,� а � + * _ �i • �тt . � . ` : - - . • -' � ' . ., �• ; • � . � � ,""� , - • � . • � ; �' �'� • г :� ` ._ д � � � j � г . I � �ь\ . • ! +�• , ,` � � � } ` , � "ь1 ь �г. �е . , . . � '• . ' _ , . , . . • � • • � а.®_ , f . � - - � � � \ ` ' ` � � � � - �� * ` � • ' . i ь � h i F >, � / 4, . 'г'1 , j �9 � �' � 7 1 • • � � ♦ 3 s �' ^ • � ' . . Е . С ь• . ь ' '} 9ь 1 ь� , �� • ь � ` ` ' � ; • +� � ' � . l' � ' � L � i � . . •�` } � ц , , � i ' � � ь ' i � � � � � F а , е � � � ! 1 \ � • ь, � J 'а ^+ ��•. ' . �. . Р , . • ы 1 •г . . + ь J � . 5 1 � • 1 R :- , - � - �. ,_ � � -�- •,� '�''���..' � • . • . �` ! �: 1д t � iь • � � ' ь� �, � J � � еА � ti - ' - Г � в �'� �•� - 7 � . - !, t }-�� . #„ , :-« . � ,'�+i. . :;�,-, " , .ъ , ь � _ . . . � . � . ���� � . е :F �У� � а ���е&�1 r� � ' ь � ' �. Э �,уΡ� 1 • Т -� "�"� � 1~ � . �ь• � _` ь -Г е � . . -• � � �в й� ,, L9 � �Я ` , .i`.t','1. . •, � -' � ,•� ' � � • . г ��г` ` � ь � --__ .. - • ' . � Р 1 '� ч i , � . � � � { , t�� � .� � . . ' � , ' ь� F` ь t �с � � • • •� ' ,.. •• ' � � , �; v,,,� , �• '� �'i_ . у %�' ,s� � �- -_ .r � ы . .�. • t • _ • • х ,�� С� r' � _ ь ..�� � � � ' -- - • ,�`� + ~� * �е ' _ ` м 1 в � t � :_.� ' 1 �' + $ � �i ! '� : 0. � р г 1у- �' .�Р = � . ' л ' _ � --- .а -ы � � �� 1, • 'ь�ь -- К � 1 � � .`� ! ,j . д •�,�` --- - - _ -з _ч� �л` л 1.,(_��= �ь�' }�i :... ,.г у-�� - :aS"� , r1' - - - : �;, � . ,,� - . - -� _ _���`-,� , � � `+� -- �- ,� 1 � ' � ь = � а . -- е: ' 's �г �; ) � �[�_. _ у�• - .,� '� � � ` +� �- -�.�#: ` - &�-` �'_ - ГF , _ � ` �_ Е� _ , -` _ . �` - - �- J� н ,�� , в �- _ ,'�. _ - - - � - -- � - � •� -- _ ' _:� _ ь 1 • r��`� „и- , � ' � � й,,{' ,.. � - � �: �'� - _ � ��'. - � �у у У - : _ ;�� � �'� � д� �г��� чг - � �в. - _ , :\.' /i•- airiounts to about one-fifth of the gross national NICARAGUA/IRRIGATION LOAN IDA CREDIT product and accounts for half its exports. Much $2.6 million 23-year 5Y2% loan of March 1, 1963 The International Development Association of the increase has been made possible by an BORROWER - Nicaragua extended the following credit to Nicaragua: expansion of irrigation farming; more than a This loan will assist Nicaragua's first large- Managua Water Supplies quarter of the total cultivated land of 42 million scale irrigation project. Known as the Rivas September 7, 1962 . . . . $3,000,000 acres is now under irrigation. The Government Irrigation Scheme, the project will bring water is engaged in a program to complete and reha- to 22,000 acres of land in the western region, PANAMA/POWER LOAN bilitate several large irrigation districts where between Lake Nicaragua and the Inter-Ameri- inadequate drainage has led to rising water can Highway. It is believed that eventually $4 million 25-year 5,11210o loan of September 14,1962 tables with consequent deterioration of soils. about 175,000 acres can be improved by large- BORROWER - Instituto de Recursos This loan will help to finance the completion and scale irrigation schemes, thus overcorning the Hidraulicos y Electrificacion (IRHE) rehabilitation of three irrigation systems serving aridity of the Pacific coastal zone which, given This loan will be used to expand electric 820,000 acres. Two of the systems, Bajo Rio proper conditions, can produce diversified food power facilities in the central provinces of Bravo and Bajo Rio San Juan, are just south of crops to compensate for the decline in prices for Panama--Cocle, Veraguas, Herrera and Los the Mexican-United States border in the north- Nicaragua's traditional exports, coffee and cot- Santos. The Government is making continuous east, and the third, Ciudad Delicias, some 600 ton. In addition to increasing domestic food efforts to stimulate new economic activity in this miles to the west in northcentral Mexico. When supplies, increased food crops could add appre- agricultural region, which contains about a third the three districts involved are fully rehabili- ciably to Nicaragua's foreign exchange earnings of the country's population, and plans during tated, the annual net income from crop produc- from agricultural exports. 1962-67 to invest the equivalent of about $48 tion is expected to increase by the equivalent The main works of the Rivas Irrigation million there, principally for the construction of of $10 million. Scheme include a canal from Lake Nicaragua, roads, schools, hospitals, water and sanitary An earlier Bank loan of $15 million assisted two pumping stations and reservoirs and 54 miles works. The total cost of the power project is the first stage of the program, to improve irriga- of distribution canals and laterals, together with estimated at $7.6 million. tion in four districts covering 1,430,000 acres on distribution systems. Associated works include a The power project includes the construction the northwest coast. 41-mile transmission line to bring electric power of the Yeguada hydroelectric plant with an ini- from Granada into the project area, the improve- tial installed capacity of 4,000 kilowatts, and ment of access roads, and the establishment of the installation of several diesel power units with an experimental and demonstration farm. a total capacity of about 2,000 kilowatts. An in- H gah in the mountains of Colombia, a dam tegrated transmission system of about 63 miles of traps the water of the Guadalupe River to PARTICIPATION - Irving Trust Company, New high voltage lines will be built to feed new sub- generate power for the industries of Medellin. York, participated in the loan for a total of stations and distribution systems in the five major The Bank has lent $34 million for the project. $135,000. towns of the central provinces. The exist-.-- 35 transmission lines and small diesel generating important to land-locked Bolivia as a transport able to meet the requirements of the expanded units will be rehabilitated, artery between La Paz and the Pacific ports. highway system. Provision is also made in the PARTICIPATIONS * The First Pennsylvania Bank- PARTICIPATIONS * The First Pennsylvania Bank- loan for a highway planning study which will be ing and Trust Company, Philadelphia; and ing and Trust Company, Philadelphia; Girard helpful in preparing a long-range investment Girard Trust Corn Exchange Bank, Philadel- Trust Corn Exchange Bank, Philadelphia; Man- program, and in the possible reorganization of phia, participated in the loan for a total of ufacturers Hanover Trust Company, New York: the Highway Department, including the estab- $110,000. and The Royal Bank of Canada, New York lishment of a highway planning office. Agency, participated in the loan for a total of PARTICIPATIONS * Girard Trust Corn Exchange $497,000. Bank, Philadelphia; Nederlandsche Handel- Maatschappij, N.V. (Netherlands Trading So- $13.25 million 16-year 512% loan of March 13, 1963 ciety), New York; First Wisconsin National Bank BORROWER * The Peruvian Corporation URUGUAY/IIIGHWAY LOAN of Milwaukee; The First Pennsylvania Banking Limited $18.5 million 15-year 5'% loan of October 26, 1962 and Trust Company, Philadelphia; and Grace The loan will assist the modernization of the BORROWER * Uruguay National Bank of New York participated in the two principal railway systems in Peru-the This loan will be used to rebuild to all-weather loan for a total of $365,000. Central and Southern Railways. By using diesel standards the main north-south trunk highway locomotives and improving the track, heavier from Montevideo, the capital and principal port loads will be pulled at higher speeds, thereby of Uruguay, to Rivera on the Brazilian border, enabling the railways to reduce transportation about 320 miles to the north. The present high- costs and provide more efficient service, way is frequently impassable during the rainy The Central Railway links the capital, Lima, season, and the southern section is too narrow and its port of Callao with the Sierra. Its most and unsafe for the high volume of traffic. The important traffic is carrying refined metals, ores service area of the highway comprises about a and concentrates from the Sierra to Callao for quarter of the country, and accounts for over a export and bringing back supplies to the mining third of livestock and agricultural production. companies. About half of Peru's earnings from The road is also an important international foreign trade are derived from exports of min- artery for southern Brazil, for Argentina, and erals, to a large extent carried by the Central. for other countries via the port of Montevideo. The Southern Railway links the populated The loan will also help to finance equipment southern highlands, including two of Peru's chief and engineering assistance to execute the project cities, Arequipa and Cuzco, with the ports of and to enable Uruguay's highway maintenance Mollendo and Matarani. The Southern is also organization to improve its methods so as to be 36 Appendices A Balance Sheet . . . . . . . . . . . . . . . . . . 38 B Comparative Statement of Income and Expenses . . . . . . . . 40 37 appendix A ASSETS Due from Banks and Other Depositories (See Appendix C) Balance Sheet Member currencies, including $6,986,447 United States dollars Unrestricted . . . . . . . . . . . . . . . $ 15,734,262 Subject to restrictionS- NOTE B . . . . . . . . . 125,746,678 $ 141,480,940 JUNE 30, 1963 Non-member currency (Swiss francs) . . . . . . . . 1,634,186 $ 143,115,126 Investments Government obligations (At cost or amortized cost) Expressed in United States Currency Face amount $1,125,152,668 including $968,700,000 See Notes to Financial Statements, Appendix G United States Government obligations . . . . . . . $1,119,913,789 Time deposits, including $299,000,000 United States dollars . . 343,880,383 Accrued interest . . . . . . . . . . . . . . 19,088,624 1,482,882,796 Receivable on Account of Subscribed Capital (See Appendix D) Member currencies, other than United States dollars-NOTE B Non-negotiable, non-interest-bearing, demand notes . . . $ 301,055,598 Amounts required to maintain value of currency holdings . . 2,990,536 304,046,134 Effective Loans Held by Bank (See Appendix E)-NOTE C (Including undisbursed balance of $1,244,608,545) . . . . 4,421,915,671 Accrued Charges on Loans-NOTE C . . . . . . . . . 41,324,132 Receivable from Purchasers on Account of Effective Loans Agreed to be Sold (Including undisbursed balance of $16,781,165) 24,292,552 Unamortized Bond Issuance Costs . . . . . . . . 17,087,422 Land and Buildings . . . . . . . . . . . . . . $ 22,448,446 Less reserve for depreciation . . . . . . . . . . . 1,084,935 21,363,511 Other Assets . . . . . . . . . . . . . . . . 8,959,026 Special Reserve Fund Assets-NOTE D Due from Banks-member currency-United States . . . . $ 370 Investment securities-United States Government obligations ($246,625,000 face amount; at cost or amortized cost) . . . 246,035,829 Accrued loan commissions-NOTE C0 . . . . . . . . 8,907,162 254,943,361 Staff Retirement Plan Assets (Segregated and held in trust) . . . . . . . . . . 16,287,024 Total Assets . . . . . . . . . . . . . . $6,736,216,755 38 LIABILITIES, RESERVES AND CAPITAL Liabilities Balance Sheet Accrued interest on borrowings . . . . . . . . . . . . . . 34,715,567 (continued) Accounts payable and other liabilities . . . . . . . . . . . . 10,534,162 Undisbursed balance of effective loans (See Appendix E) Held by Bank . . . . . . . . . . . . . . . . . . . $ 1,244,608,545 Agreed to be sold . . . . . . . . . . . . . . . . . . 16,781,165 1,261,389,710 Funded debt (See Appendix F) (Of this amount $115,621,103 is due within one year) . . . . . . . 2,519,201,928 Reserves for Losses Special reserve-NOTE D . . . . . . . . . . . . . . . . $ 254,943,361 Supplemental reserve against losses on loans and guaranteeS-NOTE E . . . 558,115,003 813,058,364 Staff Retirement Plan Reserve . . . . . . . . . . . . . . . 16,287,024 Capital Capital stock (See Appendix D)-NOTE F Authorized 210,000 shares of $100,000 par value each Subscribed 207,298 shares . . . . . . . . . . . . . . $20,729,800,000 Less-Uncalled portion of subscriptions-NOTE G . . . . . . 18,655,770,000 2,074,030,000 Payment on account of pending subscriptions . . . . . . . . . 7,000,000 Contingent Liability-LOANS SOLD UNDER GUARANTEE-NOTE H . . $6,195,000 Total Liabilities, Reserves and Capital . . . . . . . . . . $6,736,216,755 39 July 1-June 30 1961-1962 1962-1963 Income Income from investments . . . . . . . . . . . . . . $ 54,258,315 $ 59,498,841 Income from loans: Interest . . . . . . . . . . . . . . . . . . . 123,698,500 133,613,153 Commitment charges . . . . . . . . . . . . . . . 9,178,882 9,678,887 Com parative Statem ent of Commissions . . . . . . . . . . . . . . . . . 29,986,059 31,295,385 Service charges . . . . . . . . . . . . . . . . 21,438 28,055 Incom e and Expenses Other income . . . . . . . . . . . . . . . . . . 1,183,617 1,072,274 Gross Income . . . . . . . . . . . . . . . $218,326,811 $235,186,595 FOR THE FISCAL YEARS Deduct-Amount equivalent to commissions ENDED JUNE 30, 1962 appropriated to Special Reserve-NOTE D . . . . . . . . . 29,986,059 31,295,385 AND JUNE 30, 1963 Gross Income Less Reserve Deduction . . . . . . . $188,340,752 $203,891,210 Expressed in United States Currency Expenses See Notes to Financial Statements, Administrative expenses: (1) Appendix G Personal services . . . . . . . . . . . . . . . . $ 6,173,444 $ 7,840,651 Contributions to staff benefits . . . . . . . . . . . . 996,121 1,211,835 Fees and compensation . . . . . . . . . . . . . . 315,214 487,321 Representation . . . . . . . . . . . . . . . . . 121,720 132,499 Travel . . . . . . . . . . . . . . . . . . . 1,594,087 1,883,453 Supplies and material . . . . . . . . . . . . . . . 100,710 109,154 Office occupancy . . . . . . . . . . . . . . . . 650,518 744,570 Communication services . . . . . . . . . . . . . . 384,212 417,835 Furniture and equipment . . . . . . . . . . . . . . 131,714 329,819 Books and library services . . . . . . . . . . . . . 140,575 152,044 Printing . . . . . . . . . . . . . . . . . . 132,674 143,338 Insurance . . . . . . . . . . . . . . . . . . 61,384 114,239 Other expenses . . . . . . . . . . . . . . . . 6,870 9,801 Total Administrative Expenses . . . . . . . . . . $ 10,809,243 $ 13,576,559 Service to member countries (1) . . . . . . . . . . . . 1,902,405 2,829,714 Interest on borrowings . . . . . . . . . . . . . . . 97,066,011 101,821,187 Bond issuance and other financial expenses . . . . . . . . . 1,912,107 1,866,385 Discount on sale of loans . . . . . . . . . . . . . . 6,338,683 1,142,050 Gross Expenses . . . . . . . . . . . . . . $118,028,449 $121,235,895 (1) Amount reported as "Service to member countries" for the year ended June 30, 1962 consists of amounts previously reported as "Administrative Expenses" for that year. Net Income-Appropriated to Supplemental Reserve Against Losses on Loans and Guarantees-NOTE E . . . . . . . . . . . . . . . $ 70,312,303 $ 82,655,315 40 Appendices (Continued) C Statement of Currencies Held by the Bank . . . . . . . . . . 42 D Statement of Subscriptions to Capital Stock and Voting Power . . . . 44 E Summary Statement of Loans . . . . . . . . . . . . . 46 F Funded Debt of the Bank . . . . . . . . 48 G Notes to Financial Statements . . . . . . . . . . . . . 50 OPINION OF INDEPENDENT AUDITOR . . . . . . . . . . . . . . 52 OTHER APPENDICES H Administrative Budget . . . . . . . . . . . . . . . 53 I Governors and Alternates . . . . . . . . . . . . . . 54 J Executive Directors and Alternates . . . . . . . . . . . 56 K Statement of Loans . . . . . . . . . . . . . . . . 57 L Principal Officers . . . . . . . . . . . . . . . . . 69 41 appendix C Unrestricted Currency Restricted Currency (Note B) Member Currencies Amount Total Amount Total Expressed in Expressed in Expressed in Expressed in Member Unit of Currency Member Currency U.S. Dollars Member Currency U.S. Dollars Afghanistan . . . . . Afghani - $ - 53,982,014 $ 1,199,600 Argentina . . . . . Peso - - 466,986,600 25,943,700 Australia . . . . a Pound 97,870 219,228 2,474,789 5,543,528 Austria . . . . . . Schilling 134,964 5,191 - Statement of Currencies Belgium . . . . . . Franc 8,328,781 166,576 -- Bolivia . . . . . . Boliviano - - 119,212,963 10,039 Brazil . . . . . . Cruzeiro - - 618,665,296 33,441,367 e y te an Burma . . . . . . Kyat 149,929 31,485 1,275,054 267,762 Canada . . . . . . Dollar 1,031,360 954,009 - - Ceylon . . . . . . Rupee 256,617 53,890 2,825,732 593,404 Chile . . . . . . Escudo - 14,898,928 8,277,182 AS OF JUNE 30, 1963 China . . . . . . New Taiwan Dollar - - 26,667,615 666,690 Colombia . . . . . Peso - - 58,445,434 6,493,937 - - - ---- Costa Rica . . . . . Colon - - 2,363,816 356,802 Cyprus . . . . . . Pound - - 4,640 12,993 See Notes to Financial Statements, Appendix G DneKrone 713,681 103,325 840,663 121,709 Dominican Republic Peso - - 254 254 Ecuadoruador... Suree El Salvador Colon - - 882,181 352,872 Ethiopia Dollar - - 23,435 9,432 Finland . . . . . . New Markka 70,126 21,914 4,697,190 1,467,872 France . . . . . . Franc 5,197,287 1,052,709 - - Germany . . . . . Deutsche Mark 1,399,060 349,764 - Ghana . . . . . . Pound 24,369 68,233 11,923 33,386 Greece . . . . . . Drachma - - 133,960,765 4,465,359 Guatemala . . . . . Quetzal - - 361,750 361,750 Haiti. . . . . . . Gourde - - 12,016 2,403 Honduras . . . . . Lempira - - 43,228 21,614 Iceland . . . . . . Krona - - 4,792,121 111,445 India . . . . . . Rupee 2,635,759 553,508 1,251,765 262,871 Indonesia . . . . . Rupiah - - 8,400,810 186,685 Iran . . . . . . . Rial 1,244,265 16,426 - Iraq . . . . . . . Dinar 2,745 7,685 - Ireland . . . . . . Pound 597 1,671 16,999 47,597 Israel . . . . . . Pound 148,578 49,526 1,067,964 355,988 Italy . . . . . . . Lira 1,212,184,621 1,939,495 - - Ivory Coast . . . Franc - 4,443,354 18,000 Jamaica . . . . . . Pound - - 8,582 24,030 Japan . . . . . . Yen 21,174,568 58,818 - - Jordan . . . . . . Dinar - 1,455 4,074 Korea . . . . . . Won - - 280,910,490 2,247,284 Kuwait . . . . . . Dinar - - 20,364 57,020 Laos . . . . . . . Kip - - 71,741,072 896,763 Lebanon . . . . . Pound - - - Liberia . . . . . . Dollar - - 13,461 13,461 42 Unrestricted Currency Restricted Currency (Note B) Member Currencies Amount Total Amount Total Expressed in Expressed in Expressed in Expressed in Member Unit of Currency Member Currency U.S. Dollars Member Currency U.S. Dollars Libya . . . . Pound - - 3,144 8,804 Luxembourg . . . . Franc 169,371 3,387 - Malaya al Dollar 184,501 60,271 Mexico ..Peso 221,790 17,743 - Statement of Currencies Morocco . . . . . Dirham- - 316,212 62,487 Nepal . . . . . . Rupee - - 36,604 4,804 Netherlands . . . . Guilder 8,812,955 2,434,518 - e y the an New Zealand . . . . Pound - 50,142 139,441 (c ed) Nicaragua . . . . . Cordoba - 3,540,925 505,846 oruNiger . . . . . . Franc 2,221,677 9,000 Nigeria . . . . . . Pound - - 12,989 36,369 Norway . . . . . . Krone 251,114 35,156 - - Pakistan . . . . . Rupee - - 6,626,065 1,391,475 Panama . . . . . . Balboa - - 10,449 10,449 Paraguay Guarani - - 57,820,466 473,938 Peru . . . . . . . Sol 24,152 901 - Philippines . . . . . Peso - - 12,478,503 6,239,251 Portugal. . . . . . Escudo - 206,909,563 7,196,854 Saudi Arabia . . . . Riyal - 68,890 15,309 Senegal . . . . . . Franc - 739,509,211 2,995,747 Sierra Leone . . . . Pound - 4,330 12,124 Somalia . . . . . . Shilling - 9,642,857 1,350,000 South Africa . . . . Rand 130,672 182,941 - Spain . . . . . . Peseta - - 12,555,747 209,262 Sudan . . . . . . Pound 9,173 26,342 95 273 Sweden . . . . . . Krona 299,460 57,887 - Syrian Arab Republic . . Pound - 236 108 Tanganyika . . . . . Shilling - - 184,934 25,891 Thailand . . . . . Baht - 412,500 33,000 Togo. . . . . . . Franc - 2,589,001 10,488 Tunisia . . . . . . Dinar - 4,727 11,255 Turkey . . . . . . Lira 373,432 41,492 United Arab Republic. . Pound 4,192 12,039 United Kingdom . . . Pound 80,629 225,759 - - United States . . . . Dollar - 6,986,447 - Upper Volta . . . . Franc - 2,221,677 9,000 Uruguay . . . . . Peso - 2,774,701 374,960 Venezuela . Bolivar 152,085 45,398 358,785 107,100 Viet-Nam .Piastre - 94,307,500 2,694,500 Yugoslavia . . . . . Dinar 3,044,444 4,059 5,922,404,155 7,896,539 Sub-Total . . . . . . . . . . . . . $ 15,734,262 $125,746,678 Total-Member Currencies . . . . . . . . . . . . . . . . . . . . . 141,480,940 Non-Member Currency-unrestricted (Switzerland) . . . . . . . . . . . . . . 1,634,186 Total . . . . . . . . . . . . . . . . . . . . . . . $143,115,126 43 appendix D Amounts Paid in In In non- currency interest- of member bearing, Subject other than non-ne- to call Subscriptions in United gotiable to meet Voting Power United States demand obligations Percent Amount States dollars notes of Bank Number Percent Member Shares of total (Note F) dollars (Note B) (Note B) (Note G) of votes of total Afghanistan (1) 300 .14 $ 30,000 $ 300 $ 1,200 $- $ 27,000 550 .24 Argentina 3,733 1.80 373,300 3,733 27,000 6,597 335,970 3,983 1.74 Statement of Subscriptions Australia 5,330 2.57 533,000 5,330 41,985 5,985 479,700 5,580 2.44 Austria . . . . 1,000 .48 100,000 1,000 9,000 - 90,000 1,250 .55 to Capital Stock Belgium . . . . 4,500 2.17 450,000 4,500 40,500 - 405,000 4,750 2.08 Bolivia (1) . . . 210 .10 21,000 210 13 1,838 18,900 460 .20 Brazil . . . . 3,733 1.80 373,300 3,733 33,597 - 335,970 3,983 1.74 and Voting Power Burma . . . . 400 .19 40,000 400 1,207 2,393 36,000 650 .28 Canada . . . . 7,500 3.62 750,000 7,500 67,500 - 675,000 7,750 3.39 Ceylon . . . . 600 .29 60,000 600 1,136 4,264 54,000 850 .37 JUNE 30, 1963 Chile . . . . . 933 .45 93,300 933 8,397 - 83,970 1,183 .52 China . . . . 7,500 3.62 750,000 7,500 681 66,819 675,000 7,750 3.39 Colombia . . 933 .45 93,300 2,613 6,717 - 83,970 1,183 .52 Costa Rica . . . 80 .04 8,000 440 360 - 7,200 330 .14 Cyprus . . . . 150 .07 15,000 150 14 1,336 13,500 400 .18 Expressed in United States Currency Denmark . . . 1,733 .84 173,300 1,733 14,128 1,469 155,970 1,983 .87 (in thousands) Dominican See Notes to Financial Statements, Appendix G Republic . . . 80 .04 8,000 80 5 715 7,200 330 .14 Ecuador . . . 128 .06 12,800 1,280 - - 11,520 378 .16 El Salvador . . . 60 .03 6,000 240 360 - 5,400 310 .14 Ethiopia . . . . 100 .05 10,000 885 115 - 9,000 350 .15 Finland . . . . 760 .37 76,000 760 6,840 - 68,400 1,010 .44 France . . . . 10,500 5.07 1,050,000 10,500 94,500 - 945,000 10,750 4.70 Germany . . . 10,500 5.07 1,050,000 10,500 86,700 7,800 945,000 10,750 4.70 Ghana . . . . 467 .23 46,700 467 2,273 1,930 42,030 717 .31 Greece . . . . 500 .24 50,000 500 4,500 - 45,000 750 .33 Guatemala . . . 80 .04 8,000 440 360 - 7,200 330 .14 Haiti . . . . . 150 .07 15,000 150 35 1,315 13,500 400 .18 Honduras . . . 60 .03 6,000 546 54 - 5,400 310 .14 Iceland . . . . 150 .07 15,000 330 124 1,046 13,500 400 .18 India . . . . 8,000 3.86 800,000 8,000 21,932 50,068 720,000 8,250 3.61 Indonesia . . . 2,200 1.06 220,000 2,200 198 19,602 198,000 2,450 1.07 Iran . . . . . 900 .43 90,000 900 6,048 2,052 81,000 1,150 .50 Iraq . . . . . 150 .07 15,000 150 1,080 270 13,500 400 .18 Ireland . . . . 600 .29 60,000 600 4,149 1,251 54,000 850 .37 Israel . . . . 333 .16 33,300 333 2,997 - 29,970 583 .25 Italy . . . . . 3,600 1.74 360,000 3,600 32,400 - 324,000 3,850 1.69 Ivory Coast . . . 200 .10 20,000 200 18 1,782 18,000 450 .20 Jamaica . . . . 267 .13 26,700 267 24 2,379 24,030 517 .23 Japan . . . . 6,660 3.21 666,000 6,660 59,940 - 599,400 6,910 3.02 Jordan . . . . 150 .07 15,000 150 30 1,320 13,500 400 .18 Korea . . . . 250 .12 25,000 250 2,250 - 22,500 500 .22 Kuwait . . . . 667 .32 66,700 667 60 5,943 60,030 917 .40 Laos . . . . . 100 .05 10,000 100 900 - 9,000 350 .15 Lebanon . . 90 .04 9,000 900 - - 8,100 340 .15 44 Amounts Paid in In In non- currency interest- of member bearing, Subject other than non-ne- to call Subscriptions In United gotiable to meet Voting Power United States demand obligations Percent Amount States dollars notes of Bank Number Percent Member Shares of total (Note F) dollars (Note B) (Note B) (Note G) of votes of total Liberia . . . . 150 .07 15,000 150 14 1,336 13,500 400 .18 o Libya . . . 200 .10 20,000 200 15 1,785 18,000 450 .20 )Statement of Subscriptions Luxembourg 200 .10 20,000 200 1,800 - 18,000 450 .20 Malaya 500 .24 50,000 500 4,500 - 45,000 750 .33 to Capital Stock Mexico . . . . 1,733 .84 173,300 1,733 15,597 - 155,970 1,983 .87 Morocco . . . . 700 .34 70,000 700 75 6,225 63,000 950 .42 Nepal . .. . 100 .05 10,000 100 9 891 9,000 350 .15 and Voting Power Netherlands (1) 5,500 2.65 550,000 5,500 49,500 - 495,000 5,750 2.52 (continued) New Zealand . . 1,667 .80 166,700 1,667 150 14,853 150,030 1,917 .84 Nicaragua . . . 60 .03 6,000 60 540 - 5,400 310 .14 Niger . . . . 100 .05 10,000 100 9 891 9,000 350 .15 Nigeria . . . . 667 .32 66,700 667 60 5,943 60,030 917 .40 Norway . . . . 1,333 .64 133,300 1,333 11,997 - 119,970 1,583 .69 Pakistan . . . . 2,000 .97 200,000 2,000 2,049 15,951 180,000 2,250 .98 Panama . . . . 4 (2) 400 40 - - 360 254 .11 Paraguay . . . 60 .03 6,000 60 540 - 5,400 310 .14 Peru . . . . . 350 .17 35,000 3,500 - - 31,500 600 .26 Philippines . . . 1,000 .48 100,000 3,700 6,300 - 90,000 1,250 .55 Portugal . . . . 800 .39 80,000 800 7,200 - 72,000 1,050 .46 Saudi Arabia . . 733 .35 73,300 733 22 6,575 65,970 983 .43 Senegal . . . . 333 .16 33,300 333 2,997 - 29,970 583 .25 Sierra Leone . . 150 .07 15,000 150 13 1,337 13,500 400 .18 Somalia . 150 .07 15,000 150 1,350 - 13,500 400 .18 South Africa . . 2,000 .97 200,000 2,000 18,000 - 180,000 2,250 .98 Spain . . . . 2,000 .97 200,000 2,000 3,780 14,220 180,000 2,250 .98 Sudan . . . . 200 .10 20,000 200 1,800 - 18,000 450 .20 Sweden . . . . 2,000 .97 200,000 2,000 18,000 - 180,000 2,250 .98 Syrian Arab Republic . . . 200 .10 20,000 200 44 1,756 18,000 450 .20 Tanganyika . . . 333 .16 33,300 333 30 2,967 29,970 583 .25 Thailand 600 .29 60,000 2,850 84 3,066 54,000 850 .37 Togo . . 150 .07 15,000 150 13 1,337 13,500 400 .18 Tunisia . . . . 300 .14 30,000 300 22 2,678 27,000 550 .24 Turkey . . . . 1,150 .55 115,000 1,150 271 10,079 103,500 1,400 .61 United Arab Republic (3) . . 1,066 .51 106,600 1,066 96 9,498 95,940 1,316 .58 United Kingdom . 26,000 12.54 2,600,000 26,000 234,000 - 2,340,000 26,250 11.49 United States . . 63,500 30.63 6,350,000 635,000 - - 5,715,000 63,750 27.89 Upper Volta . . 100 .05 10,000 100 9 891 9,000 350 .15 Uruguay (1) . . 105 .05 10,500 210 438 - 8,400 355 .15 Venezuela . . . 1,400 .68 140,000 1,400 1,997 10,603 126,000 1,650 .72 (1) Amounts aggregating the equivalent of $2,990,536 receivable Viet-Nam . . . 300 .14 30,000 300 2,700 - 27,000 550 .24 and of $1,265,627 payable as a result of revaluation of these cur- rencies are not included in the "Amounts Paid in" columns. Yugoslavia . .. 1,067 .51 106,700 1,067 9,603 96,030 1,317 .58 (2) Less than .005 per cent. (2) Additional subscription in the amount of$35,500,000 is in process Totals . . 207,298 100.00 $20,729,800 $793,032 $976,951 $301,056 $18,655,770 228,548 100.00 of completion. 45 appendix E Effective loans held by Bank Members in whose territories loans have been made(') Disbursed Undisbursed Loans not yet portion portion (2) Total(,) effectzve(4) Argentina . . . . . . . . . $ 52,732,102 $ 90,142,898 $ 142,875,000 $ - Australia ,126,841,139 68,148,908 194,990,047 - Austria i71,274,423 4,036,642 75,311,065 - Belgium , 35,896,413 40,754,400 76,650,813 - Brazil . . . . . . . . . . 192,289,973 13,045,673 205,335,646 - Burma . . . . . . . . . . 18,207,496 10,091,071 28,298,567 - Summ ary Statement Ceylon . . . . . . . . . . 23,434,516 11,318,044 34,752,560 - Chile . . . . . . . . . . 56,904,448 34,339,552 91,244,000 - Colombia . . . . . . . . . 126,853,815 81,890,185 208,744,000 68,800,000 of Loans Costa Rica . . . . . . . . . 11,656,163 8,746,837 20,403,000 - Cyprus . . . . . . . . . . - - - 21,000,000 Denmark . . . . . . . . . 28,624,294 476,417 29,100,711 - Ecuador . . . . . . . . . 36,512,619 234,381 36,747,000 - JUNE 30, 1963 El Salvador . . . . . . . . . 23,381,421 2,000,288 25,381,709 6,000,000 Ethiopia . . . . . . . . . 19,104,541 4,205,459 23,310,000 - Finland Finland. 74 , 840 , 374,840,361 27,437,060 102,277,421 - France . . . . . . . . . . 124,480,040 3,724,624 128,204,664 - Ghana . . . . . . . . . . 3,243,105 43,756,895 47,000,000 - Expressed in United States Currency Guatemala . . . . . . . . . 12,511,000 - 12,511,000 - See Notes to Financial Statements, Haiti . . . . . . . . . 1,810,000 - 1,810,000 - AppendixHonduras . . . . . . . . . 13,003,087 2,933,526 15,936,613 - Iceland . . . . . . . . . . 4,183,487 1,591,233 5,774,720 - India . . . . . . . . . . 544,550,988 104,704,747 649,255,735 49,500,000 Iran . . . . . . . . . . . 97,548,786 8,964,589 106,513,375 - Israel . . . . . . . . . . 18,191,436 52,978,564 71,170,000 - Italy . . . . . . . . . . . 125,978,106 8,493,765 134,471,871 - Japan . . . . . . . . . . 372,104,764 31,531,345 403,636,109 - Lebanon. . . . . . . . . . 14,926,441 10,300,559 25,227,000 - Malaya . . . . . . . . . 19,954,495 7,365,505 27,320,000 - Mexico . . . . . . . . . . 184,516,454 151,290,546 335,807,000 12,500,000 Morocco . . . . . . . . . - 15,000,000 15,000,000 - Nicaragua . . . . . . . . . 14,584,394 8,162,973 22,747,367 2,600,000 Nigeria . . . . . . . . . 12,155 12,827,845 12,840,000 - Norway . . . . . . . . . 49,869,423 22,500,179 72,369,602 - Pakistan . . . . . . . . . 113,936,912 141,270,353 255,207,265 - Panama . . . . . . . . . . 3,704,397 6,928,603 10,633,000 - Paraguay . . . . . . . . . 811,000 - 811,000 - Peru . . . . . . . . . . . 46,516,482 22,894,868 69,411,350 13,250,000 Philippines . . . . . . . . . 25,719,092 34,083,608 59,802,700 15,000,000 South Africa . . . . . . . . 63,532,011 1,946,726 65,478,737 - Sudan . . . . . . . . . . 48,935,612 21,816,388 70,752,000 - Thailand . . . . . . . . . 80,030,766 33,796,754 113,827,520 35,000,000 Turkey . . . . . . . . 41,188,999 - 41,188,999 - United Arab Republic . . . . . . 51,000,000 -- 51,000,000 - United Kingdom . . . . . . . 91,953,667 17,675,474 109,629,141 19,200,000 Uruguay. . . . . . . . . . 50,038,047 4,151,953 54,190,000 18,500,000 Venezuela . . . . . . . . . 5,735,673 38,321,327 44,057,000 - Yugoslavia . . . . . . . . . 64,435,219 38,727,781 103,163,000 35,000,000 Totals . . . . . . . . . $3,187,559,762 $1,244,608,545 $4,432,168,307 $ 296,350,000 LESS: Exchange adjustments . 10,252,636 10,252,636 $3,177,307,126 $4,421,915,671 46 SUMMARY OF CURRENCIES REPAYABLE ON EFFECTIVE LOANS HELD BY BANK Currency Amount Argentine pesos . . . . . . . $ 1,029,508 (1) Loans are made (a) to the member or (b) to a political Sum m ary Statem ent Australian pounds . . . . . . 44,083,047 subdivision or a public or a private enterprise in the territories Austrian schillings . . . . . . 11,506,894 of the member with the member's guarantee. of Loans Belgian francs . . . . . . . 62,026,060 Burmese kyats . . . . . . . 1,055,482 (2) This does not include $16,781,165 of effective loans which (continued) Canadian dollars . . . . . . 107,882,517 the Bank has agreed to sell. Of the undisbursed balance, the Ceylon rupees . . . . . . . 540,000 Bank has entered into irrevocable commitments to disburse Danish kroner . . . . . . . 15,930,733 $16,798,883. Deutsche mark . . . . . . . 381,131,358 New Finnish markkas . . . . 5,992,876 (3) Original principal amount of loans signed $7,121,477,893 French francs . . . . . . . 120,036,000 DEDUCT: Ghana pounds . . . . . . . 2,402,884 (a) Cancellations, termina- Indian rupees . . . . . . . 25,325,513 tions and refundings $ 138,239,484 Iranian rials . . . . . . . . 7,233,974 Iraqi dinars . . . . . . . . 1,221,124 (b) Principal repayments to Irish pounds . . . . . . . . 4,642,733 the Bank . . . . 655,376,610 Israel pounds . . . . . . . 2,797,166 Italian lire . . . . . . . . 39,909,681 (c) Loans sold or agreed to Japanese yen. . . . . . . . 60,142,830 be sold of which Luxembourg francs . . . . . . 2,179,229 $16,781,165 has not Malayan dollars . . . . . . 4,912,605 yet been disbursed 1,599,343,492 Mexican pesos 1 87 1 . 87025129,500 2683956 Netherlands guilders .5,759,21 (d) Loans not yet effective 296,350,000 2,689,309,586 Norwegian kroner . . . . . . 13,863,200 $4,432,168,307 Pakistan rupees . . . . . . . 174,552 LESS: Exchange adjustments . . . . 10,252,636 Pounds ra .d . . . . strl3 2 Effective loans held by Bank .$4,421,915,671 South African rand. 2 3 , 1 8 7 , 6 5 9 ._23,187,659 Spanish pesetas . . . . . . . 3,600,648 Sudanese pounds . . . . . . 2,112,250 Swedish kronor 23,729,371 (4) Agreements providing for these loans have been signed, Swiss francs . . . . . . . . 188,241,941 but the loans do not become effective and disbursements there- United States dollars . . . . . 1,669,769,044 under do not start until the borrower and guarantor, if any, Venezuelan bolivares . . . . . 2,412,616 take certain action and furnish certain documents to the Bank. Yugoslav dinars . . . . . . . 2,045,893 The Bank has agreed to sell $5,972,000 of loans not yet effective Disbursed portion of effective and thus the total of both effective and non-effective loans sold loans held by Bank . . . . . $3,187,559,762 or agreed to be sold is the equivalent of $1,605,315,492. LESS: Exchange adjustments . . . . 10,252,636 $3,177,307,126 ADD: Undisbursed portion of effective loans held by Bank . . . . . 1,244,608,545 Effective loans held by Bank . . . $4,421,915,671 47 Principal Annual sinking Payable in Issue and maturity outstanding fund requirement(I) United States Dollars appendix F 4/% Two Year Bonds of 1961, due 196396 100,000,000 None * 34% Two Year Bonds of 1962, due 1964 . . . . . e 100,000,000 3%10% Notes of 1961, due 1964-65 . . . . . . . . . . 148,000,000 None* 34% Notes of 1961, due 1965-67 . . . . . . . . . . 80,000,000 None* Notes of 1961, due 1967: 4% to 1963; 334% thereafter . . . . . . . . . 30,000,000 None* 40 Notes of 1962, due 1967 . . . . . . . . . . . 5,000,000 None* 4y2% Twelve Year Bonds of 1960, due 1968-72 . . . . . . 120,000,000 None* 34% Ten Year Bonds of 1958, due 1968 . . . . . . . 150,000,000 None* Funded D ebt of the Bank 3% Fifteen Year Bonds of 1954, due 1969 . . . . . . . 71,272,000 1964 $3,272,000 Fun ed Deb o th B nk1965-66 $4,000,000 1967-68 $5,000,000 323% Nineteen Year Bonds of 1952, due 1971 . . . . . . 46,051,000 1963 $ 51,000 1964-66 $2,000,000 JUNE 30, 1963 1967-70 $2,500,000 3% Twenty-Five Year Bonds of 1947, due 1972 . . . . . . 128,558,000 1964 $2,558,000 1965-67 $4,500,000 1968-72 $7,500,000 412% Fifteen Year Bonds of 1958, due 1973 . . . . . . . 100,000,000 1964-73 $5,000,000 Expressed in United States Currency 3V/% Twenty-Three Year Bonds of 1952, due 1975 . . . . 41,000,000 1964 $1,000,000 See Notes to Financial Statements, 1965-74 $1,500,000 Appendix G 3% Twenty-Five Year Bonds of 1951, due 1976 . . . . . . 47,668,000 1964 $ 668,000 1965-75 $2,000,000 4/% Twenty Year Bonds of 1957, due 1977 (2) 85,677,000 1967-76 $5,000,000 4%% Fifteen Year Bonds of 1962, due 1977 5,000000 1973-77 $1,000,000 44% Twenty-One Year Bonds of 1957, due 1978 100,000,000 1967-71 $4,000,000 1972-77 $5,000,000 44% Twenty-One Year Bonds of 1958, due 1979 150,000,000 1968-77 $7,000,000 1978 $5,000,000 44% Twenty-Three Year Bonds of 1957, due 1980 (2) . . . 70,601,000 1968-79 $3,000,000 1980 $1,500,000 34% Thirty Year Bonds of 1951, due 1981 . . . . . . . 100,000,000 1966-67 $2,000,000 1968-73 $3,000,000 1974-80 $4,000,000 42% Twenty Year Bonds of 1962, due 1982 (3) . . . . . 95,500,000 1972-81 $5,000,000 5% Twenty-Five Year Bonds of 1960, due 1985 . . . . . . 125,000,000 1970-79 $3,750,000 1980-84 $5,000,000 Sub-Total . . . . . . . ot1899,327,000 Belgian Francs 5% Ten Year Bonds of 1959, due 1969 (BF500,000,000) . . . $ 10,000,000 None Sub-Total . . . . . . . . . . . . . . . $ 10,000,000 Canadian Dollars 34%% Ten Year Bonds of 1955, due 1965 (Can$11,750,000) $ 10,868,761 1964 Can$250,000 312% Fifteen Year Bonds of 1954, due 1969 (Can$20,649,000) . 19,100,344 1964 Can$449,000 1965 Can$800,000 1966-68 Can$900,000 Sub-Total . . . . . . . . . . . . . . . t 29,969,105 Deutsche Mark 323% Notes of 1961, due 1964-65 (DM200,000,000) . . . . $ 50,000,000 None* 34% Notes of 1961, due 1965-66 (DM100,000,000) . . . . 25,000,000 None* Notes of 1961, due 1966-67 (DM100,000,000): 44% to 1963; 34% thereafter . . . . . . . . . 25,000,000 None* 412% Bonds of 1960, due 1968-72 (DM500,000,000) . . . . 125,000,000 None* 5% Bonds of 1959, due 1974 (DM200,000,000) . . . . . . 50,000,000 1965-74 DM20,000,000 Sub-Total . . . . . . . . . . . . . . . $ 275,000,000 48 (Continued) Principal Annual sinking Payable in Issue and maturity outstanding fund requirement(I) Italian Lire 5% Bonds of 1961, due 1976 (Lit.15,000,000,000) . . . . . $ 24,000,000 None Sub-Total . . . . . . . . . . . . . . . $ 24,000,000 Netherlands Guilders 32% Fifteen Year Bonds of 1954, due 1969 (f.23,714,000) . . . $ 6,550,829 1964 f.3,714,000 1965-69 f.4,000,000 32% Twenty Year Bonds of 1955, due 1975 (f.31,742,000) . . . 8,768,508 1964 f.2,302,000 1965-74 f.2,640,000 1975 f.3,040,000 4200 Twenty Year Bonds of 1961, due 1981 (f.50,000,000) . . . 13,812,155 1972-81 f.5,000,000 Funded D ebt of the Bank 42% Twenty Year Bonds of 1962, due 1982 (f.40,000,000) . . . 11,049,724 1973-82 f.4,000,000 (continued Sub-Total . . . . . . . . . . . . . . . $ 40,181,216 Pounds Sterling 32% Twenty Year Stock of 1951, due 1971 (£3,596,795) . . . S 10,071,026 1964 £148,301 1965-71 £166,700 32% Twenty Year Stock of 1954, due 1974 (£4,230,347) . . . 11,844,971 1963 £ 29,942 1964-74 £166,700 5% Twenty-Three Year Stock of 1959, due 1982 (£10,000,000) . 28,000,000 1965-82 £278,000 Sub-Total . . . . . . . . . $ 49,915,997 Swiss Francs 38% Loan of 1957, due 1964-65 (Sw F 66,666,667) . . . . $ 15,512,895 None 31% Loan of 1961, due 1966-68 (Sw F 100,000,000) . . . . 23,269,343 None 4% Loan of 1961, due 1967 (Sw F 33,333,333) . . . . . . 7,756,448 None 32% Fifteen Year Bonds of 1953, due 1968 (Sw F 50,000,000) 11,634,671 None 32% Fifteen Year Bonds of 1953 (Nov. Issue), due 1968 (Sw F 50,000,000) . . . . . . . . . . . . . 11,634,671 None 32% Eighteen Year Bonds of 1954, due 1972 (Sw F 50,000,000) 11,634,671 None 420% Twelve Year Bonds of 1960, due 1972 (Sw F 60,000,000) 13,961,606 None 4% Eleven Year Bonds of 1962, due 1973 (Sw F 100,000,000) 23,269,342 None 4% Fifteen Year Bonds of 1959, due 1974 (Sw F 100,000,000) 23,269,343 None 4% Fifteen Year Bonds of 1960, due 1975 (Sw F 60,000,000) 13,961,606 None 32% Twenty Year Bonds of 1955, due 1976 (Sw F 50,000,000) 11,634,671 1965-74 Sw F 4,000,000 1975-76 Sw F 5,000,000 4% Eighteen Year Bonds of 1961, due 1979 (Sw F 100,000,000) 23,269,343 1971-78 Sw F 11,000,000 1979 Sw F 12,000,000 Sub-Total . . . . . . . . . . . . . . . $ 190,808,610 Gross Total . . . . . . . . . . . . . $2,519,201,928 (1) Each issue, except those indicated with an asterisk, is subject to (2) In the cases of the 4y2% Twenty Year Bonds of 1957 and the redemption prior to maturity at the option of the Bank at the prices 4V4% Twenty-Three Year Bonds of 1957 the Bank will, as purchase and upon the conditions stated in the respective bonds. The amounts funds, use its best efforts to purchase bonds of these issues in the open shown as annual sinking fund requirements are the principal amounts market or by acceptance of tenders at prices up to and including 100% of bonds to be purchased or redeemed to meet each year's requirement, of the principal amount plus accrued interest. The purchase funds will except that in the cases of the 3'2% Twenty Year Stock of 1951 and of be at the annual rate of $5,000,000 through 1966 in the case of the 1954 and the 5% Twenty-Three Year Stock of 1959 the amount shown 4t2% Twenty Year Bonds of 1957 and at the annual rate of $3,750,000 is the amount of funds to be provided annually for purchase or redemp- through 1967 in the case of the 4V% Twenty-Three Year Bonds of tion. The amounts are shown after deduction of sinking fund require- 1957. The purchase funds are cumulative on a month-to-month basis ments met as of the date of this statement. only within each calendar year. The following table shows the aggregate principal amount of the (3) The Bank has entered into an agreement to sell additional bonds maturities and sinking fund requirements each year for the five years of the 4y2% Twenty Year Bonds of 1962, due 1982. This agreement following the date of this statement: provides for delivery of such bonds to be made against payment therefor Period Amount in the amount of $4,500,000 on Feb. 1, 1964. July 1, 1963 to June 30, 1964 . . . . . . . $115,621,103 july 1, 1964 to [une 30, 1965 . . . . . . . 341,990,132 uly 1, 1965 to June 30, 1966 104,944,120 July 1, 1966 to June 30, 1967 . . . . . . . 103,065,896 July 1, 1967 to June 30, 1968 . . . . . . . 267,944,120 Total . . . . . . . . $933,565,371 49 appendix G NOTE A Under Article II, Section 9, each member is required, Amounts in currencies other than United States dol- if the par value of its currency is reduced or if the lars have been translated into United States dollars: foreign exchange value of its currency depreciates to a significant extent in its territories, to maintain the (i) In the cases of 62 members, at the par values value of the Bank's holdings of its restricted currency, as specified in the "Schedule of Par Values", pub- including the principal amount of any notes sub- lished by the International Monetary Fund; stituted therefor, and the Bank is required, if the par (ii) In the cases of the remaining 23 members value of a member's currency is increased, to return (Argentina, Bolivia, Brazil, Chile, China, Colombia, to the member the increase in the value of such Notes to Indonesia, Ivory Coast, Korea, Laos, Nepal, Niger, restricted currency held by the Bank. To the extent Paraguay, Peru, Senegal, Sierra Leone, Tangan- such restricted currencies are out on loan, the Bank Financial Statem ents yika, Thailand, Togo, Tunisia, Upper Volta, Viet- and the members are obligated to make such payments Nam and Yugoslavia), at the rates used by such only when such restricted currencies are recovered by members in making payments of capital subscrip- the Bank. The equivalent of $2,990,536 is receivable tions to the Bank; and from 3 members and the equivalent of $1,265,627 is JUNE 30, 1963 (iii) In the case of Swiss francs, non-member payable to 1 member in order to maintain the value currency, at the rate of 4.2975 francs to 1 United of their restricted currencies as required under Article States dollar. II, Section 9. See also Notes B and C. Some members have converted part or all of the Bank's holdings of their restricted currency into No representation is made that any currency held by United States dollars to be used and reused as United the Bank is convertible into any other currency at States dollars in the Bank's operations, subject to the any rate or rates. right of the Bank or the member to reverse the trans- actions at any time, with immediate effect as to dollars then held by the Bank, and, as to dollars NOTE B loaned, upon repayment of the loans. Such dollars These currencies of the several members, and the while held by the Bank or on loan are not subject notes issued by them in substitution for any part of to the provisions of Article II, Section 9. Such dollars such currencies as permitted under the provisions of held by the Bank or repayable on loans are shown Article V, Section 12, are derived from the portion in these financial statements under "United States of the subscriptions to the capital stock of the Bank dollars" and, where relevant, as "unrestricted". which is payable in the currencies of the respective members (such portion being hereinafter called restricted currency). Such restricted currencies may be loaned by the Bank, and funds received by the The principal disbursed and outstanding on loans Bank on account of principal of loans made by the and the accruals for interest, commitment charge, Bank out of such restricted currencies may be ex- service charge and loan commission are receivable in changed for other currencies or reloaned, only with United States dollars and other currencies (for which the approval in each case of the member whose the dollar equivalent is shown) as follows: restricted currency is involved; provided, however, that, if necessary, after the Bank's subscribed capital Receivable in is entirely called, such restricted currencies may, with- U.S. dollars Other currency Total out restriction by the members whose currencies are Principal Out- offered, be used or exchanged for the currencies standing . . . $1,669,769,044 $1,507,538,082 $3,177,307,126 offeed,be ued r exhaned fr te curenies Accrued Interest, required to meet contractual payments of interest, Commitment and other charges or amortization on the Bank's own Service Charges . 22,066,961 19,257,171 41,324,132 Accrued Loan borrowings or to meet the Bank's liabilities with Commissins . . 4,632,263 4,274,899 8,907,162 respect to contractual payments on loans guaran- rese it Total . . . $1,696,468,268 $1,531,070,152 $3,227,538,420 teed by it. 50 The dollar equivalent shown as principal outstanding NOTE H includes an amount which in accordance with Article II, Section 9, will be receivable from members The Bank has sold under its guarantee $69,003,844 to maintain the value of their currencies, and is net of loans of which amount $62,808,844 has been re- of an amount, equal to the increase in the value of tired. The following table sets forth the maturities of their currencies, which in accordance with Article II, the guaranteed obligations outstanding: Section 9, will be payable by the Bank to members, when such currencies are recovered by the Bank. Notes to NOTED Period Amount Financial Statements The amount of commissions received by the Bank on (continued) loans made or guaranteed by it is required under July 1,1963 to June 30, 1964 . . $1,000,000 Article IV, Section 6, to be set aside as a special July 1, 1964 to June 30, 1965 . . . 1,000,000 reserve to be kept available for meeting obligations of the Bank created by borrowing or by guaranteeing July 1, 1965 to June 30, 1966 . . . 1,000,000 loans. On all loans granted to date the effective rate of commission is 1% per annum. July 1, 1966 to June 30, 1967 . . . 1,195,000 NOTE E July 1, 1967 to June 30, 1968 . . . 1,000,000 Pursuant to action of the Board of Governors and Thereafter . . . . . . 1,000,000 Executive Directors the net income of the Bank has been allocated to a Supplemental Reserve Against Losses on Loans and Guarantees Made by the Bank; Total . . . . . . . $6,195,000 and the future net income of the Bank will, until further action by the Executive Directors or the Board of Governors, be allocated to this reserve. This reserve has been charged with $235,335 repre- senting a net loss to the Bank as a result of the GENERAL revaluation on the books of the Bank of the balance As of June 30, 1963 the Board of Governors had of the amount in Yugoslav dinars held at the date approved applications for membership from eleven of revaluation, January 1963, and acquired from countries with subscriptions totaling $147.3 million; net earnings. six countries with applications totaling $70 million had paid in full the amounts due on account of such NOTE F subscriptions pending completion of other legal for- malities. These formalities were concluded by five of In terms of United States dollars of the weight and the countries during July 1963. The Board of Gover- fineness in effect on July 1, 1944. nors had also approved increases of subscriptions for two members totaling $53 million. NOTE G At the 1962 Annual Meeting the Board of Governors Subject to call by the Bank only when required to resolved that the Executive Directors consider the meet the obligations of the Bank created by borrow- question of an increase of $1,000,000,000 in the ing or by guaranteeing loans. As to $16,583,840,000 authorized capital of the Bank and submit an appro- the restriction on calls is imposed by the Articles of priate proposal to the Board of Governors for action. Agreement; as to $2,071,930,000 by a resolution of A draft resolution has been submitted to the Board the Board of Governors. of Governors for action by December 31, 1963. 51 1710 H STREET, N. W. Opinion of WASHINGTON 6, D. C. Independent Auditor August 6, 1963 To INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT WASHINGTON, D. C. In our opinion, the accompanying financial statements present fairly, in terms of United States currency, the financial position of International Bank for Reconstruction and Develop- ment at June 30, 1963, and the results of its operations for the year then ended, in conformity with generally accepted accounting principles applied on a basis consistent with that of the preceding year. Our examination of these statements was made in accordance with generally accepted auditing standards, and accordingly included such tests of the accounting records and such other auditing procedures as we considered necessary. PRICE WATERHOUSE & CO. FINANCIAL STATEMENTS COVERED BY THE FOREGOING OPINION Balance Sheet. . . . . . . . . . . . . . . . . . .AappendixA Comparative Statement of Income and Expenses . . . . . . . . . . . appendix B Statement of Currencies Held by the Bank . . . . . . . . . . . . . aapendix c Statement of Subscriptions to Capital Stock and Voting Power . . . . . . . appendix D Summary Statement of Loans . . . . . . . . . . . . . . . . appendix E Funded Debt of the Bank . . . . . . . . . . . . . . . . . . appendix F Notes to Financial Statements. . . . . . . . . . . . . . . . . appendix G 52 appendix H Actual Expenses Budget 1962 1963 1964 REGULAR OPERATIONS BOARD OF GOVERNORS $ 372,918 $ 309,040 $ 386,000 Administrative EXECUTIVE DIRECTORS . . . . 642,580 797,477 847,000 Budget STAFF Personal Services. . . . . . . $5,676,672 $7,235,713 $7,985,000 StaffBenefits . . . . . . . 934,485 1,141,115 1,288,000 Travel . . . . . . . . . 1,189,012 1,526,490 1,725,000 FOR THE FISCAL YEAR Consultants . . . . . . . . 201,269 356,660 280,000 ENDING JUNE 30, 1964 Representation . . . . . . . 94,807 8,096,245 97,677 10,357,655 97,000 11,375,000 OTHER ADMINISTRATIVE EXPENSES Fees & Compensation . . . . . 111,990 118,028 128,000 Supplies & Materials .97,584 105,495 114,500 Office Occupancy . . . . . . 650,101 733,918 992,500 Communications . u . . . . 374,432 413,146 441,000 Furniture & Equipment . . . 126,699 326,212 459,500 Printing . . . . . . . . . 129,366 139,579 141,000 Books and Library Service . . . . 140,575 152,044 172,000 Insurance . . . . . . . . 59,883 114,164 105,500 Other . . . . . . . . . . 6,870 1,697,500 9,801 2,112,387 10,000 2,564,000 CONTINGENCY . . . . . . . . - - 200,000 Total Regular Operations . . . 10,809,243 13,576,559 15,372,000 SERVICES TO MEMBER COUNTRIES Project and Sector Studies . . . . 401,843 913,680 1,970,000 The Administrative Budget for the General Survey Missions . . . . 481,866 128,468 275,000 fiscal year ending June 30, 1964, Resident Missions . . . . . 235,171 549,251 771,000 Was prepared by the President Economic Development Institute 408,082 686,058 975,000 and approved by the Executive 000 Directors in accordance with Sec- Training Programs . . . . . . 76,955 71,097 92,000 tion 19 of the By-Laws. For Other Services . . . . . . . 298,488 481,160 191,000 purposes of comparison, the ad- ministrative expenses incurred Total Services to Member Countries 1,902,405 2,829,714 4,274,000 during the fiscal years ended June T 30, 1962 and 1963 are also shown. Total . . . . . . $12,711,648 $16,406,273 $19,646,000 53 appendix I Member Government Governor Alternate Afghanistan . . . . . . . Abdullah Malikyar Abdul Hai Aziz Argentina Luis M. Otero Monsegur Pedro Eduardo Real Australia Harold Holt Sir Roland Wilson Austria . . . . . . . . . Franz Korinek Hugo Rottky Belgium . . . . . . . . . Andre Dequae Hubert Ansiaux Bolivia . . . . . . . . . Raul Lema Pelaez Adolfo Linares overo s and Brazil . . . . . . . . . Francisco Clementino San Tiago Dantas Octavio Augusto Dias Carneiro Burma . . . . . . . . . U Kyaw Nyein U Kyaw Nyun Canada . . . . . . . . . Walter L. Gordon Louis Rasminsky Ceylon . . . . . . . B. Illangaratne H. S. Amerasinghe Chile . . . . . . . Felix Ruiz Alvaro Orrego Barros China . . . . . . . . . Chia-Kan Yen Tse-kai Chang JUNE 30, 1963 Colombia . . . . . . . . Carlos Sanz de Santamaria Jorge Mejia-Salazar Costa Rica . . . . . . Alvaro Castro Alvaro Vargas Cyprus . . . . . . . Renos Solomides M. E. Guven Denmark . . . . . Otto Muller Poul Bjorn Olsen Dominican Republic . . . . . Diogenes H. Fernandez Louis Scheker Ecuador . . . . . . . . Guillermo Arosemena Neftali Ponce-Miranda El Salvador . . . . . . . . Francisco Aquino Luis Escalante-Arce Ethiopia Menasse Lemma Bulcha Demeksa Finland . . . . . . . . . R.v. Fieandt Esko Rekola France . . . . . . . . . Minister of Finance Pierre-Paul Schweitzer Germany . . . . . . . . Ludwig Erhard Heinz Starke Ghana . . . . . . . . F.K.D. Goka W.M.Q. Halm Greece . . . . . . . . . Lambros Eutaxias loannis Paraskevopoulos Guatemala . . . . . . . . Manuel A. Bendfeldt J. Max Jimenez Pinto Haiti . . . . . . . . . Herve Boyer Antonio Andre Honduras . . . . . . . . Celeo Davila Ricardo Alduvin Abaunza Iceland . . . . . . . . . Petur Benediktsson Thor Thors India . . . . . . Morarji R. Desai L.K. Jha Indonesia . . . . . . . . R.M. Notohamiprodjo Soetjipto Probosawitro Iran . . . . . . . . . . Abdol Hossein Behnia Djalaledin Aghili Iraq . . . . . . . . . . Mohammed J. Oboosy Abdul Hassan Zalzalah Ireland . . . . . . . . . Seamas 0 Riain T.K. Whitaker Israel . . . . . . . . . David Horowitz Jacob Arnon Italy . . . . . . . . . Guido Carli Donato Menichella Ivory Coast . . . . . . . . Raphael Saller Mohamed Diawara Jamaica . . . . . . . . . Donald Sangster G. Arthur Brown Japan . . . . . . . . Kakuei Tanaka Masamichi Yamagiwa Jordan . . . . . . . . . Khalil Salem Adeeb Sughayer Korea . . . . . . . . . Chong Yul Whang Pyong Do Min Kuwait . . . . . . . . . Sheikh Jabir Al-Ahmad Al-Jabir Abdlatif Y. Al-Hamad 54 Member Government Governor Alternate Laos . . . . . . . . . . Phouangpheth Phanareth Oudong Souvannavong Lebanon . . o I . . . . Elias Sarkis Raja Himadeh Liberia . . . . . . . . . Charles Dunbar Sherman James Milton Weeks Libya . . . . . . . . . Mansur Ben Gaddara A.A. Attiga Luxembourg . . . . . . . Pierre Werner Pierre Guill Malaya . . . . . . . . . Tan Siew Sin Dato' Abdul Janil bin Abdul Rais Governors and Mexico . . . . . . . . . Antonio Ortiz Mena Jose Hernandez Delgado Morocco . . . . . . . . Driss Slaoui Mohamed Amine Bengeloun Nepal . . . . . . . . . Surya Bahadur Thapa Yadav Prasad Pant A lternates Netherlands . . . . . . . J. Zijlstra S Posthuma (Continued) New Zealand . . . . . . . H.R. Lake E.L. Greensmith Nicaragua . . . . . . . . Guillermo Sevilla-Sacasa Andres Garcia Niger . . . . . . . Adamou Mayaki Lucien Bayle Nigeria . . . . . . . . . Chief Festus Sam Okotie-Eboh Reginald A. Clarke Norway . . . . . . . . . Oscar Christian Gundersen Thomas Lovold Pakistan . . . . . . . . . Mohamed Shoaib Aftab Ahmad Khan Panama . . . . . . . . . Augusto Guillermo Arango Carlos A. Velarde Paraguay . . . . . . . Cesar Romeo Acosta Oscar Stark Rivarola Peru . . . . . . . . . . Fernando Berckemeyer Tulio De Andrea Philippines . . . . . . . . Andres V. Castillo Bienvenido Y. Dizon Portugal . . . . . . . . Antonio M. Pinto Barbosa Luis Teixeira Pinto Saudi Arabia . . . . . . . Ahmed Zaki Saad Mahjoob Hassanain Senegal . . . . . . . . . Karim Gaye Jean Duhamel Sierra Leone . . . . A.M. Margai John Taylor Somalia . . . . . . Abdulcadir Mohamed Aden Francesco Palamenghi-Crispi South Africa . . . . . . . T.E. Donges M.H. de Kock Spain . . . . . . . . . Mariano Navarro Rubio Juan Antonio Ortiz Gracia Sudan . . . . . . . . Abdel Magid Ahmed Abdel Rahim Mirghani Sweden . . . . . . . . . G.E. Straeng N.G. Lange Syrian Arab Republic . . . . . George Tomeh Kamal Ghali Tanganyika . . . . . . . . Paul Bomani C. de N. Hill Thailand . . . . . . . . Sunthorn Hongladarom Boonma Wongswan Togo . . . . . I . . . Antoine Meatchi Jean Tevi Tunisia . . . . . . . . . Ahmed Ben Salah Abdesselam Ben Ayed Turkey . . . . . . . . Ferit Melen . Ziya Kayla United Arab Republic . . . . Abdel Moneim El Kaissouni Hamed Abdel Latif El Sayeh United Kingdom . . . . . . The Earl of Cromer' Sir Denis Rickett United States . . . . . . Douglas Dillon George W. Ball Upper Volta . . . . . . . Moise Traore Pierre Damiba Uruguay . . . . . Raul Ybarra San Martin Roberto Ferber Venezuela . . . . . Rafael Alfonzo Ravard Miguel Herrera Romero Viet-Nam . . . . . . . . Tran Huu Phuong Vu Quoc Thuc Yugoslavia . . . . . . . . Kiro Gligorov Antonije Tasic (1) Appointed as of July 21, 1963 55 d'Director Alternate appendix J Casting Total APPOINTED votes of votes John C. Bullitt Erie Cocke, Jr. United States . . . . . . . . . . . 63,750 David B. Pitblado N. M. P. Reilly United Kingdom . . . . . . . . . 26,250 Rene Larre Jacques Waitzenegger France . . . . . . . . . . . . . 10,750 Otto Donner Helmut Abramowski Germany . . . . . . . . . . . . 10,750 C. S. Krishna Moorthi* Arun K. Ghosh India . . . . . . . . . . . . . 8,250 Executive Directors and ELECTED Alternates and John M. Garland A. J. J. van Vuuren Australia, South Africa, New Zealand, Viet-Nam . 10,297 (Australia) (South Africa) Their Voting Power Gengo Suzuki M. Kumashiro Japan, Thailand, Ceylon, Burma, Nepal . . 9,610 (Japan) (Japan) Mumtaz Mirza Ali Akbar Khosropur Pakistan, United Arab Republic, Iran, Saudi Arabia, (Pakistan) (Iran) Kuwait, Sudan, Syrian Arab Republic, Iraq, JUNE 30, 1963 Jordan, Somalia, Ethiopia, Lebanon . . . . 9,406 A. F. W. Plumptre L. Denis Hudon Canada, Ireland . . . . . . . . . . 8600 (Canada) (Canada) Andre van Campenhout Franz Oellerer Belgium, Turkey, Austria, Korea, Luxembourg 8,350 (Belgium) (Austria) Pieter Lieftinck Aleksandar Bogoev Netherlands, Yugoslavia, Israel, Cyprus . . . 8,050 (Netherlands) (Yugoslavia) Joaquin Gutierrez Cano Sergio Siglienti Italy, Spain, Portugal, Greece . . . . . . 7,900 (Spain) (Italy) Reignson C. Chen China . . . . . . . . . . . . . 7,750 Alice Brun Eino Suomela Sweden, Denmark, Norway, Finland, Iceland . 7,226 (Denmark) (Finland) Jorge Mejia-Palacio Jose Camacho Brazil, Philippines, Colombia, Ecuador, Dominican (Colombia) (Colombia) Republic . . . . . . . . . . . . 7,124 Abderrahman Tazi Ismail Khelil Indonesia, Morocco, Malaya, Ghana, Afghanistan, (Morocco) (Tunisia) Tunisia, Libya, Laos . . . . . . . . 6,767 Luis Machado Lempira E. Bonilla Mexico, Venezuela, Peru, Haiti, Costa Rica, Guate- (Cuba) (Honduras) mala, El Salvador, Honduras, Nicaragua, Panama 6,477 Fernando Illanes Carlos S. Brignone Argentina, Chile, Bolivia, Uruguay, Paraguay . . 6,291 (Chile) (Argentina) In addition to the Executive Directors and Alternates shown in the foregoing list, the following also served as Executive Director or Alternate after November 1, 1962, the effective date of the Ninth Regular Election: Executive Director End of Period of Service Alternate Executive Director End of Period of Service Jose Aragones (Spain) January 31, 1963 Tyge Dahlgaard (Denmark) December 31, 1962 Mohamed Shoaib (Pakistan) February 28, 1963 Helmut Koinzer (Germany) January 15, 1963 Jaakko Lassila (Finland) November 30, 1962 Ernst A. Rott (Austria) November 7, 1962 * To be succeeded by K. S. Sundara Rajan, effective August 1, 1963 56 appendix K Statement of Loans-June 30, 1963 Expressed in United States Dollars (For Summary Statement-See Appendix E) Interest Cancellations, Efective loans sold Efective Date of rate Original terminations Principal or agreed to be sold3 loans Principal loan (including principal and repayments held by amount Guarantor, Purpose and Borrower' agreement Maturities commission) amount refundings to Bank Total sales Portion matured4 Bank disbursed ARGENTINA Roads . . . . . . . . . . June 30, 1961 1965-77 5% % $ 48,500,000 $ - $ - $ 625,000 $ - $ 47,875,000 $ 8,442,884 ARGENTINA (guarantor) Power-Servicios Elctricos del Gran Buenos Aires . . . . . . . . Jan. 19, 1962 1965-86 5% % 95,000,000 - - 95,000,000 44,914,218 TOTAL 143,500,000 - - 625,000 - 142,875,000 53,357,102 AUSTRALIA Equipment for Development . Aug. 22, 1950 1955-75 4V4 % 100,000,000 - 359,059 52,382,745 28,872,941 47,258,196 100,000,000 Equipment for Development . July 8, 1952 1957-72 4% % 50,000,000 - 11,872 30,453,277 15,925,128 19,534,851 50,000,000 Equipment for Development . Mar. 2, 1954 1957-69 4% % 54,000,000 - 1,585,000 43,190,000 22,553,000 9,225,000 54,000,000 Equipment for Development. Mar. 18, 1955 1958-70 45%8% 54,500,000 - 1,945 40,976,055 20,212,055 13,522,000 54,500,000 Aircraft . . . . . . Nov. 15, 1956 1964-66 4% % 9,230,000 - - 9,230,000 - - 9,230,000 Equipment for Development . Dec. 3, 1956 1959-72 4% % 50,000,000 - 2,941,000 36,734,000 9,341,000 10,325,000 50,000,000 Power . . . . . . . . . . Jan. 23, 1962 1966-87 5% % 100,000,000 - - 4,875,000 - 95,125,000 31,851,092 TOTAL 417,730,000 - 4,898,876 217,841,077 96,904,124 194,990,047 349,581,092 AUSTRIA (guarantor) Power- Verbundgesellschaft, Draukraftwerke July 19, 1954 1959-79 4% % 12,000,000 - 1,121,022 2,473,406 410,979 8,405,572 12,000,000 Power- Verbundgesellschaft, Draukraftwerke Sept. 21, 1956 1959-76 5% 10,000,000 - 384,191 3,691,809 1,206,809 5,924,000 10,000,000 Power- Vorarlberger Illwerke . . . . June 14, 1955 1960-79 4% % 10,000,000 - 905 3,107,231 1,053,095 6,891,864 10,000,000 Power- Vorarlberger Illwerke . . . Oct. 10, 1957 1960-79 5% % 3,571,429 - - 598,143 466,714 2,973,286 3,571,429 Power-Verbundgesellschaft,Donaukraftwerke Sept. 21, 1956 1960-81 5% 21,000,000 - 66,002 5,505,772 1,950,998 15,428,226 21,000,000 Power-Verbundgesellschaft,Donaukraftwerke Dec. 2, 1958 1964-83 5% % 25,000,000 - - 5,906,835 - 19,093,165 23,014,768 Industry-Oesterr. Investitionskredit, A.G. . Apr. 28, 1958 1959-75 52 % 10,765,000 1,476,346 1,009,620 4,304,634 678,834 3,974,400 9,288,654 Industry-Oesterr. Investitionskredit, AG. . Sept. 25, 1959 1960-73 Note5 9,000,000 - 794,448 - - 8,205,552 8,663,356 Industry-Oesterr. Investitionskredit, A.G. . June 15, 1962 1967-77 5% % 5,000,000 - - 585,000 - 4,415,000 3,285,234 TOTAL 106,336,429 1,476,346 3,376,188 26,172,830 5,767,429 75,311,065 100,823,441 BELGIUM Industry & Power . . . . . . . ), 1949 1953-69 44 % 16,000,000 - - 16,000,000 10,000,000 - 16,000,000 Equipment for Development-Congo . Sept. 13, 1951 1957-76 42 % 30,000,000 - - 29,997,000 9,750,000 3,000 30,000,000 Water Transport . . . . . . . Dec. 14, 1954 1965-69 4%% 20,000,000 - - 15,900,000 - 4,100,000 20,000,000 Water Transport. . . . . . . Sept.10, 1957 1963-72 5% % 10,000,000 - - 9,690,000 500,000 310,000 10,000,000 BELGIUM (guarantor) Equipment for Development-Congo - Sept. 13, 1951 1957-76 4V2 % 40,000,000 - 50,141 23,946,046 12,949,860 16,003,813 40,000,000 Roads-Congo . . . . . . . . Nov. 27, 1957 1961-76 6% 40,000,000 - - 21,490,000 6,450,000 18,510,000 32,655,504 Agriculture-Congo . . . . . . Mar. 30, 1960 1964-72 6% 7,000,000 - 7,000,000 352,727 Roads, ports and waterways-Congo . Mar. 30, 1960 1963-72 6% 28,000,000 179,219 35,781 3,700,000 900,000 24,085,000 3,735,781 Road and port-Ruanda-Urundi . . June 26, 1957 1961-77 5%8 % 4,800,000 - - 1,503,000 455,000 3,297,000 4,800,000 Transport equipment-Otraco . . Mar. 30, 1960 1962-70 6% 5,000,000 - 24,000 1,634,000 687,000 3,342,000 2,322,369 TOTAL 200,800,000 179,219 109,922 123,860,046 41,691,860 76,650,813 159,866,381 BRAZIL Railways . . . . . . . . . June 27, 1952 1955-67 4% % 12,500,000 - 7,617,000 - - 4,883,000 12,500,000 Roads . . . . . . . . . . Apr. 30, 1953 1954-59 4¼ % 3,000,000 18,946 2,981,054 - 2,981,054 Railways . . . . . . . . . Dec. 18, 1953 1959-69 48 % 12,500,000 - 4,291,000 - - 8,209,000 12,500,000 57 appendzx K Statement of Loans-June 30, 1963 (continued) Interest Cancellations, Effective loans sold Effective Date of rate Original terminations Principal or agreed to be sold3 loans Principal loan (including principal and repayments -------- - held by amount Guarantor, Purpose and Borrower' agreement Maturities commission) amount refundings to Bank Total sales Portion matured' Bank disbursed BRAZIL (guarantor) Power & Communications- Brazilian Traction . . . . . . Jan. 27, 1949 1953-74 40,% S 75,000,000 $ - 20,603,015 $ 4,028,411 $ 4,028,411 $ 50,368,574 $ 75,000,000 Power-Brazilian Traction . . . . . Jan. 18, 1951 1955-76 4V% 15,000,000 - 3,683,141 - 11,316,859 15,600,000 Power-Brazilian Traction . . . . 24, 1954 1955-74 4Y % 18,790,000 - 8,000,000 - - 10,790,000 18,790,000 Power-Brazilian Traction . . . . . June 17, 1959 1963-78 6% 11,600,000 - 20,000 300,000 300,000 11,280,000 11,177,317 Power-Cia. Hidro Elitrica do Sao Francisco May 26, 1950 1954-75 4V %% 15,000,000 - 5,006,787 - - 9,993,213 15,000,000 Power-Com. Estadual Energia Elitrica . June 27, 1952 1957-77 4% % 25,000,000 25,000,000 - - - - Power-CEARG & CEMIG . . . . . July 17, 1953 1957-73 5% 7,300,000 - 1,054,000 1,047,000 1,047,000 5,199,000 7,300,000 Power-Usinas Elitricas Paranapanema . Dec. 18, 1953 1958-74 5% 10,000,000 2,327,000 - - 7,673,000 10,000,000 Power-Usinas Elitricas Paranapanema . Jan. 22, 1958 1962-78 5Y8%% 13,400,000 777,000 - - 12,623,000 13,181,765 Power-Central Elitrica de Furnas, S.A. . Oct. 3, 1958 1964-83 5% % 73,000,000 - - - - 73,000,000 60,595,245 TOTAL 292,090,000 25,018,946 56,359,997 5,375,411 5,375,411 205,335,646 254,025,381 BURMA Railways . . . . . . . . . May 4, 1956 1959-71 4 %% 5,350,000 3,433 1,461,000 3,885,567 5,346,567 BURMA (guarantor) Port-Rangoon Port Commissioners . . . May 4, 1956 1960-76 4% % 14,000,000 - 2,137,000 - 11,863,000 13,884,025 Railways-Burma Railway Board . . . Jan. 16, 1961 1964-77 5%% 14,000,000 - - 1,450,000 12,550,000 4,024,904 TOTAL 33,350,000 3,433 3,598,000 1,450,000 28,298,567 23,255,496 CEYLON Power . . . . . . . . . . July 9, 1954 1959-79 4%% 19,110,000 2,610,000 2,331,000 -- - 14,169,000 15,213,709 Power . . . . . . . . . . Sept. 17, 1958 1961-78 5Y % 7,400,000 - - 717,000 566,000 6,683,000 5,225,278 Power . . . . . . . . . . June 6, 1961 1964-86 5¾ % 15,000,000 - - 1,099,440 - 13,900,560 7,142,969 TOTAL 41,510,000 2,610,000 2,331,000 1,816,440 566,000 34,752,560 27,581,956 CHILE Roads . . . . . . . . . . June 28, 1961 1964-70 5 %% 6,000,000 - - 250,000 - 5,750,000 2,308,277 CHILE (guarantor) Power-Endesa & Fomento . . . . Mar. 25, 1948 1953--68 4V2 % 13,500,000 - 7,386,000 1,148,000 944,000 4,966,000 13,500,000 Power-Endesa & Fomento . . . . Nov. 1, 1956 1960-76 5% 15,000,000 - 1,576,000 327,000 327,000 13,097,000 15,000,000 Power-Endesa & Fomento . . . . Dec. 30, 1959 1963--85 6% 32,500,000 - - 175,000 100,000 32,325,000 8,295,819 Agriculture-Fomento . . . . . . Mar. 25, 1948 1950-55 3% % 2,500,000 - 755,000 1,745,000 1,745,000 - 2,500,000 Agriculture-Fomento . . . . . . Oct. 10, 1951 1955-61 4% % 1,300,000 445,544 221,456 633,000 633,000 - 854,456 Industry-Papelesy Cartones & Fomento . Sept. 10, 1953 1958-70 5% 20,000,000 - 5,500,000 - - 14,500,000 20,000,000 Coal Mines-Schwager & Fomento . July 24, 1957 1963-72 5Y% 12,200,000 - 360,000 100,000 100,000 11,740,000 6,083,446 Coal Mines-Lota & Fomento . . . July 24, 1957 1962-72 5% % 9,600,000 - 634,000 100,000 100,000 8,866,000 9,272,906 TOTAL 112,600,000 445,544 16,432,456 4,478,000 3,949,000 91,244,000 77,814,904 COLOMBIA Roads . . . . . . . . . . Apr. 10, 1951 1954-61 378 % 16,500,000 - 15,700,000 800,000 800,000 16,500,000 Railways . . . . . . . . . Aug. 26, 1952 1957-78 4 %% 25,000,000 - 4,840,000 - - 20,160,000 24,922,457 Roads . . . . . . . . . . Sept. 10, 1953 1956-63 4% % 14,350,000 - 12,937,000 350,000 350,000 1,063,000 14,350,000 Roads . . . . . . . . . . June 6, 1956 1959-71 4% % 16,500,000 - 4,861,000 - - 11,639,000 16,500,000 Roads . . . . . . . . . . Aug. 28, 1961 1965-76 5% % 19,500,000 - - 610,000 18,890,000 5,314,610 58 Interest Cancellations, Effective loans sold Effective Date of rate Original terminations Principal or agreed to be sold3 loans Principal loan (including principal and repayments - held by amount Guarantor, Purpose and Borrower' agreement Maturities commission) amount refundings to Bank Total sales Portion matured' Bank disbursed COLOMBIA (guarantor) Agriculture-Caja de Cridito . . . . Aug. 19, 1949 1952-56 3½ % $ 5,000,000 $ 74,559 $ 2,925,441 $ 2,000,000 $ 2,000,000 $ $ 4,925,441 Agriculture-Caja de Credito . . . . Dec. 29, 1954 1957-61 4Y % 5,000,000 - 2,000,000 3,000,000 3,000,000 - 5,000,000 Power-CHIDRAL . . . . . . Nov. 2, 1950 1954-70 4% 3,530,000 - 1,530,000 148,000 148,000 1,852,000 3,530,000 Power-CHIDRAL . . . . . . . Mar. 24, 1955 1959-75 4Y4 % 4,500,000 - 905,000 - - 3,595,000 4,500,000 Power-cHIDRAL . . . . . . . Dec. 15, 1958 1961-79 5% % 2,800,000 - - 280,000 230,000 2,520,000 2,800,000 Power-CVC & CHIDRAL . . . . May 10, 1960 1963-85 6% 25,000,000 - 559,000 - 24,441,000 15,816,505 Power-CVC & CHIDRAL . . . . June 3, 1963 1966-83 5V % 8,800,0002 - - Note' - Power-Caldas Hidro-Elec. Co. . Dec. 28, 1950 1952-71 4% 2,600,000 - 1,069,000 194,000 194,000 1,337,000 2,600,000 Power-Caldas Hidro-Elec. Co. . Jan. 30, 1959 1962-79 5% % 4,600,000 166,000 - 4,434,000 4,269,191 Power-Hidroelectrica del Rio Lebrija Nov. 13, 1951 1954-72 4Y % 2,400,000 - 968,200 84,800 84,800 1,347,000 2,400,000 Railways-Ferrocarriles Nacionales. . . June 15, 1955 1958-80 4%% 15,900,000 - 1,460,000 1,986,000 866,000 12,454,000 14,842,489 Railways-Ferrocarriles Nacionales. . . Sept. 20, 1960 1962-75 5Y % 5,400,000 - - 512,000 336,000 4,888,000 5,197,707 Railways-Ferrocarriles Nacionales. . . June 21, 1963 1966-83 5V % 30,000,0002 - - Note' - - - Power-Empresas Pblicas de Medellin May 20, 1959 1963-84 6% 12,000,000 - 35,000 100,000 100,000 11,865,000 11,998,982 Power-Empresas Ptiblicas de Medellin May 12, 1961 1966-85 5%% 22,000,000 - - 300,000 - 21,700,000 5,201,615 Power-Emp. de Energia Electrica de Bogoth Jan. 20, 1960 1963-84 6% 17,600,000 - - 691,000 198,000 16,909,000 16,997,406 Power-Emp. de Energia Electrica de Bogoti May 23, 1962 1966-87 54% 50,000,000 - - 350,000 - 49,650,000 10,548,853 Steel-Acerias Paz del Rio, S.A. . June 28, 1963 1968-78 5½ % 30,000,0002 - - Note' _____ TOTAL 338,980,000 74,559 49,396,641 11,964,800 8,306,800 208,744,000 188,215,256 COSTA RICA Roads . . . . . . . . . . Oct. 13, 1961 1965-76 5%% 5,500,000 - - 150,000 5,350,000 116,636 COSTA RICA (guarantor) Agriculture & Industry-Banco Central Sept. 18, 1956 1958-63 4% % 3,000,000 - 2,328,000 366,000 366,000 306,000 3,000,000 Agriculture & Industry-Banco Central Feb. 11, 1959 1960-65 5%% 3,500,000 - 349,000 1,510,000 1,425,000 1,641,000 3,500,000 Industry-Banco Central . . . . . May 4, 1960 1963-72 6% 2,000,000 - - 210,000 105,000 1,790,000 1,837,945 Industry-Banco Central . . . . . Sept. 6, 1961 1964-73 5% % 3,000,000 - 314,000 - 2,686,000 590,390 Power-I.C.E. . . . . . . . . Feb. 3, 1961 1964-85 5% % 8,800,000 - 170,000 - 8,630,000 7,974,828 TOTAL 25,800,000 - 2,677,000 2,720,000 1,896,000 20,403,000 17,019,799 CYPRUS (guarantor) Power-Electricity Authority of Cyprus . . Apr. 17, 1963 1967-83 5½ % 21,000,0002 - - Note' DENMARK Reconstruction . . . . . . . Aug. 22, 1947 1953-72 44% 40,000,000 - 1,363,000 22,029,000 8,770,000 16,608,000 40,000,000 - Power . . . . . . . . . . Feb. 4, 1959 1962-78 5%% 20,000,000 - - 7,507,289 754,000 12,492,711 19,523,583 TOTAL 60,000,000 - 1,363,000 29,536,289 9,524,000 29,100,711 59,523,583 ECUADOR Roads . . . . . . . . . . Sept. 20, 1957 1962-77 5% % 14,500,000 - 730,000 141,000 141,000 13,629,000 14,410,581 Railways . . . . . . . . . Nov. 1, 1957 1959-61 6% 600,000 600,000 - - ECUADOR (guarantor) Roads-Com. Ejec. Vialidad (Guayas) . . Feb. 10, 1954 1958-64 4/G%% 8,500,000 1,000,000 6,023,000 - - 1,477,000 7,500,000 Power-Empresa Elictrica Quito, S.A. . . Mar. 29, 1956 1959-76 4% % 5,000,000 - 649,000 197,000 197,000 4,154,000 5,000,000 Power-Empresa Elictrica Quito, S.A. . . Sept. 20, 1957 1962-77 5%% 5,000,000 - 300,000 - - 4,700,000 5,000,000 Port-Autoridad Portuaria de Guayaquil . Oct. 9, 1958 1963-83 5Y/%% 13,000,000 - 113,000 100,000 50,000 12,787,000 12,855,038 TOTAL 46,600,000 1,600,000 7,815,000 438,000 388,000 36,747,000 44,765,619 59 appenaix is otatement oi Loans-June )u, I!J03 (continued) Interest Cancellations, Effective loans sold Effective Date of rate Original terminations Principal or agreed to be sold' loans Principal l o a n ( in c l u d in g p r in c ip a l a n d r ep a y m e n ts --- -- h e ld b y a m o u n t Guarantor, Purpose and Borrower' agreement Maturities commission) amount refundings to Bank Total sales Portion matured4 Bank disbursed EL SALVADOR Roads . . . . . . . . . . Oct. 12, 1954 1959-66 4Y/% $ 11,100,000 $ - $ 5,504,000 $ 250,000 $ 250,000 $ 5,346,000 $ 11,100,000 Roads . . . . . . . . . . Jan. 7, 1959 1963-74 5%% 5,000,000 - 6,000 300,000 150,000 4,694,000 4,394,197 EL SALVADOR (guarantor) Power-Comisi6n del Rio Lempa . . . Dec. 14, 1949 1954-75 44 % 12,545,000 - 2,566,000 1,000,000 1,000,000 8,979,000 12,545,000 Power-Comisi6n del Rio Lempa . . . Feb. 20, 1959 1962-84 5%4 7 3,000,000 297,291 93,000 - - 2,609,709 2,702,709 Power-Comisi6n del Rio Lempa . . . July 29, 1960 1963-85 54 % 3,840,000 - - 87,000 - 3,753,000 2,445,515 Power-Comisi6n del Rio Lempa . . . June 19, 1963 1966-83 52 % 6,000,0002 - Note' - - - TOTAL 41,485,000 297,291 8,169,000 1,637,000 1,400,000 25,381,709 33,187,421 ETHIOPIA Roads . . . . Sept. 13, 1950 1956-71 4% 5,000,000 - 2,043,000 - 2,957,000 5,000,000 Industry-(Development Bank of Ethiopia) Sept. 13, 1950 1956-71 4% 2,000,000 - 817,000 - 1,183,000 2,000,000 Communications . . . . . . . Feb. 19, 1951 1956-71 4% 1,500,000 - 611,000 - 889,000 1,500,000 Roads . . . . . . . . . . June 28, 1957 1961-77 5Y8% 15,000,000 - - 1,491,000 1,176,000 13,509,000 14,737,003 ETHIOPIA (guarantor) Agriculture & Industry-Development Bank of Ethiopia . . . . . . . Nov. 22, 1961 1965-71 Note5 2,000,000 -- - - 2,000,000 802,934 Communications-Imp. Board of Telecom. of Ethiopia . . . . . . May 31, 1962 1966-82 5%% 2,900,000 - - 128,000 - 2,772,000 154,604 TOTAL 28,400,000 - 3,471,000 1,619,000 1,176,000 23,310,000 24,194,541 FINLAND Industry . . . . . . . . . Oct. 17, 1949 1950-51 3% 2,300,000 197,869 2,102,131 - - - 2,102,131 FINLAND (guarantor) Power & Industry-Bank of Finland Aug. 1, 1949 1953-64 4% 12,500,000 - 6,099,990 5,752,010 4,494,010 648,000 12,500,000 Power, Industry & Agriculture-Bank of Finland . . . . . Apr. 30, 1952 1955-70 434% 20,000,000 - 5,177,000 6,363,873 3,744,000 8,459,127 20,000,000 Industry-Bank of Finland . . . . Nov. 13, 1952 1955-70 44% 3,479,464 1,415 1,213,112 1,221,872 336,928 1,043,065 3,478,049 Power & Industry-Bank of Finland . Mar. 24, 1955 1958-70 4%8% 12,000,000 - - 5,869,684 4,449,000 6,130,316 12,000,000 Power-Mortgage Bank of Finland Oy. . May 22, 1956 1959-76 44% 15,000,000 - 879,000 2,949,954 1,889,000 11,171,046 15,000,000 Power-Mortgage Bank of Finland Oy. . Aug. 15, 1962 1966-82 5%% 25,000,000 - - 2,304,796 - 22,695,204 3,049,350 Industry-Mortgage Bank of Finland Oy . Mar. 16, 1959 1962-74 54% 37,000,000 - 8,161,840 2,093,000 28,838,160 37,000,000 Industry-Mortgage Bank of Finland Oy . Aug. 9, 1961 1965-76 5% % 25,000,000 - 1,707,497 - 23,292,503 19,513,590 TOTAL 152,279,464 199,284 15,471,233 34,331,526 17,005,938 102,277,421 124,643,120 FRANCE (guarantor) Reconstruction-Cridit National . May 9, 1947 1952-77 44% 250,000,000 - 38,000 191,383,000 50,553,000 58,579,000 250,000,000 Railways, West Africa-Overseas Railways Admin . . . . . . . June 10, 1954 1956-66 42 % 7,500,000 408,433 2,040,567 2,598,000 2,598,000 2,453,000 7,091,567 Power-Electricit et Gaz d'Algirie Aug. 26, 1955 1957-75 4% % 10,000,000 - 188,000 4,473,000 2,290,000 5,339,000 10,000,000 Manganese Ore Mining- COMILOG, Gabon . . . . . . . June 30, 1959 1963-74 6% 35,000,000 - - 21,000,000 - 14,000,000 35,000,000 Pipeline-SOPEG, Algeria . . . . . Dec. 10, 1959 1961-71 6% 50,000,000 - 5,682,000 25,000,000 5,681,000 19,318,000 50,000,000 Iron Ore Mining- MIFERMA, Mauritania . . . . . Mar. 17, 1960 1966-75 6Y % 66,000,000 - - 37,484,336 - 28,515,664 62,275,376 TOTAL 418,500,000 408,433 7,948,567 281,938,336 61,122,000 128,204,664 414,366,943 60 Interest Cancellations, Efective loans sold Efective Date of rate Original terminations Principal or agreed to be sold" loans Principal loan (including principal and repayments held by amount Guarantor, Purpose and Borrower' agreement Maturities commission) amount refundings to Bank Total sales Portion matured' Bank disbursed CHANA (guarantor) Power-Volta River Authority . . . . Feb. 8, 1962 1968-87 5% % $ 47,000,000 $ - $ - $ - $ $ 47,000,000 $ 3,243,105 GUATEMALA Roads . . . . . . . . . . July 29, 1955 1959-70 4/8% 18,200,000 - 5,113,000 576,000 576,000 12,511,000 18,200,000 HAITI Roads . . . . . . . . . . May 7, 1956 1961-67 4V % 2,600,000 - 404,000 386, 000 386,000 1,810,000 2,600,000 HONDURAS Roads . . . . . . . . . . Dec. 22, 1955 1957-64 41% 4,200,000 - 2,373,000 872,000 872,000 955,000 4,198,710 Roads . . . . . . . . . . May 9, 1958 1961-78 5%% 5,500,000 - 211,000 299,000 299,000 4,990,000 5,035,772 HONDURAS (guarantor) Power-Empresa Nacional de Energia El;ctrica . . . . . . . . . May 20, 1959 1962-74 6% 1,450,000 32,387 - 123,000 81,000 1,294,613 1,417,613 Power-Empresa Nacional de Energia Elictrica . . . . . . . . . June 29, 1960 1964-85 6% 8,800,000 - - 103,000 - 8,697,000 6,331,992 TOTAL 19,950,000 32,387 2,584,000 1,397,000 1,252,000 15,936,613 16,984,087 ICELAND Power . . . . . . . . . . June 20, 1951 1956-73 4Y8 % 2,450,000 - 828,800 - - 1,621,200 2,450,000 Agriculture . . . . . . . . Nov. 1, 1951 1956-73 4Y % 1,008,000 - 312,200 - - 695,800 1,008,000 Industry . . . . . . . . Aug. 26, 1952 1954-69 4% % 854,000 - 440,000 - - 414,000 854,000 Hot Water Supply. . . . . . . Feb. 14, 1962 1966-79 5% % 2,000,000 - - 95,000 - 1,905,000 408,767 ICELAND (guarantor) Agriculture-Iceland Bank of Development . Sept. 4, 1953 1958-75 5% 1,350,000 - 288,000 - - 1,062,000 1,350,000 Cornmunications-Iceland Bank of Development . . . . . . . . Sept. 4, 1953 1954-66 4% % 252,000 - 175,280 - 76,720 252,000 TOTAL 7,914,000 - 2,044,280 9 5 ,0 00 - 5,774,720 6,322,767 INDIA Railways . . . . . . . . . Aug. 18, 1949 1950-64 4% 34,000,000 1,200,000 10,725,805 17,743,630 17,743,630 4,330,565 32,800,000 Agriculture . . l . . . . . Sept.29, 1949 1952-56 3Y % 10,000,000 2,796,187 2,263,000 4,940,813 4,940,813 - 7,203,813 Power . . . . . . . . . . Apr. 18, 1950 1955-70 4% 18,500,000 1,779,500 2,066,000 5,869,000 5,869,000 8,785,500 16,720,500 Multi-Purpose Project. . . . . . Jan. 23, 1953 1956-77 48 % 19,500,000 9,000,000 1,473,000 845,000 845,000 8,182,000 10,500,000 Railways . . . . . . . . . July 12, 1957 1961-72 5%/% 24,000,000 - 3,154,000 - - 20,846,000 24,000,000 Railways . . . . . . . . . July 12, 1957 1961-72 5Y/%% 19,110,000 - 2,514,400 - - 16,595,600 19,110,000 Railways . . . . . . . . . July 12, 1957 1961-72 5% % 11,200,000 - 1,472,000 - - 9,728,000 11,200,000 Railways . . . . . . . . . July 12, 1957 1961-72 5/8% 35,700,000 - 4,204,000 1,818,000 489,000 29,678,000 35,700,000 Power . . . . . . . . . . July 23, 1958 1961-78 5% % 25,000,000 3,000,000 1,328,329 1,452,672 310,672 19,218,999 20,029,670 Railways . . . . . . . . . Sept. 16, 1958 1963-79 5% % 85,000,000 - 106,000 7,707,087 1,472,000 77,186,913 85,000,000 Power . . . . . . . . . . Apr. 8, 1959 1965-84 5% % 25,000,000 6,300,000 - - - 18,700,000 14,611,378 Railways . . . . . . . . . July 15, 1959 1963-79 6% 50,000,000 - - 3,762,000 866,000 46,238,000 50,000,000 Railways . . . . . . . . . July 29, 1960 1964-80 5% % 70,000,000 - - 2,050,000 - 67,950,000 70,000,000 Coal Mining . . . . . . . . Aug. 9, 1961 1966-76 5% % 35,000,000 - - 875,000 - 34,125,000 36,329 Railways . . . . . . . . . Oct. 13, 1961 1965-81 5% % 50,000,000 - - 1,175,000 - 48,825,000 50,000,000 INDIA (guarantor) Steel-Indian Iron & Steel Co. Ltd. . . Dec. 18, 1952 1959-67 4% % 31,500,000 2,297,112 11,947,888 700,000 700,000 16,555,000 29,202,888 Steel-Indian Iron & Steel Co. Ltd. . . Dec. 19, 1956 1960-67 5% 20,000,000 - 6,756,000 1,032,000 1,032,000 12,212,000 19,712,669 Coal Mining-Indian Iron & Steel Co. Ltd. Dec. 22, 1961 1967-74 5% % 19,500,0002 - - Note' - -- 61 appendx 3 tatement oi Loans-June ju, -1Jo