International Bank for Reconstruction and Development
                        International Development Association

                                   FOR OFFICIAL USE ONLY



FOR                                                                 For consideration on
EXECUTIVE                                                           Tuesday, March 10, 1998
DIRECTORS'
MEETING

                                                                    M98-10
                                                                    IDA/M98-10

      FROM: The Secretary                                           February 25, 1998


                            Minutes of Meeting of the Executive Directors
                            of the Bank and ID A held in the Board Room
                                   on February 17, 1998 at 10:08 a.m.


      1.    There were present:

                                            CHAIRMAN

                                  S. Sandstrom, Managing Director

            EXECUTIVE DIRECTORS AND ALTERNATES ACTING AS EXECUTIVE DIRECTORS

            K. Alyahya                                C. Austin (Temporary Alternate)
            A. Bourhane                               K. Brachemi
            J. Cariaga                                H. Cordeiro (Alternate)
            N. Dagalp (Alternate)                     E. Del Bufalo
            G. Gaoseb (Alternate)                     L. Good
            J. Hutagalung                             Y-H . Lee
            Li Yong                                   B. Loutrel (Temporary Alternate)
            B. Lvin (Temporary Alternate)             M. Meyer
            I. Niemi                                  J. Piercy
            M. Portugal (Alternate)                   A. Sadik (Temporary Alternate)
            S. Singh                                  Z. Shinoyama (Temporary Alternate)
            M. Tanasescu (Alternate)                  E. Wagenhofer (Alternate)

            ALTERNATES NOT ACTING AS EXECUTIVE DIRECTORS

            L-A. Aden                                 S. Ahmed
            J. Hylewski                               A. Lodhi
            M. Marek                                  J. Varder
            Sun Vithespongse

 This document has a restricted distribution and may be used by recipients only in the
 performance of their official duties. Its contents may not otheiwise be disclosed without
 World Bank authorization.
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                                         -2-                                         M98-10
                                                                                 IDA/M98-10



       OFFICERS AND STAFF PARTICIPATING

      C. Koch-Weser, Managing Director             I. Shihata, Senior Vice President
      J-M . Severino, Vice President,               & General Counsel
        East Asia & Pacific                        A. Shakow, Deputy Secretary
      P. Garg, Director, MDOQA                     N. Okonjo-lweala, Country Director, EACSM
      J. Salop, Director, MDOPS                    V. Jagannathan, EASUR
      H. Denton, Corporate Secretariat



Managing Directors' Oral Report on the Status of the Work Program

2.     Mr. Koch-Weser provided the Board with an update on the work program.

Credit to Cambodia - Urban Water Supply Project

3.     The Executive Directors considered the President's Memorandum and Recommendation
(IDA/R98-8 dated January 27, 1998)and approved the credit to the Kingdom of Cambodia for
an Urban Water Supply Project in the amount of SOR 22.70 million (US$30.96 million
equivalent) on the payment terms and other terms and conditions set out in the President's
Memorandum (CREDIT APPROVAL NO. 98-7) .

Grant from Global Environment Facility Trust Fund to the South African
 National Parks and the World Wide Fund for Nature - South Africa
 - Cape Peninsula Biodiversity Conservation Project

4.      The Executive Directors approved the grant from the Global Environment Facility Trust
Fund to the South African National Parks and the World Wide Fund for Nature in South Africa
for the Cape Peninsula Biodiversity Conservation Project in the amount of SOR 9.1 million
(US$12.3 million equivalent) (GEF /R98-1 dated January 29, 1998) (STREAMLINED
PROCEDURE GEF GRANT APPROVAL NO. 98-1) .

Loan to Elektrostopanstvo na Makedonija - Former Yugoslav Republic of Macedonia
 - Power System Improvement Project

5.      The Executive Directors approved the loan to Elektrostopanstvo na Makedonija, with
the guarantee of the former Yugoslav Republic of Macedonia, for a Power System Improvement
Project in the amount of DEM 61.5 million (US$35 million equivalent) on the payment terms
and other terms and conditions set out in the President's Memorandum (R98-1 7 dated
January 29, 1998) (STREAMLINED PROCEDURE LOAN APPROVAL NO. 98-8) .
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                                             - 3 -·                                     M98-10
                                                                                    IDA/M98-10



    Date of Next Meeting

    6.     It was agreed to hold a meeting of the Executive Directors of the Bank and IDA on
    February 19, 1998.

    Adjourment

    7.     The meeting adjourned at 11:15 a.m.




    Distribution:

     Executive Directors and Alternates
     President
     Bank Group Senior Management
     Vice Presidents, Bank, IFC and MIGA
     Directors and Department Heads, _Bank, IFC and MIGA