Page 1
REPUBLIC OF INDONESIA
April 16, 1999
International Development Association
1818 H Street, N.W.
Washington, D.C. 20433
United States of America
Re:
Credit No. 3189-IND
(Sumatera Basic Education Project)
      Representations and Assurances relating to
      National Competitive Bidding Procedures
Dear Sirs:
In connection with the Development Credit Agreement of this date between the
Republic of Indonesia and the International Development Association (the Association)
for the above-captioned Project, I am writing on behalf of the Republic of Indonesia
to set forth the following:
1.
We represent that the procedures to be followed for national competitive bidding
under Part B.1 of Schedule 3 to the Development Credit Agreement shall be those set
forth in Presidential Decree No. 16/1994 as amended by Presidential Decree No. 24/1994
(hereinafter “KEPPRES 16/94�) of the Republic of Indonesia with the following
clarifications required for compliance with the provisions of the “Guidelines for
Procurement under IBRD Loans and IDA Credits� (the Guidelines) published by the Bank
in January 1995 and revised in January and August 1996 and September 1997, and January
1999:
(a)
in connection with any contract to be financed in part by the IDA Credit,
eligible bidders will not be denied prequalification for reasons unrelated to their
capability and resources to successfully perform the contract, and no bidder will be
entitled to contract award unless the bidder has the capability and the resources to
successfully perform the contract; and
(b)
given the importance of ensuring transparency in the procurement process,
as provided under paragraph 1.2 of the Guidelines, bids will be opened in public and
both envelopes will be opened at the same time.
2.
Unless otherwise agreed to in writing between the Republic of Indonesia and the
Association, these representations and assurances form an integral part of said
Development Credit Agreement.
It is our understanding that, in making the Credit, the Association may rely on
the statements set forth in this letter
Very truly yours,
REPUBLIC OF INDONESIA
By /s/ Darsjah
Authorized Representative