THE WORL BANI) fW KA DOCUMENTS Stefan G. Koeberle Country Director, Indonesia Letter No. CD-188/PNPM/VI/2012 June 20, 2012 Mr. Wicaksono Sarosa Kemitraan bagi Pembaruan Tata Pemerintahan (Kemitraan) I. Wolter Monginsidi No. 3 Jakarta Selatan 12110 Indonesia Dear Mr. Sarosa: Re: Amendment No. 3 to PSF Grant No. TF099554 PNPM Peduli Executing Organization: Kemitraan Project We refer to the Grant Agreement ("Grant Agreement"), dated June 30, 2011, as amended, between the Kemitraan bagi Pembaruan Tata Pemerintahan (Kemitraan) ("Recipient") and the International Bank for Reconstruction and Development ("World Bank"), acting as administrator of grant funds provided by donors under the Support Facility for National Program for Community Empowerment (TF070967) ("PSF") for the above-mentioned project (the "Project"). We refer also to your letter dated March 27, 2012 requesting an amendment to the Grant Agreement. The World Bank is pleased to inform you that, after due consideration, it has concurred with your request and accordingly agreed to amend the Grant Agreement to reflect: (i) the increase of the Grant amount; (ii) reallocation of Grant proceeds; and (iii) extension of closing date as follows: A. Increase in the Amount of the Grant. The Grant amount is hereby increased from US$1,555,900 to US$2,733,300 as follows (the amended language is italicized for ease of reference): "In response to the request for financial assistance made on behalf of the Kemitraan bagi Pembaruan Tata Pemerintahan (Kemitraan) ("Recipient"), I am pleased to inform you that the International Bank for Reconstruction and Development ("World Bank"), acting as administrator of grant funds provided by donors under the Support Facility for National Program for Community Empowerment (TF070967) ("PSF"), proposes to extend to the Recipient for the benefit of the Republic of Indonesia ("Member Country"), a grant in an amount not to exceed two million seven hundred thirty three thousand three hundred United States Dollars (US$2, 733.300) ("Grant") on the terms and conditions set forth or referred to in this letter agreement ("Agreement"), which includes the attached Annex, to assist in the ISEB Tower 2, JI. Jend. Sudirman Kay. 52-53, Jakarta 12190 * Telephone: (62-21) 5299 3000 * Facsimile: (62-21) 5299 3110 P.O. Box 1324/JKT Jakarta 10013 * Telex: IBRDIA 60086 * Headquarters: The World Bank, Washington DC, USA Mr. Wicaksono Sarosa 2 of 3 June 20, 2012 Kemitraan bagi Pembaruan Tata Pemerintahan financing of the project described in the Annex ("Project"). This Grant is funded out of the abovementioned trust fund for which the World Bank receives periodic contributions. In accordance with Section 3.02 of the Standard Conditions (as defined in the annex to this Agreement), the Recipient may withdraw the Grant proceeds subject to the availability of such funds." B. Reallocation of Grant Proceeds. The World Bank hereby reallocates the proceeds of the Grant allocated in the table in Section 3.01 of the Annex to the Grant Agreement as set out below: Category Amount of the Grant Percentage of Allocated Expenditures to be (expressed in US$) Financed (inclusive of Taxes) (1) Goods 8,500 100% (2) Consultant services 270,000 100% (3) Training and Workshops* 200,900 100% (4) Sub-Grants under Part 1 1,922,700 100% of the Project (5) Direct Operational Costs* 203,100 100% (6) Indirect Operational 128,100 100% Costs* TOTAL AMOUNT 2,733,300 C. Extension of Closing Date. The Bank has established December 31, 2013 as the later date for the purposes of Section 3.03 of the Annex to the Grant Agreement. Except as specifically provided in this Amendment, all other terms and conditions of the Grant Agreement remain in full force and effect. ISEB Tower 2, J. Jend. Sudirman Kay. 52-53, Jakarta 12190 * Telephone: (62-21) 5299 3000 * Facsimile: (62-21) 5299 3110 PO. Box 1324/JKT Jakarta 10013 * Telex: IBRDIA 60086 * Headquarters: The World Bank, Washington DC, USA Mr. Wicaksono Sarosa 3 of 3 June 20, 2012 Kemitraan bagi Pembaruan Tata Pemerintahan Please confirm your agreement to the foregoing by signing and dating both enclosed copies of this letter in the space provided and returning one signed copy to us. The above Amendment will become effective as of the date of the later date of countersignature of this letter by the Recipient. Very truly yours, INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT Stefan G. Koeberle Country Director, Indonesia AGREED: KEMITRAAN BAGI PEMBARUAN TATA PEMERINTAHAN (KEMITRAAN) By: Name: Title: yC-rfV 'IRECTD- Date: t ISEB Tower 2, JI. Jend. Sudirman Kay. 52-53, Jakarta 12190 * Telephone: (62-21) 5299 3000 * Facsimile: (62-21) 5299 3110 P.O. Box 1324/JKT. Jakarta 10013 * Telex: IBRDIA 60086 * Headquarters: The World Bank, Washington DC, USA