MARIANNE FAY Country Director Bolivia, Chile, Ecuador and Peru 23-Sep-2021 Mr. Jorge Baca Head of Mission International Organization for Migration Miguel Seminario 320, San Isidro Lima, Peru Re: SPF Grant No. TF0B6669-PE - COVID-19 Emergency Response for Venezuelan Migrants and Refugees in Peru - Disbursement Letter Dear Mr. Baca, 23-Sep-2021 Pursuant to Section 4.5 of the Annex to the Letter Agreement sent to you on , this letter gives instructions on withdrawal of proceeds from the Grant made by the International Bank for Reconstruction and Development (“Bank”) as administrator of grant funds provided by donors (“Donors”) under the State and Peacebuilding Fund (“SPF”) to the International Organization for Migration (“Recipient” or “IOM”) for the benefit of Venezuelan migrants and refugees in the Republic of Peru (“Member Country”) (TF0B6669-PE). A copy of the Letter Agreement is attached. This letter and its attachments should be copied to all staff involved in the preparation of applications for withdrawal. Sample withdrawal application is attached, and additional forms may be obtained online through our Web site, “Client Connection” (see paragraph below). Following are the specific disbursement arrangements for the COVID-19 Emergency Response for Venezuelan Migrants and Refugees in Peru (TF0B6669-PE). These arrangements may be revised by the Bank from time to time in consultation with the Recipient. I. Withdrawals from the Grant Account and Supporting Documentation (a) Withdrawals from the Grant Account will be made on the basis of the interim unaudited financial reports submitted in accordance with section 4.5 of the Annex to the Letter Agreement and in accordance with the periodicity specified at section 5 (c) of the Annex to the Letter Agreement. The agreed format of interim unaudited financial reports is attached. (b) Withdrawals shall be made as follows: (i) In the case of the first request for an advance, the Recipient shall submit to the Bank a statement with a quarterly expenditures forecast and an application of funds for the project. (ii) In the case of subsequent requests for advances, the Recipient shall submit the interim unaudited financial report providing an accounting of expenditures incurred in the period ended, together with the three-month expenditures forecast and an application of funds for the project. (iii) Upon receipt of each application for withdrawal of an amount of the Grant, the Bank shall, on behalf of the Recipient, withdraw from the Grant Account and advance an amount equal to the lesser of: (i) the amount so requested; and (ii) the amount which the Bank has determined, based on the interim unaudited financial report submitted with such application and the expenditures forecast, is required to be advanced in order to finance eligible expenditures to be incurred during the ensuing reporting period. II. Advances of Grant Proceeds (a) All advances made by the Bank pursuant to section I above will be deposited into an official pooled IOM bank account in USD in a financial institution acceptable to the Bank, in accordance with the provisions of IOM’s Financial Regulations and Rules. (b) The Bank shall not be required to make further advances: (i) If the Recipient shall have failed to furnish to the Bank, within the period of time specified in the Financial Management Framework Agreement, any of the audited financial statements required to be furnished to the Bank; (ii) If, at any time, the Bank shall have notified the Recipient of its intention to suspend in whole or in part the right of the Recipient to make withdrawals from the Grant Account pursuant to the provisions of section 6 of the Annex to the Letter Agreement; or (iii) If the Bank, at any time, is not satisfied that the interim unaudited financial reports submitted by the Recipient adequately provide the information required to support disbursements. Thereafter, withdrawals from the Grant Account of the remaining unwithdrawn amount of the Grant shall follow such procedures as the Bank shall specify by notice to the Recipient. Such further withdrawals shall be made only after and to the extent that the Bank shall have been satisfied that all such outstanding advances as of the date of such notice will be used to make payments for eligible expenditures. III. Refunds (a) If the Bank shall have determined at any time that any withdrawal of the proceeds of the Grant: (i) was made for an expenditure or in an amount not eligible pursuant to section 4.1 of the Annex to the Letter Agreement; or (ii) was not justified by the evidence furnished to the Bank, the Recipient shall, promptly upon notice from the Bank refund to the Bank an amount equal to the amount of such payment or the portion thereof that was not eligible or justified. Unless the Bank shall otherwise agree, no further advances shall be made by the Bank until the Recipient has made such refund. (b) If the Bank shall have determined at any time that any outstanding advances will not be required to cover further payments for eligible expenditures, the Recipient shall, promptly upon notice from the Bank, refund to the Bank such outstanding amount. (c) The Recipient may, upon notice to the Bank, refund to the Bank all or any outstanding advances. (d) Refunds to the Bank made pursuant to subparagraph (a), (b) or (c) of this paragraph shall be credited to the Grant Account for subsequent withdrawal or for cancellation in accordance with the provisions of the Letter Agreement. IV. Other (a) Authorized Signatures. Please refer to Section 4.4 of the Annex to the Letter Agreement. A letter in the form attached should be furnished to the Bank at the address below providing the name(s) and specimen signature(s) of the official(s) authorized to sign applications for withdrawal: The World Bank 1818 H Street, N.W. Washington, DC 20433 United States of America Attention: Marianne Fay, Country Director (b) Electronic Delivery. The World Bank may permit the Recipient to electronically deliver to the Bank Applications (with supporting documents) through the Bank’s Client Connection, web-based portal. The option to deliver Applications to the World Bank by electronic means may be effected if: (a) the Recipient has designated in writing, pursuant to the terms of subparagraph (i) of this Section, its officials who are authorized to sign and deliver Applications and to receive secure identification credentials (“SIDC”) from the World Bank for the purpose of delivering such Applications by electronic means; and (b) all such officials designated by the Recipient have registered as users of Client Connection. If the World Bank agrees, the World Bank will provide the Recipient with SIDC for the designated officials. Following which, the designated officials may deliver Applications electronically by completing Form 2380, which is accessible through Client Connection (https://clientconnection.worldbank.org). The Recipient may continue to exercise the option of preparing and delivering Applications in paper form. The World Bank reserves the right and may, in its sole discretion, temporarily or permanently disallow the electronic delivery of Applications by the Recipient. (c) Terms and Conditions of Use of SIDC to Process Applications. By designating officials to accept SIDC and by choosing to deliver the Applications electronically, the Recipient confirms through the authorized signatory letter its agreement to: (a) abide by the Terms and Conditions of Use of Secure Identification Credentials in connection with Use of Electronic Means to Process Applications and Supporting Documentation (“Terms and Conditions of Use of SIDC”) provided in Attachment 2; and (b) to deliver the Terms and Conditions of Use of SIDC to each such official and to cause such official to abide by those terms and conditions. (d) Client Connection Web Site. From the Bank secure Web site, “Client Connection” (http://clientconnection.worlbank.org), you will be able to download applications for withdrawal, monitor the near real-time status of the grant, and retrieve related policy, financial, and procurement information. Any non-compliance with the provisions in this letter may result in the Bank’s application of the remedies provided for in Section 6 of the Annex to the Letter Agreement. Please contact us by email at AskLoans@WorldBank.org if you have any questions about withdrawal procedures, quoting Grant TF0B6669-PE as your reference. Very truly yours, INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT By________________________ Marianne Fay Country Director Bolivia, Chile, Ecuador and Peru Attachments: 1. Sample form for Authorized Signatures 2. Terms and Conditions of Use of Secure Identification Credentials in connection with Use of Electronic Means to Process Applications and Supporting Documentation, dated March 1, 2013 3. Sample Withdrawal Application 4. Format of Interim Unaudited Financial Report 5. Format of Expenditures Forecast Attachment 1 The World Bank 1818 H Street, N.W. Washington, D.C. 20433 United States of America Attention: Marianne Fay, Country Director Dear_____, Re: Authorized Signatory Letter for SPF Grant No. TF0B6669-PE for COVID-19 Emergency Response for Venezuelan Migrants and Refugees in Peru I refer to the Letter Agreement between the International Bank for Reconstruction and the International Organization for Migration (“Recipient”) providing the above grant. For the purposes of Section 4.4 of the Annex to the Letter Agreement, any < 1one> of the persons whose authenticated specimen signatures appear below is authorized on behalf of the Recipient to sign an Application for Withdrawal under this grant. This confirms that the Recipient is authorizing such persons to accept Secure Identification Credentials (SIDC) and to deliver the Applications and supporting documents to the Bank by electronic means. In full recognition that the Bank shall rely upon such representations and warranties, including without limitation, the representations and warranties contained in the Terms and Conditions of Use of Secure Identification Credentials in connection with Use of Electronic Means to Process Applications and Supporting Documentation (“Terms and Conditions of Use of SIDC”), the Recipient represents and warrants to the Bank that it will cause such persons to abide by those terms and conditions. This Authorization replaces and supersedes any Authorization currently in the Bank records with respect to this Agreement. 1 [name], [position] Specimen Signature: ____________________ [name], [position] Specimen Signature: ____________________ [name], [position] Specimen Signature: ____________________ Yours truly, / signed / _________________________ [position] 1 Instruction to the Recipient when sending this letter to the Bank: Stipulate if more than one person needs to sign applications, and how many or which positions, and if any thresholds apply. Attachment 2 Terms and Conditions of Use of Secure Identification Credentials in connection with Use of Electronic Means to Process Applications and Supporting Documentation March 1, 2013 The World Bank (Bank)1 will provide secure identification credentials (SIDC) to permit the Borrower2 to deliver applications for withdrawal and applications for special commitments under the Agreement(s) and supporting documentation (such applications and supporting documentation together referred to in these Terms and Conditions of Use as Applications) to the Bank electronically, on the terms and conditions of use specified herein. SIDC can be either: (a) hardware-based (Physical Token), or (b) software-based (Soft Token). The Bank reserves the right to determine which type of SIDC is most appropriate. A. Identification of Users. 1. The Borrower will be required to identify in a completed Authorized Signatory Letter (ASL) duly delivered to and received by the Bank each person who will be authorized to deliver Applications. The Bank will provide SIDC to each person identified in the ASL (Signatory), as provided below. The Borrower shall also immediately notify the Bank if a Signatory is no longer authorized by the Borrower to act as a Signatory. 2. Each Signatory must register as a user on the Bank’s Client Connection (CC) website (https://clientconnection.worldbank.org) prior to receipt of his/her SIDC. Registration on CC will require that the Signatory establish a CC password (CC Password). The Signatory shall not reveal his/her CC Password to anyone or store or record the CC Password in written or other form. Upon registration as a CC user, the Signatory will be assigned a unique identifying account name. B. Initialization of SIDC. 1. Prior to initialization of SIDC by a Signatory, the Signatory will acknowledge having read, understood and agreed to be bound by these Terms and Conditions of Use. 2. Where a Physical Token is to be used, promptly upon receipt of the Physical Token, the Signatory will access CC using his/her account name and CC Password and register his/her Physical Token and set a personal identification number (PIN) to be used in connection with the use of his/her Physical Token, after which the Physical Token will be initialized for use by the Signatory exclusively for purposes of delivering Applications. Where a Soft Token is to be used, the Signatory will access CC using his/her account name and CC Password and set a personal identification number (PIN) to be used in connection with the use of his/her Soft Token, after which the Soft Token will be initialized for use by the 1 “Bank” includes IBRD and IDA. 2 “Borrower” includes the borrower of an IBRD loan, IDA credit, or Project Preparation Facility advance and the recipient of a grant. Signatory exclusively for purposes of delivering Applications. Upon initialization of the SIDC, the Signatory will be a “SIDC User”. The Bank will maintain in its database a user account (Account) for each SIDC User for purposes of managing the SIDC of the SIDC User. Neither the Borrower nor the SIDC User will have any access to the Account. 3. Prior to first use of the SIDC by the SIDC User, the Borrower shall ensure that the SIDC User has received training materials provided by the Bank in use of the SIDC. C. Use of SIDC. 1. Use of the SIDC is strictly limited to use in the delivery of Applications by the SIDC User in the manner prescribed by the Bank in the Agreement(s) and these Terms and Conditions. Any other use of the SIDC is prohibited. 2. The Bank assumes no responsibility or liability whatsoever for any misuse of the SIDC by the SIDC User, other representatives of the Borrower, or third parties. 3. The Borrower undertakes to ensure, and represents and warrants to the Bank (such representation and warranty being expressly relied upon by the Bank in granting SIDC) that each SIDC User understands and will abide by, these Terms and Conditions of Use, including without limitation the following: 4. Security 4.1. The SIDC User shall not reveal his/her PIN to anyone or store or record the PIN in written or other form. 4.2. The SIDC User shall not allow anyone else to utilize his/her SIDC to deliver an Application to the Bank. 4.3. The SIDC User shall always logout from CC when not using the system. Failure to logout properly can create a route into the system that is unprotected. 4.4. If the SIDC User believes a third party has learned his/her PIN or has lost his/her Physical Token he/she shall immediately notify clientconnection@worldbank.org. 4.5. The Borrower shall immediately notify the Bank at clientconnection@worldbank.org of any lost, stolen or compromised SIDC, and take other reasonable steps to ensure such SIDC are disabled immediately. 5. Reservation of Right to Disable SIDC 5.1. The Borrower shall reserve the right to revoke the authorization of a SIDC User to use a SIDC for any reason. 5.2. The Bank reserves the right, in its sole discretion, to temporarily or permanently disable a SIDC, de-activate a SIDC User’s Account or both. 6. Care of Physical Tokens 6.1. Physical Tokens will remain the property of the Bank. 6.2. The Bank will physically deliver a Physical Token to each Signatory designated to receive one in a manner to be determined by and satisfactory to the Bank. 6.3. Physical Tokens contain delicate and sophisticated instrumentation and therefore should be handled with due care, and should not be immersed in liquids, exposed to extreme temperatures, crushed or bent. Also, Physical Tokens should be kept more than five (5) cm from devices that generate electromagnetic radiation (EMR), such as mobile phones, phone-enabled PDAs, smart phones and other similar devices. Physical Tokens should be carried and stored separate from any EMR device. At close range (less than 5 cm), these devices can output high levels of EMR that can interfere with the proper operation of electronic equipment, including the Physical Token. 6.4. Without derogating from these Terms and Conditions of Use, other technical instructions on the proper use and care of Physical Tokens are available at http://www.rsa.com. 7. Replacement 7.1. Lost, damaged, compromised (in terms of 4.5, above) or destroyed Physical Tokens will be replaced at the expense of the Borrower. 7.2. The Bank reserves the right, in its sole discretion, not to replace any Physical Token in the case of misuse, or not to reactivate a SIDC User’s Account. Attachment 3 Attachment 4 INTERIM FINANCIAL REPORT (IFR) The Interim Financial Report (IFR) will be issued by IOM in accordance with its respective rules, regulations, policies and procedures, upon the mandatory internal central financial certification review and endorsement and will detail: (i) Sources of funds = Revenues, (ii) Uses of funds = Expenses, (iii) Indirect cost service - IOM’s Overhead (5%) = Overhead, and (iv) Available = Closing Balance. The IFR will follow the below template. An unofficial extract from IOM’s ERP system will be also exceptionally annexed and any variation duly explained in a Reconciliation Note. Sample 1 of Attachment 4 – internal report extracted from PRISM for Current Period (USD) Sample 2 of Attachment 4 – internal report extracted from PRISM from start of the project (USD) Attachment 5 SPF Peru: Emergency Response for Venezuelan Migrants and Refugees Project FORECAST OF DISBURSEMENTS GRANT N°: EXPENDITURES FOR THE PERIOD (USD) BALANCE TOTAL BUDGET FOR NEXT COMPONENTS/ CATEGORIES EXPENDITURE ( USD ) PERIODS Month 1 Month 2 Month 3 S REQUIRED (USD) FOR THE PERIOD Component 1: Emergency Cash Transferences to Venezuelan Migrants and Refugees Category 1 - Cash transfers, goods, consultant´s services, non-consulting services, incremental operating costs and Indirect Cost Service to IOM Emergency cash transference - prepaid cards (3,000 630,000 households x USD 210) Emergency cash transference - mobile transfers (5,317 1,116,570 households x USD 210) Emergency cash transference - wire transfers (6,000 1,260,000 households x USD 210) Financial costs of cash transferences (14,023 households x 42,070 USD 3.0) Staff cost (including beneficiary identification, project implementation and supervision, and monitoring and 228,600 evaluation) Goods, Office and operational costs 55,900 Indirect cost service - IOM’s Overhead (5%) 166,657 TOTAL 3,499,797