OFFICIAL DOCUMENTS The World Bank 1818 H Street NW (202) 473-1C00 iNTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT Washirgton 0 C 20433 Cable Address INTBAFRAD INTERNATIONAL DEVELOPMENT ASSOCIATION USA Cable Address INDEVAS July _14 , 2017 Ni nister Augusto Archer de Sousa Mangueira Mimister Ministry of Finance Largo da Mutarmba I uanda, Republic of Angola FExcellency: Re: Loan No. 8702-AO (Angola Second Water Sector Institutional Development Project) Additional Instructions: Disbursement I refer to the Loan Agreement (-Agreement") between the Republic of Angola (the BorroWCr") and the International Bank for Reconstruction and Development (the "Bank") for the above-referenced project, of even date herewith. The Agreement pro%ide, that the Bank may issue additional instructions regarding the withdrawal of the proceeds of Loan No. 8702-AO ("Loan"). T his letter ("Disbursement letter"), as revised from timne to time. constitutes the additional instructions. The attached World Bank Disbursemennt Guidelines fir Projters, dated May 1, 2006. ('Disbursement Guidelines") (Attachment 1), are an integral part of the Disbursement Letter. The manner in which the provisions in the Disbursement Guidelines apply to the Financing is specified below Sections and subsections in parentheses below refer to the relevant sections and subsections In the Disbursement Guidelines and, unless otherwise defined in this letter, the capitalized terms used have the meanings ascribed to them in the Disbursement Guidelines. I. Disbursement Arrangements (i) Disbursement Methods (section 2). The following Disbursement Methods may be used under the loan Acvreement, * Reimbursement * Adance * Direct Payment eii) Disbursement Deadline Date (subsection 3.7). The )isburseinent Deadline Date is 4 months after the closing date specified in the I oan Agreement. Any changes to this date will be notified by the World Bank. (iii) Disbursement Conditions (subsection 3.8). Please refer to the Disbursement Condition(s) in Section B of Schedule 2, Section IV to the Loan Agreement. II. Withdrawal of PPA Proceeds (i Authorized Signatures (subsection 3.1). A letter in the form attached (attachment 2) should be furnished to the World Bank at the address indicated below providng the name(s) and specimen signature(s) of the official(s) authonzed to sign Applications: The World Bank Fargo Albano Machado 23 25 MIaculISSO Luanda, Angola Attention. Clara Ana Countinho de Sousa (ii) Applications (subsections 3 2 - 33. Please provide completed and signed (a) applications for withdrawal, together with supporting documents, to the address indicated below: The World Bank, Delta (enter, 13th Floor, Menengai Road, Upper IHill. Nairobi. Kenya. Attention: ILoan Department COntact Felephone number: 254 20 2936 000. (iii) Electronic Delivery (subsection 3.4). The World Bank mas permit the Recipient to electronicallv deliver to the World Bank Applications (with supporting documents) through the World 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 ("SlI)C") from the World Bank for the purpose of delivering such Applications by electronic means- and (b) all such officials designated by the Recipient have re2istered 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: chentconnection.worldbank org). The Recipient may continue to exercise the option ofpreparing and delivering Applications in paper form. The World Bank reserves the right and may, in its sole discretion, temporanly or permanently disallow the electronic delivery of Applications by the Recipient (iv) Terms and Conditions of Use of SDC to Process Applications. By designating officials to use SfDC and by choosng to deliver the Applications electronically. the Recipient cont1rms through the authorized signatory letter its agreement to ta) abide by the Terms and Condiuion of f s of 5*cur,, Identificaton Crcdenuals in coinnctinlon wath C' of El,czronic Veans to Process Alpplications and Supporting Docunentation ("Terms and Cond.tions of Use of Secure Identification Credentials") provided in Attachment 3; and (b) to cause such official to abide by those terms and conditions. (vA) Minimum Value of'Applications (subsection 3.5). The Minimum Value of Applications is USD 20,000 (vi) Advances (sections 5 and 6). * Type of Designated Accounts (subsection 5.3): 2 Segregated account * Currency of Designated Account[s] (subsection 5.4). USD * Financial Institution at which the Designated Account/s] Will Be Opened (subsection 5.5). The Designated Account will be opened at a Commercial Bank accepted by World Bank. * Ceiling (subsection 6.1): USD 3.000,000 Ill. Reporting on Use of Loan Proceeds (i) Supporting Documentation (section 4). Supporting docuimcntation should be provided with each application for withdrawal as set out bClow: * for requests for Reimbursement and for reporting expenditures paid from the Designated Account: Statement of Expenditure in the form attached (Attachment 4) for all expenditures * For requests for Direct Payment: records evidencing eligible expenditures, e.g., copies of receipts, supplier invoices (ii) Frequency of Reporting Eligible Expenditures Paid f*om the Designated 4ccount (subsection 6.3). Not less than quarterly. IN'. Other Important Information For additional information on disbursement arrangements. please refer to the Disbursement Handbook available on the World Bank's public website at http: www.worldbank.ore and its secure website -Client Connection" at http: cheniconnection.woridhark.org. Print copies are available upon request. Fron the Client Conmection website. you will be able to download Applications, monitor the near real-tunie status of the PPA, and retneve related policy, financial, and procurement intorniation. If you have not already done so, the World Bank recommends that you register as a user of the Client Connection website (http: - hencoIn ioon'wrldhanK,)?o I From this website you will be able to download Applications, monitor the near real-time status of the PPA, and retrieve related polic,. financial. and procurement information. for more information about the website and registration arrangements, please contact the World Bank by email at If you have any queries in relation to the above, please contact Jose Janeiro, Senior Finance Officer at jjaneiroaworldbank.org using the above reference. Yours sincerely. Ta By: Cla A C"u De ou 'a Attaciimients . World Bank Disbursement Guidelines for Pruiecis. dated May 1, 2006 0-2. Fomi for Authorized Signatures 3. Terns and Conditions ofUse of Secure Identification Credentials in connection w ith Use of Elctronu, Veans to Process Applications and Supporting )ocu,tation, dated March 1, 2013 4. Forrn of'Statemrnets of Expeniditure (SOE)