Page 1 THE REPUBLIC OF UGANDA May 14, 1998 International Development Association 1818 H Street, N.W. Washington, D.C. 20433 United States of America Re: Credit No. 3064 UG (El Niño Emergency Road Repair Project) Development Credit Agreement (Schedule 4) Performance Indicators Dear Sirs: We are pleased to refer to Schedule 4 to the above-mentioned Development Credit Agreement and, more particularly, to paragraph 1 (a) thereof, and to confirm, on behalf of The Republic of Uganda (the Borrower), that the performance indicators agreed upon between the Borrower and the Association for the purposes of the Project are as shown in the Annex to this letter. It is our understanding that, in making the above Credit, the Association may rely on the statements herein set forth or referred to. Very truly yours, THE REPUBLIC OF UGANDA By /s/ Edith G. Ssempala Authorized Representative