OFFICIAL THE WORLD BANK DOCUMENTS IBRD * IDA I WORLDBANKGROUP Date: Honourable Ken Ofori-Atta Minister for Finance Ministry for Finance Accra Ghana Honourable Minister: Re: IDA Financing No. 6310-GH (Ghana Financial Sector Development Project) Additional Instructions: Disbursement and Financial Information Letter (DFIL). I refer to the Financing Agreement between the Republic of Ghana (the "Recipient") and the International Development Association (the "Association") for the Ghana Financial Sector Development project. The General Conditions, as defined in the Financing Agreement, provide that the Recipient may request withdrawals of Financing funds in accordance with the instructions as the Association may specify by notice to the Recipient. The General Conditions also provide that the Disbursement and Financial Information Letter ("DFIL") may set out Project specific financial reporting requirements. This letter constitutes such DFIL, and as revised from time to time, provides such additional requirements. The Disbursement Guidelines for Investment Project Financing dated February 2017, (the "Disbursement Guidelines") are available in the Association's public website at https://www.worldbank.or2 and its secure website "Client Connection" at https://clientconnection.worldbank.orz. These Disbursement Guidelines are an integral part of this DFIL, and the manner in which the provisions in the guidelines apply to the Financing is specified below. I. Disbursement Arrangements, Withdrawal of Financing Funds and Reporting of Uses of Financing Funds. (i) Disbursement Arrangements. The table in Schedule 1 sets out the disbursement methods which may be used by the Recipient, conditions, information on registration of authorized signatures, processing of withdrawal applications (including minimum value of applications), instructions on supporting documentation, and frequency of reporting. (ii) Electronic Delivery- Section 10.01 (c) of the General Conditions. The Association may permit the Recipient to electronically deliver applications (with supporting documents) through the Association's web-based portal (https://clientconnection.worldbank.org) "Client Connection". This option may be affected if: (a) the Recipient has designated in writing, its officials who are authorized to sign and deliver Applications and to receive Secure Identification Credentials ("SIDC") from the Association 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". The designated officials may deliver Applications electronically by completing the Form 2380, which is accessible through "Client Connection". The Recipient may continue to exercise the option of preparing and delivering Applications in paper form. The Association reserves the right and may, in its sole discretion, temporarily or permanently disallow the electronic delivery of Applications by the Recipient. By designating officials to use 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 THE WORLD BANK IBRD* IDA I WORLDBANKGROUP Identification Credentials in connection with Use of Electronic Means to Process Applications and Supporting Documentation, available in the Association's public website at https://worldbank.org and "Client Connection"; and (b) to cause such official to abide by those terms and conditions. II. Financial Reports and Audits. (i) Financial Reports. The Recipient shall prepare and furnish to the Association not later than forty five (45) days after the end of each calendar quarter, interim unaudited financial reports (IFR) for the Project covering the semester, in the format agreed during negotiation and acceptable to the Bank. (ii) Audits. Each audit of the Financial Statements shall cover the period of one fiscal year of the Recipient, commencing with the fiscal year in which the first withdrawal was made (including that of the PPA). The audited Financial Statements for each such period shall be furnished to the Association not later than six (6) months after the end of such period. III. Other Important Information (i) Client Connection. For additional information on disbursement arrangements, please refer to the Loan Handbook available on the Association's public website and "Client Connection". The Association recommends that you register as a user of "Client Connection". From this website you will be able to prepare and deliver Applications, monitor the near real-time status of the Financing, and retrieve related policy, financial, and procurement information. For more information about the website and registration arrangements, please contact the Association by email at clientconnectiona@worldbank.org. (ii) Other. If you have any queries in relation to the above, please contact Maiada Kassem, Finance Officer with copy to Dilip Kumar, Finance Analyst at wfaldafr@worldbank.org using the following reference: IDA Financing No. 63 1O-GH (Ghana Financial Sector Development Project). Yours sincerely, Henry Kerali Country Director for Ghana Africa Region Attachments 1. Form of Authorized Signatory Letter 2. Interim unaudited Financial Report (IFR) Schedule 1 to DFIL Disbursement Arrangements Country Republic of Ghana Closing Date Section III.B.2. of Schedule 2 to Credit Recipient/Beneficiary Republic of Ghana the Financing Agreement Number -GH Name of the Project Financial Sector Development Project Disbursement Four months after the closing date Deadline Date Subsection 3.7 ** Disbursement Methods Methods Supporting Documentation Section 2 (**) Subsections 4.3 and 4.4 (**) Direct Payment Yes Copy of records Reimbursement Yes WA with the IFRs in the format provided in Attachment 2 to the DFIL Designated Account/ Yes WA with the IFRs in the format provided in Attachment 2 to the DFIL Advance Special Commitments Yes Copy of Letter of Credit Financial Institution - Name ank of Ghana. Ceiling Flexible Currency USD Forecast for 2 quarters are per Amount cleared IFR The minimum value of applications for Direct Payment, and Special Commitment is USD 100,000 equivalent The World Bank (IBRD) / The International Development Association (IDA) Delta Centre, 13th Floor, Menengai Road Nairobi, Kenya Tel: +254 20 2936 000 Attention: Loan Omerations Unit (WFACS) ** Sections and subsections relate to the "Disbursement Guidelines for Investment Project Financing", dated February 2017. Attachment 1 - Form of Authorized Signatory Letter [Letterhead] Ministry of Finance [Street address] [City] [Country] [DATE] The World Bank 1818 H Street, N.W. Washington, D.C. 20433 United States of America Attention: Mr. Henry G. R. Kerali, Country Director Re: Financing No. -GH (Ghana Financial Sector Development Project) I refer to the Financing Agreement ("Agreement") between the International Development Association (the "Association") and the Republic of Ghana (the "Recipient"), dated providing the above Financing. For the purposes of Section 2.02 of the General Conditions as defined in the Agreement, any '[one] of the persons whose authenticated specimen signatures appear below is authorized on behalf of the Recipient to sign applications for withdrawal [and applications for a special commitment] under this Financing. For the purpose of delivering Applications to the Association, 2[each] of the persons whose authenticated specimen signatures appears below is authorized on behalf of the Recipient, acting 3[individually] 4[jointly), to deliver Applications, and evidence in support thereof on the terms and conditions specified by the Association. 5[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 Association by electronic means. In full recognition that the Association shall rely upon such Instruction to the Recipient: Stipulate if more than one person needs to sign Applications, and how many or which positions, and if any thresholds apply. Please delete this footnote in final letter that is sent to the Association. 2 Instruction to the Recipient: Stipulate if more than one person needs to jointly sign Applications, if so, please indicate the actual number. Please delete this footnote in final letter that is sent to the Association. Instruction to the Recipient: Use this bracket if any one of the authorized persons may sign; if this is not applicable, please delete. Please delete this footnote in final letter that is sent to the Association. SInstruction to the Recipient: Use this bracket oaly if several individuals must jointly sign each Application; if this is not applicable, please delete. Please delete this footnote in final letter that is sent to the Association. * Instruction to the Recipient: Add this paragraph if the Recipient wishes to authorize the listed persons to accept Secure Identification Credentials and to deliver Applications by electronic means; if this is not applicable, please delete the paragraph. Please delete this footnote in final letter that is sent to the Association. 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 Association that it will cause such persons to abide by those terms and conditions.] This Authorization replaces and supersedes any Authorization currently in the Association records with respect to this Agreement. [Name], [position] Specimen Signature: [Name], [position] Specimen Signature: [Name], [position] Specimen Signature: Yours truly, / signed / [Position] Attachment 2 - Interim unaudited Financial Reports (IFRs) Ministry of Finance FINANCIAL SERVICES DIRECTORATE (PIU) Ghana: GHANA FINANCIAL SECTOR DEVELOPMENT PROJECT Credit No. IDA XXXXX INTERIM FINANCIAL REPORT (IFR) FOR THE QUARTER ENDED - XXXXX Prepared: Project Accountant .................................................... Reviewed By: Head of Accounts....................................................... -7- PROJECT IMPLEMENTING ENTITY: Ministry of Finance PROJECT NAME: Ghana: GHANA FINANCIAL SECTOR DEVELOPMENT PROJECT IBRD CREDIT/GRANT NO. IA---- REPORT: INTERIM FINANCIAL REPORT (IFR) THIS SCHEDULE: STATEMENT OF SOURCES AND USES OF FUNDS - COMPONENT PERIOD OF REPORT: QUARTER: ENDING -XXXXX REPORTING CURRENCY: US DOLL ARS Cunnt Y.er- CumuaIe Referece to Quater Dat. t Date Detail openingtseh B.. a IDA Designated Accout A -USD Project Bank Accoums -Local Currency (if any) Interest Account Cash-in hand TOTAL OPENING BALANCES A A Add: Funds RetehNed during the qu.r-er/P.riod IDA Designated Accoun A -USD Project Bank Accounts -Local Currency Others - interest Earned - USD Acc TOTAL FUNDS RECEIVED DURING THE PERIOD B B TOTAL FUNDS AVAILABLE CuIA.0) C=IA.B)_ DA * Less: Uses of funds, by Project Components Component ACCOUNT Component 1 -Improving Financlel Sector Regulatory Oversight and Market Transparency and Discipline Goods 1 Works 1 Consultancy & Non Consultancy Services 1 Sub Total For Component 1 Component 2 -increasing the Operational Efficiency and 2 Outreach of SOis and VSLAs Goods 2 Works 2 Consultancy & Non Consultancy Services 2 Sub Total For Component 2 Component 3 -Bolstering Financial Capacity and Consurner 3 Protection Goods 3 Works S Consultancy & Non Consultancy Services 3 Sub Total For Component 3 Component 4 -Enhancing the Capacity for the Implementation and Monitoring of Financial Sector Policies 4 and Support Prolect Implementation Goods 4 Works 4 Consultancy & Non Consultancy Services 4 Sub Total For Component 4 Component 5 - Project Management, M&E etc S Goods 5 Works 5 Consultancy Fo NoonCnsultancy Services Total Project Expenditure for the Period D Net Cash Available E=C-D ____ Closing bank balances IDADesign,ated AccountA-USD Project Bank Accounts -Local Currency Interest Accoun Total Closing bank Bel-anse Difference - to be exphla h-f-I h_f-g Av Exch Rate For the Period PROJECT IMPLEMENTING ENTITY: Ministry of Finance PROJECT NAME: Ghana: GHANA FINANCIAL SECTOR DEVELOPMENT PROJECT IBRD CREDIT/GRANT NO. IDA......... REPORT: INTERIM FINANCIAL REPORT (IFR) THIS SCHEDULE: STATEMENT OF SOURCES AND USES OF FUNDS - CATEGORY PERIOD OF REPORT: QUARTER ENDING -XXXXX REPORTING CURRENCY: US DOLLARS Current Yearto Cumulative Referece to Quarter Date to Date Detail Opening cash Balances IDA Designated Account A -USD Project Bank Accounts -Local Currency interest Account Cash-in hand TOTAL OPENING BALANCES A A - Add: Funds Received during the quarter/Period IDA Designated Account A -USD Project Bank Accounts -Local Currency Others - Interest Earned - USD Acc TOTAL FUNDS RECEIVED DURING THE PERIOD B 8 _ -_-_- TOTAL FUNDS AVAILABLE C =(A +B ) C=(A+B) Less: Uses of funds, by Project Category Category (1) Goods, Works, Consultants' services, Non Consultancy Service, Operating Costs, and Training and Workshops under Part X of the 1 Project Total Project Expenditure for the Period - By Categorie4 D D Net Cash Available E=C-D E=C-D Closing bank balances IDA Designated Account A -USD Project Bank Accounts -Local Currency Interest Account- Total Closing Bank Balances g g Difference - to be explained h=f-g h=f-g - Av Exch Rate For the Period PROJECT IMPLEMENTING ENTITY: Mibtv of Fitane PROJECT NAME: Ghana: GHANA FINANCIAL SECTOR DEVELOPMENT PROJECT IBRD CREDIT/GRANT NO. IDA_------__ REPORT: INTERIM FINANCIAL REPORT (IFR) THIS SCHEDULE: Activity and Variance Report - By Components/Sub Component (AWP &B) PERIOD OF REPORT: QUARTER ENDING -XXXXX REPORTING CURRENCY: US DOLLARS CURRENT QUARTER YEAR TO DATE CUMMULATIVE TO DATE Uses of Funds By Project Components/AWP Budget Aetual Va.n.. lBdgt A8al Va.nee Budget Aoal Vainb Per P" us 1 Us US$ uUs US$ Uss uss us us* uss compone- Description Component 1 -improving Financial Sector 1 Regulatory Oversight and Market Transparency and Discipline Sub component 1 Sub component 2 Sub component 3 2 Component 2 -Increasing the Operational Efficiency and Outreach of SDis and VSLAs Sub component 1 Sub component 2 Sub component 3 3 Component 3 -Bolstering Financial Capacity and Consumer Protection Sub component 1 Sub component 2 Sub component 3 omponen a -cnnancing mC tapau'y Yur me 4 Implementation and Monitoring of Financial Sector Policies and Support Project Sub component 1 Sub component 2 Sub component 3 S Component 5 - Project Management, M&E etc Goods Consulting & Non Consulting Training and Operating Cost TOTAL - - - - - PROJECT IMPLEMENTING ENTITY: Ministry of Finance PROJECT NAME: Ghana: GHANA FINANCIAL SECTOR DEVELOPMENT PROJECT IBRD CREDIT/GRANT NO. IDA. REPORT: INTERIM FINANCIAL REPORT (IFR) THIS SCHEDULE: Designated Account Reconciliation Statement PERIOD OF REPORT: QUARTER ENDING -XXXXX REPORTING CURRENCY: US DOLLARS 1. Cumulative advances to the end of current reporting period 2. Cumulative expenditures to the end of last reporting period 3. Outstanding advance to be accounted for (Line 1 minus Line 2) 4. Opening DA balance at beginning of reporting period, as of 5. Add/subtract: cumulative adjustments, if any 6. Add: Advances from World Bank during current reporting period 7. Add Line 5 and Line 6 8. Outstanding advances to be accounted for (Add Line 4 and Line 7) 9. Closing DA balance at end of current reporting period, as of 10. Add/subtract: cumulative adjustments, if any 11. Add/subtract: Expenditures for the current reporting period 12. Add Line 10 and Line 11 13. Add Line 9 and Line 12 14. Difference, if any (Line 813) 15A. Total forecast amount to be paid by World Bank 15B. WA # xxx sent but not yet received 15C. Total adjusted forecast amount to be paid by World Bank (Line 15A minus Line 15B) 16. Less: Closing DA balance after adjusments 17. Adjustments (if any) 18. Add Line 16 and Line 17 19. Cash requirement/(Or not) from World bank for next two reporting periods (Line 15C minus Line 18) PROJECT IMPLEMENTING ENTITY: Miniry of Finance PROJECT NAME: Ghana: GHANA FINANCIAL SECTOR DEVELOPMENT PROJECT IBRD CREDIT/GRANT NO. REPORT: INTERIM FINANCIAL REPORT (IFR) THIS SCHEDULE: LIST CONTRACTS SUBJECT TO PRIOR REVIEW PERIOD OF REPORT: QUARTER ENDING -XXXXX REPORTING CURRENCY: US DOLLARS [REPORTING CURRENCY: UNITED STATES DOLLAR (USD$) DATE OF WB NON- AMOUNT PAID OUTSTANDI DATE OF CURRENCY OF CONTRACT OBJECTION TO TO SUPPLIER NG CONTRACT NUMBER SUPPLIER CONTRACT CONTRACT AMOUNT CONTRACT DURING PERIOD BALANCE