OFFICIAL DOCUMENTS LOAN NUMBER IBRD 8804-JO CFF TF NUMBER TF0A6420-JO CFF TF NUMBER TF0A6421-JO Loan Agreement (Jordan Education Reform Support Program) between THE HASHEMITE KINGDOM OF JORDAN and INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT LOAN NUMBER IBRD 8804-JO CFF TF NUMBER TF0A6420-JO CFF TF NUMBER TFOA642I-JO LOAN AGREEMENT AGREEMENT dated as of the Signature Date between THE HASHEMITE KINGDOM OF JORDAN ("Borrower") and INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT ("Bank"). WHEREAS, (A) following an international effort to provide development support to countries most affected by refugees in the Middle East region; and having satisfied itself as to the feasibility and priority of the Program and the Project aimed at expanding access to early childhood education, and improving student assessment and teaching and learning conditions for Jordanian and Syrian refugee children, as further described in Schedule I to this Agreement, the Borrower has requested the Bank to extend a loan to assist in the financing of the Program and the Project; (B) funding from the Concessional Financing Facility was received by the Bank for purposes of providing concessionality under this Agreement; and (C) under the terms of a Financial Procedures Arrangement with the Trustee of the Concessional Financing Facility dated August 10, 2016, the Bank has agreed to provide additional funds to the Borrower (the Concessional Portion of the Loan as hereinafter defined) as part of an integrated lending operation under the terms of this Agreement. NOW THEREFORE, the Borrower and the Bank hereby agree as follows: ARTICLE I - GENERAL CONDITIONS; DEFINITIONS 1.01. The General Conditions (as defined in the Appendix to this Agreement) apply to and form part of this Agreement, 1.02. Unless the context requires otherwise, the capitalized terms used in this Agreement have the meanings ascribed to them in the General Conditions or in the Appendix to this Agreement. ARTICLE I - LOAN 2.01. (a) The Bank agrees to extend to the Borrower, on the terms and conditions set forth or referred to in this Agreement, a loan in the amount of two hundred million United States Dollars (USD $200,000,000) ("Loan") consisting of the following: (i) a non-concessional portion of the Loan in an amount of one hundred forty- seven million seven hundred thousand United States Dollars (USD $147,700,000), as such amount may be converted from time to time through a Currency Conversion ("Non-Concessional Portion of the Loan"); and (ii) a concessional portion of the Loan in an amount of fifty-two million three hundred thousand United States Dollars (USD $52,300,000) ("Concessional Portion of the Loan"). (b) The Loan shall assist in financing: (i) the program described in Part I of Schedule I to this Agreement ("Program"); and (ii) the project described in Part 2 of Schedule I to this Agreement ("Project") (the Program and the Project hereinafter jointly referred to as the "Operation"). 2.02. The Borrower may withdraw the proceeds of the Loan in accordance with Section IV of Schedule 2 to this Agreement. All withdrawals from the Loan Account to which the amount of the Loan allocated to the Program is credited shall be deposited by the Bank into an account specified by the Borrower and acceptable to the Bank. 2.03. The Front-end Fee payable by the Borrower is one quarter of one percent (0.25%) of the Non-Concessional Portion of the Loan. 2.04. (a) The Commitment Charge is one quarter of one percent (0.25%) per annum on the Unwithdrawn Balance of the Non-Concessional Portion of the Loan. (b) The Commitment Charge shall not be applied to the Concessional Portion of the Loan. 2.05. (a) The interest rate is the Reference Rate plus the Fixed Spread; or such rate as may apply following a Conversion; subject to Section 3.02(e) of the General Conditions. (b) The Concessional Portion of the Loan shall be made on a non-reimbursable basis. 2.06. The Payment Dates are May 15 and November 15 in each year. 2.07. The principal amount of the Non-Concessional Portion of the Loan shall be repaid in accordance with Schedule 3 to this Agreement. ARTICLE III -OPERATION 3.01. The Borrower declares its commitment to the objective of the Operation. To this end, the Borrower shall carry out the Operation in accordance with the provisions of Article V of the Program General Conditions, Article V of the Project General Conditions and Schedule 2 to this Agreement. ARTICLE IV-REMEDIES OF THE BANK 4.01. The Additional Event of Suspension consists of the following, namely that any legislation, license or other legal instrument related to the implementation of the Operation has been amended, suspended, abrogated, repealed or waived so as to affect materially and adversely the achievement of the objective of the Operation, or the ability of the Borrower to implement the Operation. 4.02. The Additional Event of Acceleration consists of the following, namely, that the event specified in Section 4.01 of this Agreement occurs and is continuing for a period of sixty (60)days after notice of the event has been given by the Bank to the Borrower. ARTICLE V - EFFECTIVENESS; TERMINATION 5.01. The Effectiveness Deadline is the date ninety (90) days after the date of this Agreement. ARTICLE VI- REPRESENTATIVE; ADDRESSES 6.01. The Borrower's Representative is its Minister responsible for planning and international cooperation. 6.02. For purposes of Section 10.01 of the General Conditions: (a) the Borrower's Address is: Ministry of Planning and International Cooperation Post office Box 555 Amman, 11118 The Hashemite Kingdom of Jordan (b) the Borrower's Electronic Address is: Facsimile: +962-6-464 9341 6.03. For purposes of Section 10.01 of the General Conditions: (a) the Bank's Address is: International Bank for Reconstruction and Development 1818 H Street, N.W. Washington, D.C. 20433 United States of America (b) the Bank's Electronic Address is: Telex: Facsimile: 248423(MCI) or 1-202-477-6391 64145(MCI) -4- AGREED as of the Signature Date. THE HASHEMITE KINGDO RD N By Authorized Re sentative Name: Imad Najib Fakhoury Title: _Minister Date: 12 December 2017 INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT By Authorized Represeittive Name: -Hafez Ghanem Title: _Regional Vice President Date: 12 December 2017 -5- SCHEDULEI Operation Description The objective of the Operation is to expand access to early childhood education, and to improve student assessment and teaching and learning conditions for Jordanian and Syrian refugee children. The Operation consists of the Program and the Project as follows: Part 1: The Program The Program supports part of the National Education Sector Plan, and consists of the following activities: Part A. Expanding Access and Improving Quality of Early Childhood Education Carrying out a program of activities aimed at expanding access and enhancing quality of KG2 education (early childhood education) through, inter alia: (1) exploring public-private partnership modalities; (2) supporting the development and implementation of a harmonized quality assurance system for public and private KG2s; and (3) rolling-out an in-service training program to improve teaching practices in KG2 classrooms. Part B. Improving Teaching and Learning Conditions Carrying out a program of activities aimed at improving the teaching and learning conditions through, inter alia: (1) improving the selection, preparation, and management of teachers and strengthening capacity of school leaders; (2) fostering positive student and teacher behavior and children's socioemotional learning; and (3) improving the physical school environment including through enhancement of maintenance services in schools. Part C. Reforming the Student Assessment and Certification System Carrying out a program of activities aimed at reforming the student assessment and certification system through, inter alia, strengthening MoE's ability to measure and monitor student learning at all grade levels, and including the reform of school certification systems and the institutionalization of an early grade diagnostic learning assessment. Part D. Strengthening Education System Management Carrying out a program ofactivities aimed at strengthening education system management through, inter alia, strengthening MoE's capacity to manage an increasing number of schools and students, and to provide and enhance the tools and resources available to MoE for decision-making and implementation, including information systems such as the operationalization of the GIS and strengthening the existing OpenEMIS. -6- Part 2: The Project The Project consists of the following activities, namely the provision of selected technical assistance and capacity building, including through the provision of consulting services and Training related to the Program activities described in Part I of this Schedule, for strengthening environmental social safeguards and procurement systems. and for the audit of the Operation, including engagement ofthe independent verification agenc(y"ies). -7. SCHEDULE2 Operation Execution Section 1. Implementation Arranpements A. Operation Institutions 1. The Borrower shall: (a) carry out the Operation through its MoE and the MoE's relevant directorates in coordination and collaboration with the Borrower's other ministries including MoPWH, as needed, and as further set forth in the Operations Manual; (b) maintain at all times during Operation implementation the DCU in MoE, with terms of reference, mandate, composition and resources satisfactory to the Bank; (c) ensure that the MoE, through the DCU, is responsible for: (i) the overall coordination of Operation implementation including monitoring and evaluation and the preparation of semi-annual progress reports; (ii) the hiring of, and interfacing with, verification entities and independent verification agencies; (iii) carrying out technical audits; (iv) facilitating financial audits for the Program; and (v) coordinating the procurement and financial management processes, all in accordance with the provisions of this Agreement and the Operations Manual; and (d) not later than one (1) month after the Effective Date, establish and thereafter maintain during the period of implementation of the Operation, the GPSC, with terms of reference, mandate, composition and resources satisfactory to the Bank, to oversee the coordination and monitoring of the Operation. 2. (a) The Borrowershall, not later than three (3) months after the Effective Date, prepare and adopt the Operations Manual for the Operation, in form and substance acceptable to the Bank, containing detailed: (i) administrative, procurement, financial management, and monitoring and evaluation procedures; (ii) environmental and social management systems and complaints and grievance redress mechanism; (iii) Program Action Plan; (iv) arrangements for verification of achievement of the DLRs (including the Verification Protocol); and (v) coordination and oversight arrangements for the Operation. (b) The Borrower shall: (i) furnish the draft Operations Manual to the Bank for its review; (ii) afford the Bank a reasonable opportunity to exchange views with the Borrower on the draft Operations Manual; and (iii) thereafter adopt such Operations Manual as shall have been approved by the Bank. (c) The Borrower: (i) shall ensure that the Operation is carried out in accordance with the Operations Manual; and (ii) shall not assign, amend, abrogate, or waive, or permit to be assigned, amended, abrogated, or waived, any of its provisions without the prior written agreement of the Bank. B. Additional Program Implementation Arrangements I. The Borrower shall carry out the Program Action Plan, or cause the Program Action Plan to be carried out, in accordance with the schedule set out in the said Program Action Plan in a manner acceptable to the Bank. 2. Except as the Bank may agree after consultation with the Borrower, the Borrower shall ensure that the Program Action Plan is not amended, waived, suspended, terminated or abrogated. C. Verification Protocol I. The Borrower shall: (a) not later than four (4) months after the Effective Date, recruit an independent verification agency or independent verification agencies, as the case may be, under terms of reference satisfactory to the Bank, to be responsible for preparing and providing verifications reports in accordance with the Verification Protocol, certifying the achievement of those DLRs indicated to be verified by such independent verification agency or agencies in the Verification Protocol; (b) ensure that the independent verification agency prepares and provides verifications reports in accordance with the Verification Protocol, certifying the achievement of those DLRs indicated to be verified by the independent verification agency in the Verification Protocol; and (c) furnish the verification reports to the Bank in such scope and in such details as the Bank shall request. 2. Said verification and verification reports shall be carried out and prepared in compliance with the procedures set forth in the Verification Protocol and the Operations Manual. D. Safeguard Requirements for the Project In carrying out activities under the Project, the Borrower shall ensure that all technical assistance under the Project, application of whose results would have environmental or social implications, shall only be undertaken pursuant to terms of reference reviewed and found satisfactory by the Bank, such terms of reference to ensure that the technical assistance takes into account, and calls for application of the Bank's environmental and social safeguards policies and the Borrower's own laws relating to the environment and social aspects. Section II. Excluded Activities The Borrower shall ensure that the Program excludes any activities which: A. in the opinion of the Bank, are likely to have significant adverse impacts that are sensitive, diverse, or unprecedented on the environment andior affected people; or B. involve the procurement of: (1) works, estimated to cost $50,000,000 equivalent or more per contract; (2) goods, estimated to cost $30,000,000 equivalent or more per contract; (3) non-consulting services, estimated to cost S30,000,000 equivalent or more per contract; or (4) consulting services, estimated to cost $15,000,000 equivalent or more per contract. Section III. Profram and Project Monitorine. Renortine and Evaluation The Borrower shall furnish to the Bank each Program Report and Project Report not later than one month after each calendar semester, covering the calendar semester. Section IV. Withdrawal of Loan Proceeds A. General 1. Without limitations upon the provisions of Article II of the Program General Conditions and Article II of the Project General Conditions and in accordance with the Disbursement and Financial Information Letter, the Borrower may withdraw the proceeds of the Loan to: (a) pay the Front-end Fee; (b) with respect to the Program, finance the results ("Disbursement Linked Results" or "DLRs") achieved by the Borrower, as measured against specific indicators ("Disbursement Linked Indicators" or "DLls") in the amount allocated from the Loan against Categories (1) through (8) of the table below; and (c) with respect to the Project, finance Eligible Expenditures in the amount allocated from the Loan and, if applicable, up to the percentage set forth against Category (9) of the table below. -10- Category Disbursement Amount of the Amount of the Amount of Disbursement Percentage of (including Linked Result Non- Concessional the Calculation Eligible Disbursement (as applicable) Concessional Portion of the Concessional Formula Expenditures Linked Indicator as Portion of the Loan Portion of to be financed applicable) Loan Allocated to the Loan (Amounts (inclusive of Allocated the Program Allocated to Allocated Taxes) (expressed in (expressed in the Project proportionally USD) USD) (expressed between Non- in USD) Concessional Portion of the Loan and the Concessional Portion of the Loan) (1) DLI #1: Number DLR# 1.1: 11,077,500 3,922,500 Not DLR# 1.1: Starting Not applicable of Syrian refugee Number of Applicable in AY18, children enrolled in Syrian refugee US$100,000 for Target Schools children enrolled every 1000 Syrian in Target refugee children Schools at the enrolled in Target basic and Schools at the basic secondary and secondary education level education level in each AY, up to a maximum of USS3,000,000 in each AY. For each subsequent AY, the number of students enrolled in the previous year against which the Bank disbursed under this DLR 1.1 is subtracted. DLR# 1.2: 3,692,500 1,307,500 DLR# 1.2: Number of From a Baseline of Syrian refugee 2500, US$50,000 children enrolled for every 100 in Target additional students Schools at KG2 in each AY, starting level in AY 2018, up to the allocated amount. For each subsequent AY, the number of students enrolled in the previous year against which the Bank disbursed under this DLR 1.2 is subtracted. (2) DLI #2: Number DLR#2: 11,077,500 3,922,500 Not DLR#2: From a Not applicable of additional children Number of Applicable Baseline of 80,000, enrolled in public and additional US$50,000 for every private K02 children 100 additional enrolled in students enrolled in each AY, starting in -12- public and AY 2018, up to the private KG2 allocated amount. For each subsequent AY, the number of students enrolled in the previous year against which the Bank disbursed under this DLR 2 is subtracted. (3) DLI #3: Improved DLR#3.1: 2,954,000 1,046,000 Not DLR#3.l: Not applicable quality assurance Comprehensive Applicable USS4,000,000 by system for KG 2 and harmonized Closing Date. schools quality assurance system adopted for public and private KG2 schools DLR#3.2: 5,908,000 2,092,000 DLR#3.2: For 30/6 Percentage of of KG2 schools KG2 schools assessed, assessed through $3,000,000; for 60% the newly of KG2 schools established assessed, additional quality $3,000,0000; for assurance 80% of KG2 schools system assessed, the remaining balance of $2,000,000. DLR#3.3:. 5,908,000 2,092,000 - 13- Percentage of public KG2 teachers that DLR#3.3: From a have completed Baseline of 0, for the KG in. every one (I) service training percentage point modules increase in percentage of KG2 teachers completing the KG in-service training modules pre-agreed by the WB, US$85,000, up to a maximum of US$8,000,000. For each subsequent AY, the percentage point increase in the previous years against which the Bank disbursed under this DLR 3.3 is subtracted. DLR#3.4: 5,169,500 1,830,500 Percentage of KG2 schools that have DLR#3.4: For 25% improved of schools with quality as per the improved quality, quality US$7,000,000 by assessment Closing Date. system. - 14- (4) DLI #4: DLR#4.l: New 4,431,000 1,569,000 Not DLR#4.l: Not applicable Strengthened teacher national teacher Applicable USS6,000,000 by preparation and professional Closing Date. management standards ("NTPS") adopted and disseminated DLR#4.2: 4,431,000 1,569,000 DLR#4.2: Teacher USS6,000,000 by evaluation Closing Date. framework adopted and disseminated DLR#4.3: 5,169,500 1,830,500 DLR#4.3: Number of US$140,000 for newly appointed every 100 newly teachers appointed teachers evaluated evaluated, up to a against the maximum of 5000 NTPS using the teachers. teacher evaluation framework DLR#4.4: 11,077,500 3,922,500 DLR#4.4: Number of K- 12 US$500,000 for teachers trained every 1,000 teachers and certified certified, up to a maximum of 30,000 teachers. (5) DLI #5: Improved DLR#5.l: 2,954,000 1,046,000 Not DLR#5.1: Not applicable school climate in School program Applicable USS4,000,000 by schools with high for improving Closing Date. proportion of Syrian student refugee children socioemotional learning designed and tested in schools DLR#5.2: 2,954,000 1,046,000 DLR#5.2: Percentage of Upon High Proportion implementation of Schools socioemotional implementing learning program in the 70% of High socioemotional Proportion Schools, learning USS4,000,000 by program Closing Date. -16- (6) DLI #6: DLR#6. 1: 3,692,500 1,307,500 Not DLR#6.J: Not applicable Improved physical Improved Applicable USS5,000,000 by environment maintenance Closing Date. system adopted DLR#6.2: Legal framework 3,692,500 1,307,500 DLR#6,2: approved for US$5,000,000 by allowing transfer Closing Date. of school-level maintenance and upkeep budget to schools DLR#6.3: Number of schools that are 1,477,000 523,000 DLR#6.3: using a Upon reaching maintenance and 3000 schools that upkeep budget are using a maintenance and upkeep budget, USS2,000,000 by Closing Date. - 17 - (7) DLI #7: DLR#7. 1: 3,692,500 1,307,500 Not DLR#7. 1: Not applicable Improved student National Applicable US$5,000,000 by assessment system assessment Closing Date. strategy adopted DLR#7.2: Grade 5,169,500 1,830,500 DLR#7.2: 3 diagnostic test USS7,000,000 by on early grade Closing Date. reading and math implemented in all Target Schools DLR#7.3: 6,292,020 2,353,500 DLR#7.3: First phase of US$9,000,000 by Tawjihi Exam Closing Date. reform completed and action plan for reform rollout is produced DLR#7.4: 5,169,500 1,830,500 DLR#7.4: Legal USS7,000,000 by framework for Closing Date. reform of the Tawj ihi Exam has been adopted so that its - 18- secondary graduation and certification function is separated from its function as a screening mechanism for university entrance (8) DLI #8: DLR#8.l: 2,215,500 784,500 Not DLR#8.l: Not applicable Increased availability Geographical Applicable USS3,000,000 by of resources and tools Information Closing Date. for the Program System ("GIS") is operational and updated with latest data required for management of the education system. DLR#8.2: 33,232,500 11,767,500 DLR#8.2: Approved annual MOE USSI 1,000,000 if budget reflects MoE 2019 budget an increase of reflects the USS134,000,000 minimum amount of for the Program JOD 949,555,000, - 19- as indicated in the 2017 budget law; USS12,000,000 if MoE 2020 budget reflects a minimum increase of USS50,000,000 million from 2019 indicative budget (as reflected in the 2017 budget law); US$11,000,000 if MoE 2021 budget reflects a minimum increase of USS50,000,000 from 2019 indicative budget (as reflected in the 2017 budget law); and $11,000,000 if MoE 2022 budget reflects a minimum increase of USS34,000,000 from 2019 indicative budget (as reflected in the 2017 budget law). - 20- (9) Consulting services Not applicable 5,893,230 Not Applicable 2,092,000 Not Applicable 100% and Training (10) Front-end Fee Not applicable 369,250 Not Applicable Not Not applicable Amount Applicable payable pursuant to Section 2.03 of this Agreement in accordance with Section 2.05(b) of the Program General Conditions and Section 2.07(b) of the Project General Conditions TOTAL AMOUNT Not Applicable 147,700,000 50,208,000 2,092,000 Not Applicable -21 B. Withdrawal Conditions for the Program; Withdrawal Period I Notwithstanding the provisions of Part A of this Section, no withdrawal shall be made: (a) from the Loan Account unless each withdrawal is made on a pari passu basis and at a 73.85%: 26.15% ratio between the amount of the Non-Concessional Portion of the Loan allocated and the amount of the Concessional Portion of the Loan allocated; and (b) for any DLR under Category (1) through Category (8), until and unless the Borrower has furnished evidence satisfactory to the Bank that said DLR has been achieved. 2. Notwithstanding the provisions of Part B. I(b) ofthis Section, the Borrower may withdraw: (i) an amount not to exceed S 56,716,800 from the Non-Concessional Portion of the Loan. and (ii) $20,083,200 from the Concessional Portion of the Loan, respectively as an advance; provided, however, that if the DLRs in the opinion of the Bank, are not achieved (or only partially achieved) by the Closing Date, the Borrower shall refund such advance (or portion of such advance as determined by the Bank in accordance with the provisions of paragraph (3) of this Part B to the Bank promptly upon notice thereof by the Bank. Except as otherwise agreed with the Borrower, the Bank shall cancel the amount so refunded. Any further withdrawals requested as an advance under any Category shall be permitted only on such terms and conditions as the Bank shall specify by notice to the Borrower. 3. Notwithstanding the provisions of Part B.I(b) of this Section, if any of the DLRs have not been achieved, the Bank may, by notice to the Borrower* (a) authorize: (i) the withdrawal of such lesser amount of the unwithdrawn proceeds of the Loan then allocated to said Category which, in the opinion of the Bank, corresponds to the extent of achievement of said DLR, said lesser amount to be calculated in accordance with the Disbursement Calculation Formula set out in the sixth column of the table in Section IV.A.2 of this Schedule; and (ii) the disbursement of previously undisbursed amounts allocated to the respective DLR, if and when the Bank shall be satisfied, on the basis of satisfactory evidence, that a partially achieved DLR for which a lesser amount has been disbursed pursuant to subparagraph (i) above has been fully achieved; (b) reallocate all or a portion of the proceeds of the Loan then allocated to said DLR to any other DLR; and/or (c) cancel all or a portion of the proceeds of the Loan then allocated to said DLR. C. Withdrawal Conditions for the Project - 22 - Notwithstanding the provisions of Section IV.A of this Schedule, with respect to the Project, no withdrawal shall be made for payments made in respect of the Project prior to the Signature Date. D. Operation Withdrawal Period The Closing Date is May 31, 2023. -23- SCHEDULE3 Commitment-Linked Amortization Repayment Schedule The following table sets forth the Principal Payment Dates of the Non-Concessional Portion of the Loan and the percentage of the total principal amount of the Non-Concessional Portion of the Loan payable on each Principal Payment Date ("Installment Share"). Principal Payment Date Installment Share On each May 15 and November 15 Beginning November 15, 2022 1.64% through May 15, 2052 On November 15, 2052 1.60% -24- APPENDIX Section I. Definitions 1. "Anti-Corruption Guidelines" means: (a) for purposes of paragraph 5 of the Appendix to the Program General Conditions, the Bank's "Guidelines on Preventing and Combating Fraud and Corruption in Program-for-Results Financing," dated February 1, 2012, and revised July 10, 2015; and (b) for purposes of paragraph 5 of the Appendix to the Project General Conditions, the "Guidelines on Preventing and Combating Fraud and Corruption in Projects Financed by IBRD Loans and IDA Credits and Grants", dated October 15, 2006 and revised in January 2011 and as of July 1, 2016. 2. "AY" means the Borrower's academic year, commencing on September I and ending on June 30. 3. "Baseline" means the baseline information established and set out as a part of the Verification Protocol after the initial survey for measuring relevant DLRs. 4. "Category" means a category set forth in the table in Section IV.A.I of Schedule 2 to this Agreement. 5. "Concessional Financing Facility" and "CFF" each means the financing facility established with a focus on providing concessional financing to middle income countries most affected by the presence of large numbers of refugees, with an initial focus on the Syrian refugee crisis as it impacts Jordan and Lebanon, and referred to in the Preamble to this Agreement. 6. "Concessional Portion of the Loan" means the amount of the Loan referred to in Section 2.0 1(a)(ii) of this Agreement; which has been contributed for the Operation from the CFF on a non-reimbursable basis. 7. "DCU" means the Development Coordination Unit of the Borrower's Ministry of Education, or any successor thereto, the unit responsible for Operation implementation, and referred to in and Section .A. I (b) and (c) of Schedule 2 to this Agreement. 8. "Disbursement Linked Indicator" or "DLI" means in respect of a given Category, the indicator related to said Category as set forth in the table in Section IV.A.I of Schedule 2 to this Agreement, and "DLIs" means more than one DLI. 9. "Disbursement Linked Result" or "DLR" means in respect of a given Category, the result under said Category as set forth in the table in Section IV.A.I of Schedule 2 to this Agreement, on the basis of the achievement of which, the amount of the Loan allocated to said result may be withdrawn in accordance with the provisions of said Section IV, and DLRs means more than one DLR. 10. "Eligible Expenditure" means the definition of Eligible Expenditure contained in the Appendix to the Project General Conditions. I 1. "Financial Procedure Arrangement" means the arrangement between the Bank and the CFF referred to in the Preamble to this Agreement. -25 - 12. "FY" means the Borrower's fiscal year. 13. "General Conditions" means the Program General Conditions and the Project General Conditions, as applicable. In such cases, capitalized definitions are the same in both sets of General Conditions. In cases where the capitalized definitions differ, the term will be defined in this Appendix. 14. "GIS" means Geographical Information System. 15. "GPSC" means the Borrower's General Policy Steering Committee referred to in Section I.A.I(d) of Schedule 2 to this Agreement, or any successor thereto. 16. "High Proportion Schools" means schools in which thirty percent (30%) or more of students are Syrian refugee children. 17. "KG" means Kindergarten. 18. "MoE" means the Borrower's Ministry of Education or any successor thereto. 19. "MoPWH" means the Borrower's Ministry of Public Works and Housing or any successor thereto. 20. "National Education Sector Plan" means the Borrower's plan for the national education sector (2016-2022). 21. "OpenEMIS" means the Borrower's Education Management Information System. 22. "Operations Manual" means the manual referred in Section I.A.2 of Schedule 2 to this Agreement. 23. "Procurement Regulations" means, for purposes of paragraph 86 of the Appendix to the Project General Conditions (as renumbered following the modifications set forth in Section II of the Appendix), the "World Bank Procurement Regulations for IPF Borrowers", dated July 2016. 24. "Program Action Plan" means the Borrower's plan dated October 31, 2017 and referred to in Section L.B of Schedule 2 to this Agreement, as may be amended from time to time with the written agreement of the Bank. 25. "Program General Conditions" means the "International Bank for Reconstruction and Development General Conditions for IBRD Financing, Program-for-Results Financing", dated July 14, 2017, with the modifications set forth in Section if of this Appendix. 26. "Project General Conditions" means the "International Bank for Reconstruction and Development General Conditions for IBRD Financing, Investment Project Financing", dated July 14, 2017, with the modifications set forth in Section it of this Appendix. 27. "Target Schools" means the schools participating in the interventions under the Program, including, inter alia, early childhood education enrolment, teacher training, socio- - 26 - emotional learning program, school maintenance, student assessments, selected in accordance with criteria set forth in the Operations Manual. 28. "Tawjihi Exam" means the Borrower's national secondary school exit examination. 29. "Training" means costs incurred by the Borrower on account of approved workshops, and training of Borrower personnel involved in implementation of the Project, including study tours, travel and subsistence costs for training participants, costs associated with securing the services of trainers, rental of training facilities, training materials and preparation and reproduction of training materials, and other costs directly related to course preparation and implementation, all on the basis of budgets acceptable to the Bank. 30. "Verification Protocol" means the protocol for DLis and DLRs verification dated October 31. 2017 referred to in Section LC of Schedule 2 to this Agreement, as may be amended from time to time with the written agreement of the Bank. Section It. Modifications to the General Conditions The General Conditions are hereby modified as follows: I. In the Table of Contents, the references to Sections, Section names and Section numbers are modified to reflect the amendments set forth below. 2. Wherever used throughout the General Conditions, the term "Loan Payment" is modified to read "Payment of the Non-Concessional Portion of the Loan". Furthermore, wherever used in Sections 3.01(b), 3.02 to 3.07; Section 3.10; Section 4.01; Sections 4.02 to 4.06 (including the Title, as applicable); Section 7.07 of the Project General Conditions (and Section 7.06 of the Program General Conditions), Section 7.08 of the Project General Conditions (and Section 7.06 of the Program General Conditions), and Section 9.05, the term "Loan" is modified to read "Non-Concessional Portion of the Loan"; the term "Unwithdrawn Loan Balance" is modified to read "Unwithdrawn Balance of the Non- Concessional Portion of the Loan"; and the term "Withdrawn Loan Balance" is modified to read "Withdrawn Balance ofthe Non-Concessional Portion ofthe Loan". 3. In Section 2.05 of the Program General Conditions and Section 2.07 of the Project General Conditions, respectively, Refinancing Preparation Advance; Capitalizing Front End Fee and Interest, the term "Loan" is deleted and replaced with "the Non-Concessional Portion of the Loan". 4. In Section 3.01. (Front-end Fee), in the first sentence of paragraph (a), the term "Loan amount" is modified to read "Non-Concessional Portion of the Loan". 5. In the Appendix, Definitions, all references to Section numbers and paragraphs are modified, as necessary, to reflect the modifications set forth above. 6. Wherever used in the following definitions of the terms "Automatic Conversion to Local Currency"; "Automatic Rate Fixing Conversion"; "Commitment Linked Repayment Amortization Schedule"; "Commitment-Linked Amortization Schedule; "Conversion"; "Currency Conversion"; "Default Interest Period"; "Default Interest Rate"; "Default -27- Variable Rate"; "Disbursed Amount", "Disbursement-Linked Amortization Schedule"; "Fixed Rate"; "Fixed Reference Rate"; "Fixed Spread"; "Installment Share"; "Interest Rate Cap"; "Interest Rate Collar"; "Interest Rate Conversion"; "Principal Payment Date"; "Reference Rate Reset Date"; the term "Loan" is modified to read "Non-Concessional Portion of the Loan"; the term "Unwithdrawn Loan Balance" is modified to read "Unwithdrawn Balance of the Non-Concessional Portion of the Loan"; and the term "Withdrawitn Loan Balance" is modified to read "Withdrawn Balance of the Non- Concessional Portion of ile Loan". 7. A new paragraph 79 (in the case of the Program General Conditions) and new paragraph 80 (in the case of the Project General Conditions) is inserted with the following definition of "Non-Concessional Portion of the Loan", and the remaining paragraphs are renumbered accordingly: - "Non-Concessional Portion of the Loan" means portion of the Loan provided to the Borrower on non-concessional terms in the Loan Agreement." 8. A new paragraph 104 (in the case of the Program General Conditions) and new paragraph 105 (in the case ofthe Project General Conditions) is inserted with the following definition of "Unwithdrawn Balance of the Non-Concessional Portion of the Loan", and the remaining paragraphs are renumbered accordingly: "Unwithdrawn Balance of the Non-Concessional Portion of the Loan" means the amount of the Non-Concessional Portion of the Loan remaining unwithdrawn from the Loan Account from time to time." 9. A new paragraph 108 (in the case of the Program General Conditions) and new paragraph 109 (in the case of the Project General Conditions) is inserted with the following definition of "Withdrawn Balance of the Non-Concessional Portion of the Loan", and the remaining paragraphs are renumbered accordingly: "Withdrawn Balance of the Non-Concessional Portion of the Loan" means the amounts of the Non-Concessional Portion of the Loan withdrawn from the Loan Account and outstanding from time to time."