ALBANIAN DEVELOPMENT FUND Consolidated Special Purpose Financial Information for the year ended 31 December 2017 (with independent auditor's report thereon) Contents Page Independent Auditor's Report iil Consolidated statement of Sources and Uses of Funds 1-2 Consolidated Statement of Withdrawal Applications 3-4 Notes to the Consolidated Special Purpose Financial Information 5-27 Consolidated Supplementary schedules to the Special Purpose Financial Information -XXIX GrantThornton Grant Thornton Sh.p.k. Rr Sami Frasheri, Kompleksi T, I LD, Shk. E, Floor 1, 10 000 Tirana, Albania T +355 4 22 74 532 F +3554 22 56 560 ww.wqrantthornton.al contact@al.g1.com Independent Auditor's Report To the Management of Albanian Development Fund and Ministry of Finance of the Republic of Albania Opinion We have audited the accompanying consolidated special purpose financial information comprising the consolidated statement of sources and uses of funds, consolidated statement of withdrawal applications and related notes of the "Albanian Development Fund (ADF)" (further referred to as the "Organization"), for the year ended 31 December 2017. The consolidated special purpose financial information has been prepared by the management of the Organization in accordance with policies described in note 2 and 3 of the consolidated special purpose financial information. In our opinion, the consolidated special purpose financial information of the Albanian Development Fund is prepared, in all material respects, in accordance with the cash receipts and disbursement basis of accounting as set out in note 2 and 3 to the consolidated special purpose financial information. Basis for Opinion We conducted our audit in accordance with International Standards on Auditing (ISAs). Our responsibilities under those standards are further described in the Auditor's Responsibilities for the audit of the consolidated special purpose financial information section of our report. We are independent of the entity in accordance with the International Ethics Standards Board for Accountants' Code of Ethics for Professional Accountants (IESBA Code) together with the ethical requirements that are relevant to our audit of the consolidated special purpose financial information in Albania, and we have fulfilled our other ethical responsibilities in accordance with the IESBA Code. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Emphasis of Matter- Basis of Accounting and Restriction on Distribution Without modifying our opinion, we draw attention to note 2 and 3 to the consolidated special purpose financial information, which describe the basis of accounting. The consolidated special purpose financial information are prepared to assist the Project to comply with the financial reporting provisions of the financing agreements set out in the note 1 to the consolidated special purpose information. As a result, the consolidated special purpose financial information may not be suitable for another purpose. Our report is intended solely for the Organization, the donors and the Ministry of Finance and Economy and should not be used by or distributed to parties other than the Organization, the donors or the Ministry of Finance and Economy. Responsibilities of Management for the Consolidated Special Purpose Financial Information Management is responsible for preparation and fair presentation of the consolidated special purpose financial information in accordance with the basis of accounting described in notes 2 andl 3; this includes determining that the cash receipts and disbursements basis of accounting is an acceptable basis for the preparation of the consolidated special purpose financial information in the circumstances, and for such internal control as management determines is necessary to enable the preparation of a consolidated special purpose financial information that is free from material misstatement, whether due to fraud or error. Auditor's Responsibility for the Audit of the Consolidated Special Purpose Financial Information Our objectives are to obtain reasonable assurance about whether the consolidated special purpose financial information as a whole is free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs will always detect a material misstatement when it exists. Misstatements can arise from fraud or crror and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of this consolidated special purpose financial information. As part of an audit in accordance with ISAs, we exercise professional judgment and maintain professional skepticism throughout the audit. We also: * Identify and assess the risks of material misstatement of the consolidated special purpose financial information, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal controL * Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity's internal control. * Conclude on the appropriateness of management's use of the going concern basis of accounting and based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the entity's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor's report to the related disclosures in the consolidated special purpose financial information or, if such disclosures are inadequate, to modit our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor's report. However, future events or conditions may cause the entity to cease to continue as a going concern. ii * Evaluate the appropriarcness of accounting policies used and the reasonableness of accounting estimates, if any, and related disclosures made by management. * Evaluate the overall presentation, structure and content of the consolidated special purpose financial information, including the disclosures, and whether the consolidated special purpose financial information reprcscnts the underlying transactions and evcnts in a manner that achieves fair presentation. We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit. Grant Thornton sh.p.k. Tirana, Albania 31 May 2019 iii Consolidated Statement of Sources and Uses of Cumulative as at Year ended 31 Year ended 31 31 December 2017 Note December2017 December 2016 (unaudited) Sources of funds: IDA 4 - - 13,809,449 IDA PIUDT 4 1,500,000 - 1,500,000 OFID 4 - - 17,915,016 CEB Loan Sir 4 - - 39,991,982 CEB Grant Slr 4 - - 180,000 CEB Grant CWP IV 4 - - 200,000 CEB Loan CWP IV 4 8,600,000 1,500,000 10,100,000 WBIF CWP IV 4 839,446 150,000 989,446 EBRD 4 - - 49,497,812 EBRD Grant 4 - 34,755 1,500,176 EIB 4 - - 50,000,000 EIB Grant 4 380,794 259,939 2,244,856 IDB 4 - 1,130,595 8,166,551 Istisna'A 4 - 453,568 22,108,674 IPA 2009 4 459,901 2,112,927 8,816,653 KFW SIF IV Road funding 4 1,514,171 4,224,198 14,912,398 KFW Grant SIF IV 4 282,723 117,062 399,785 IPA 2010 4 244,305 3,139,135 19,523,126 IPA 2011 4 1,864,894 392,841 13,857,506 KFW Funding (Phase I and 11) 4 - 118,027 10,000,000 WBIF RWS Ill 4 461,592 198,921 660,513 KFW RWS III 4 121,354 - 121,354 IPA 2013 RWS III 4 182,032 - 182,032 KFW - SIF II - 29,147 KFW- SIF III - - 30,233 KFW SIF IV Rural Water Funding 4 210,172 1,079,973 4,999,484 Devolli Hydropower 4 - - 761,157 IPA Tech 4 30,238 - 116,805 IPA Monteal 4 - 9,273 170,453 IPA Hera 4 65,868 93,272 320,403 Swiss Fund 4 - 9,378 41,542 AADF Fund 4 - 172,154 440,980 Norway Fund 4 - 28,895 28,895 Government of Albania 5 46,231,984 18,934,865 153,870,907 Contribution from municipalities 6 961,770 281,006 3,102,201 Funds received for Gerdec Project - 18,498 Other & local contribution 452,177 9,343 1,028,705 Interest received 6,477 6,313 567,663 Total 64,409,898 34,486,440 452,204,405 Uses of funds: Civil works 7 (50,936,661) (27,664770) (344,815,321) Consultancy services and training 8 (4,237,805) (3,407,122) (26,341,431) Goods 9 (194,228) (9,171) (999,626) Incremental operating costs 10 (1,634,862) (1,378,895) (11,597,156) VAT expenses 11 (4,126,060) (3,650,177) (63,697,646) Total (61,129,616) (36,110,135) (447,452,180) (Deficit)tSurplus 3,280,282 (1,623,695) 4,752,225 Exchange rate differences 58,124 (29,548) 66,123 Cash at the beginning of the period 12 1,479,941 3,133,184 - Cash at the end of the period 12 4,818,347 1,479,941 4,818,348 1 Consolidated St,atejment of ithdrawal Applications EIB Grant Funding in EUR Withdrawal application number y of withdrawal Withdrawaf appicaton diare consung WA No. 4 Repleishment 06.11.201% 171,616 WNA No, 5 Replenmshment 11 09.207 209,248 Fodi eturned to B 28 12.2017 770) Total 380.794 IPA 2009 Funding in ALL and EUR Withdrawal application number Type ofwithdrawal WithdrawaI applicatlon datCa|Ci works (ALLI Civi wrks (EURI WA No.10D Direc Paymet 2.12 2016 13,363,445 100,151 4A No. 101 Direct Paym,ent 02<02.2017 9,585,576 71,678 4A No. 102 Direct Paynot 15.02 2017 196,574 1,477 WVA No. 104 Direct Paymoet 15.02 2017 1,.63,952 14,028 WNA No. 105 Diret Payment 01.03.2017 9,989.212 74,917 WVA No 107 Direct Payment 25.05.2017 7.063,181 53,934 WVA No. 108 Direct Payment 01,062017 1,224,178 9,348 WA No. 112 Direct Pymeni 27,95 2017 7.899,966 60,750 A No. 110 Direct Payment 09.06 2017 7,063,191 54,173 4A No. 116 Direct Paymont 19.06.2017 2301 475 17,745 W4 No. Audit KMW 22.02-217 226,1 1,70 Total 60,776,840 459,901 3 Consolidated Statement: of Withdrawval Ap-phcations (continued) KfW GRANT Funding SIF IV in EUR Withdraw Amount of Consultancy Inemmental Initial Total Funds appilrl num..ber Type Furnding WA date Application CivlI works services operating cos deposits Recelved WA-3 Direct Paymeilt KfW Grant 09 05 2017 69,935 - 69935 - - 69.935 WA-4 Drrect Payrnent KfW G--ant 09.05.2017 69.05 - W9054 . 69,054 A-5 DirectPlIayment KfW,G-ant 06.07.2017 68,933 68,933 - 68,933 WA-6 Direct Payment KNW G-ant 06.07.2017 55437 - 55,437 - 55,437 WA-7 Direct Pament KIW Gran 2 5.0.2017 19.364 19,364 - 19,364 Tital 282,723 282,723 7- 25223 KfV Funding SIF IV/ Water in EUR Withdraw Amount of Consultancy Incremental Initial Total Funds application numbe ype Funding WA date Applicaton Civil works serIvces operating co.ts deposta Received WA - 26 it Payment KFW 1703.2017 21.261 21.281 - 21,281 WA- 27 Direcl Payrenrit KFW Reporting - ,A - 28 Lirect Payrmc KFW Reporting - - WA -29 Direc vPayment KFW 11 042017 25,179 - 25.179 - 25,179 WA 30 D,rect Payrnent KFW 05 05 2017 39.827 39.827 - - 39,827 W4A -31 Diret Payment KFW 30.6.2017 123,B5 123 8655-- 123.856 Total 210,172 1108 149,064 210.172 4 Co nsolidated Statemeit of Withdrawal Applications (continued) KFW Finiding SIF TV /Roads in ALL and EUR _Withdrawal appli cat number Type of vithdrawal Withdrawallapplic ation date CCvMi w rkms (ALL)) Civil woks (EUR) WA No100 Diret Paymeni 2812,2016 19.230,323 144,120 WA No. 101 D[rect Payrn en 02.02 2017 21,632,075 161,768 WA No.102 D'rec Payfnln 15,02.2017 282.874 2,125 WA No.103 Direct Payment 1502.2017 600.000 4,508 WA No.104 Direct Payment 1502.2017 2,682,272 20,186 WA No.105 [iroet Pyrrn 01 03,2017 14,374.719 107 809 WA No.1C6 Dårecl Payment 17.05.2017 7,582.997 57,903 WA No.107 Direct Payrnent 25.05,2017 10.164,089 77,612 WA No 104 ifrect Paymel 01.06 2017 1,761,622 13,452 WA No 10 Direct P2yment 01 06 2017 2,000,590 15,364 WA No 110 ,irect Payrnni 09.062017 4,739,045 36,348 WA No 111 Drect Payment 09.06 2017 31,217,651 240,063 W No.112 Droct Payment 09.06.2017 16,463,965 1256,07 WA No.,13 Direcl Payrnent 09.06.2017 10164,089 77,957 WA No 114 Direct Pyment 22.06.2017 1,576,181 12,129 WA No 115 Direct Payment 2206.2017 4,275,196 32,886 WA No 116 Diret P2ynìent 16 0 2017 21,859.776 168,541 WA No 117 DireCt Payment 22.06.2017 5,935,327 45,656 WA D_ 17161___ Diren ayrn1n 10.022017222262660,27 Total 199,172,818 1.614,171 Consolidated Satement of Withdrawal Applications (continued) KFW Funding RWS It in EUR Withdraw Incremental Total application Type Funding WA date Amount of CIl Consultancy opet Initial Funds number Application works services costs deposits Received WA1 Direct Payment KF 19.07.2017 60.000 60.000 - - 60,000 WA 2 Direct Payment KFW 23,11 2Q17 61,354 - 61.34 61,354 Total 121,354 121,354 121,354 Funding 2,128,420 IPA 2010 Funding in ALL tid El R Withdrawal application number Type of withdrawal Withdrawal application date Civil works ALL) Civil works (EUR) 'WAA No. 161 Direct Payment 20,12 2016 6.857.255 50.144 WVA No 152 Diret Payment 2012.2016 17,552.712 128.356 WA No 1on Direct Payment 28 02 2017 100,000 741 WA No 150 Direct Payment 26022017 1,600,O0 11853 WA No 161 Dimect Payment 01.03 2017 3,419,185 25,503 WA No 164 Direct Payment 01.03 2017 3,733,790 27,708 Total 33,262,942 244,305 6 Consolidlatecd Siatemenr of Withdrawal Applications (continued) CEB Loan Withdrawal Incremental Total application Arount of Civil Consultancy operating Initial Funds number Type Funding WA date Application works services costs deposits Received WA-1 Advance CEB Loan 01032017 8,600 000 - 8,600000 6,600,000 Total 8,600.000 8,600.000 8,600,000 CEB WBiF Withdrawal Incremental Total application Amount of Civil Consultancy operating Initial Funds number Type Funding WA date Application works services costs deposits Received WA-2 CEB WBIF 30.06.2017 844,46 - 844,468 - - 844468 Funds returned to CEB CEB WBIF 27 12.2017 5 - - - 5.022) Total _ 39446 844,46 B3B,446 7 Consoha r an Sae nt of Withdrawn 1 Applicarions (continued) IPA 2011 Funding in ALL and EUR Withdrawal application number Type of withdrawal Withdrawal appication date Civil works (ALL) Civil works (EUR) No. 153 Direct Payment 0202.2017 26.579,873 19873 No. 150 Direct Payment C 12.2016 38025,006 654,247 No. 154 Direct Payment 0202.2017 4.087,835 30,271 No. 155 Direct Payment 02 02,2017 4,087,835 30,271 No 150 Direct Payment 02.02 2017 13,908,810 102,997 No 157 Diret Payment 1702.2017 6,825,87 50.543 No. 160 Direct Payment 01.03.2017 5,512.840 41.302 No 162 Direct Payment 01.03.2017 0.721,100 72.122 No 163 Direct Payment 01.03.2017 13.908,810 104.163 No 165 Direct Payment 01 03.2017 12.252.923 1,t101 No 166 Direct Payment 0203.2017 45.820,521 341,341 No. 167 Direct Payment 02,03.2017 16,733,726 124.658 No. 163 Drect Payment 01.06.2017 3,349,770525,005 Total 250,814,23a 1,864,894 8 Consoliatcd Statemt of Withdrawal Applications (continued) WBIF Funding in FUR Withdraw-- appitiewn Type Fundnq WA date Anlount or Cfvii works Consultancy incremental Initial Total Funds number Applicatlork services operating cost3 deposits Recelved WA4 DirecPayment WBiF 01.032017 132.914 132,614 WA 5 Drec Payment WBIF 01.03.2017 198,921 - 195931 - 13214 WA Direoc Payrenit W2F 2707.2017 130,057 - 130.057 130.057 Total 461,592 461,592 1592 IPA 2013 Funding int EUR Withdraw- - - applicatlon Type Funding WA date Amount of Civil works Consultancy Inermontal Inioal Total Funds number Appileation services operating costs deposits Received WA I Dimet Payrner m PA 2013 19.07 2017 10000 90,000 -- 90000 WA 2 Direzt Pavr PA 2013 3311.20'7 92.032 - 92.032 - 92032 Total 182,032 182,032 IBR Funding in EUR Withdraw applcation Type Funding WA date Amount of Civil wrks Consultancy Incremental Initial Total Funds number AppI1cation services operating costs deposits Received WA 1 n1il Deposit IFRD 31.07.2017 1000,0 - 19-00 00 o,n,0 Total 1500,000 9 os to the Conisolidated Special Purpose Financial Information 1 General information The Albanian Development Fund ("ADJ" or the "Organization") was founded bv the Government of Albania (the "GoA") in 1994. Its main objective is to improve the less developed urban and rural areas by creating jobs and econonic activities, rehabilitating local infrasructure and proroting the private sector. ADF is governed by Albanian laws and the deputy prime minister heads its Board of Trustees. It focuses its effort on the rehabilitation of infrastructure in urban and rural areas, which is not under the direct responsibility of the Central Government (roads, water supply, sewerage, irrigation, retail markets and other civil works, as well as social infrastructiire such as schools and health centers). Since its creation, several infrastrueure programs, designed on a denand driven basis, have been completed or are under inplementation by ADF ADF has 79 employees as at 31 December 2017 (31 December 2016: 73). ie special purpose hnancial inforation presents te balances and operations of the Organisation, includmn nstrument for Pr.-aceession Assistance Adrianti Cross Bordet Cooperation Programmne (.1 P\ Adriatic CBC Programme) 201--2013 and projects inplemnented by the Organization (hereafter the "Projects'), as follows • Rural \\ater SupplY Project RXVS 1IJ and SIF IV funded by Kreditanstalt fur Wiederaufbau * Rural Water SupplY Project 111 funded bv Kreditanstalt fur Wiederaufbau , * Secondary & Local Roads Project, funded througli the International Development Agency 445- \, OPEC 1und for International Development 1215P, OPEC Fund for International Development 13341>, Council of Flurope Development Bank F/P 1665 and CIEB Grant NTA 36 FP 166-5, European Bank for Reconstruction and Development Loan 40153, European Investmei Bank Loan and Grant 25606, Islamic Development Bank Loan AB-0028 and Istisna' \ agreenment ALB-0027, KFW SIl IV Loan and IPÄ 2009 Grant Agreement BMIZ- No.20 i 0 7¯6 ~21 • Connwunt works IV funded bv CELB, Council of Turopean Bank Integrated I-bhan and Lcononic Developiment Project funded by IBIWD/'\orld Bank Runrl Water Supply Programme 1, II and SIF IV lhe Rural Water Supply Program (Kredtanstlat fur Wiederaufbau) (the "Project") is implenented b .ADF with ilie objective to rehabilitate and construct the rural water supply systems and, if applicable, basic sewer facilities. The purpose of the overall project is to supply the population in the pre-determined villages with hygIenicall- clean water in sufficient quantity, based on cost-covering and socially accepted tariffs. This Will contribute by inproving and securing the living conditions of the nral population in the participating regions of . \lbania, 10 1 General iformation (contined) The project consists of the following activities: Part 1 Rehabilitation or new construction of rural water supply systems and, if applicable, basic sewer facilities; and Part 2 Consulting services for planning, construction and supervision Based on the Financing Agreement signed on 13 December 2007, between KFW Frankfurt am Main ("KF W'), the Ministry of ainince (reprcsenting the Government of Albania) and ADF, acting as the "Progranme-ixecuting Agency," the Project is due to receive a total amount of EUR 8,5 million for the first phase, including a Loan of EUR 7,5 million; and a Financial Contribution (non-repayable Grant) of EUR 1 million). Following the Financing Agreement signed on 23 December 2008 the Project is due to receive a Loan of FUR 1, 5 million for the second phase. Local contribution will, be EUR 1,375 thousand and EUR 285 thousand for the first and second Phase respecti-ely. Iollowing the I CInancing Agreement signed on 23 December 2010 the Project is due to receive a Loan of EUR 5 million for the SIF IV. Local contribution will be FUR 800 thousand for the Project. The funds are allocated as follows: KIW Funding PHASE I (Loan Contract No. 2004 66 433 and Financial Contribution Contract No. 2004 70 682) Amounts allocated Amounts allocated by KFW by local contribution Total Category _ (in '000 EUR) (in '000 EUR) (in '000 EUR) Contract No. 2004 66 433 1. Physical investment 1.1 Construction and rehabilitation of about 40-50 water supply system 6,074 1,000 7,074 1.2 Local engineering services for design and supervision 577 - 577 1.3 ADF administration cost 255 375 630 1.4 Internal implementation consultant 594 - 594 Subtotal 7,500 1,375 8 ,8 7 5 Contract No. 2004 70 682 2. Other project activities 2.1 Accompanying measures 1,000 - 1,000 3. Consulting on training 400 - 400 Subtotal 1,400 - 1,400 Total cost 8,900 1,375 10,275 As at 31 December 2017 the cumulative amount of IUR 8,899,784 (2016: EUR 8,500,000) has been disbursed from the loan of K X. 11 1 nercal information (continued) PHASE II (Loan Contract No. 2008 65 998) Amounts allocated Amounts allocated by KFW by local contribution Total Category_ _ (in '000 EUR) (in '000EUR) n 000 EUR_ Contract No. 2008 65 998 1. Physical investment 1.1 Construction and rehabilitation of about 10 water supply system 1.192 210 1,402 1,2 Local engineering services for design and supervision 147 - 147 1.3 ADF administration cost 35 75 110 1.4 Internal implementation consultant 126 - 126 1.5 Contingencies . Total cost 1,500 285 1,785 As at 31 December 2017 the curulative amount of RUR 1,500,000 has been disbursed from the loan of KI,W. KFW SIF IV Funding (Loan Contract No. 2010 76 721 and Financial Contribution Contract) Local Contributions Roads Component KFW IPA 2009 TOTAL 3. Physical investment 1.1 Rehabilitation and construction of up to 100 km 13,570 8,530 - 22,100 1.2 Detailed Design and Environmental Procedure - 250 - 250 1.3 Supervision 1,130 - - 1,130 1.4 Procurement and Contract Management - - 1 5 ADF administrative costs 300 - 600 900 1.6 Contingencies - 20 - 20 Subtotal 1 15,000 8,800 600 24,400 Water Component 4. Physical investment 1.1 Construction and rehabilitation of about 20-25 water supply system 3,500 - 600 4,100 1.2 Detailed Design Supervision Implementation Consultant (in. institutional support) 1,330 - 1,330 1.3 ADF administration cost 170 - 200 370 1.4 Contingencies . . Subtotal 2 5,000 - 800 5,800 TOTAL AGREEMENT 20,000 8,800 1,400 30,200 As at 31 December 2017 the cumulative amount of EUR 19,911,882 (2016: EUR 18,187,539) has been disbursed from the loan of KPA' for the Road and Water Component. 12 1. General inforation (cOntinued) Rural Water Supply Programme III KfW funding In accordance with the Loan Agreement dated 7 JanuarV 2015 between the KFW, IEU and GoA, The estimated total project cost ("Total Cost") knderlying the project appraisal is approximnately 11CR 39 3 million. The Loan amount is FUR up to 24 million. In addition up to 1.5 million German UFinancial Cooperation grant funds for accompanying measures and an EU grant ("Financial Contribution") under the Instrument for Pre-Accession Assistance (IPA) 2013 EUR 9.80 -dillon will be provided. The composition of Total Costs and the financing plan including local contribution. The funds are allocated as follows: - Loan Contract No. 2011 66 370 and Financial Contribution Contract No. 2014 70 137 - Financial Contribution/Grant Contract No. 2014 70 137 - LU IPA Financial Contribution No.20 20 61 133 - kBIF/Grant Contract B.IZ No.2020 61 695 Project Preparation and Feasibility Studies Local No Total KfW FC KFW EU IPA Contribut WIBF Category Costs Loan Grant 2013 ion/LC Grant Construction and Rehabilitation of Rural 1 water Supply Schemes 27,000,000 18,350,000 - 6,000,000 2,650,000 - ADF General 21 Administrative Costs 2,000,000 650,000 - - 1,350,000 - Design and Supervision 2.2 International Consultant 5000,000 2,000.000 - 3,000,000 - - Preparation of Feasibility 2.3 Studies 670,000 - - - - 670,000 3 Contingencies 3,803,922 3.000,000 - 803.922 - 4 Accompanying Measures 1,500.000 - 1,500,000 - - Total 39,973,922 24,000,000 1,500,000 9,803,922 4,000,000 670,000 As at 31 December 201" the cunulatine anount of EUR 121,354 has been disbursed from the loan of KIAV, CUR 461,592 has been disbursed from \VBF Grant and EUR 182,032 has been disbursed from IRA 2013. 13 I Gener I in for uation (continued) Secondary & Local Roads Project The Secondary and Local Roads Project (the "Project") was established on 3 April 2008 and is implemeited by A \ DF. The Project development objective is to improve access to essential services and economic markets, via the provision of all-wcather roads, for the resident population in the hinterland of the project roads. The project consists of the following parts: Part 1 Improvement of priority sections of the secondary (regional) road network across Albania; Part 2 Improvement of priority sections of the local road network across Albania; Part 3 Irmplenentation and institutional support, through provision of technical support, goods, training study tours, conferences and the financing of operational costs. The total cost of the Project is approximately USD 400 million. The Secured Financing Plan was as follows (in original currency): Financed Financed Financed Amount in Amount in Amount in Donor EUR USD SDR World BankJInternational Development Association (IDA) - - 12,200,000 OPEC Fund for International Development Phase I (OFID) - 15,000,000 - OPEC Fund for International Development Phase II (OFID) - 10,000,000 - Council of Europe Development Bank (CEB) 40,000,000 - - CEB Grant NTA 36 F/P 1665 180,000 - - European Bank for Reconstruction and Development (EBRD) 50,000000 - European Investment Bank (EIB) Loan 50,000,000 - European Investment Bank (EIB) Grant 4,000,000 - - Islamic Development Bank (IDB) - 10,000,000 - Istisna - 30,000,000 - EU/ Instrument for Pre-accession Assistance Funds 2008 (IPA) 8,000,000 - - Instrument for Pre-accession Assistance (IPA) 2009 8,820,000 - - "Reconstruction Credit Institute" (KFW SIF) IV 15,000,000 - - Instrument for Pre-accession Assistance (IPA) 2010 14,380,750 - Instrument for Pre-accession Assistance ([PA) 2011 19,750,000 - - Total Secured 210,130,750 65,000,000 12,200,000 IDA Credit 4459 AL In accordance vith the Financing Agreement dated 2 July 2008 between the International I)evelopment Association ("IDA" or the "Association"), a division of the World Bank, and the Government of Albania t(oA" or the "Recipient"), represented by the Ministry of Finance, the Prolect received a credit of SDR 12,200,000. Special Drawing Rights (or "SDR"), is a type of international lonetary reserve currency established in 1968, and is the official reporting currency of the World Bank. The credit will be disbursed in Euro. The table below specifies the categories of items to be financed out of the proceeds of the Credit facility, the allocation of the Credit facility to each category and the percentage of expenditures to be financed per each category 14 I General information (continued) Amount of the Credit Percentage of expenditures to be Category allocated (in SDR) financed by, inA Goods, Consultant Services, Training, Study Tours, Conferences and Operational Costs 7,893,344 80% Works 4,226,000 80% Amount payable pursuant to Section 2.07 of the IDA General Conditions on Refund of Project Preparation Facility (PPF) 80.656 Credits and Grants Total 12,200,000 Project Preparation Facility represents the advance referred to in the Letter Agreement No P4360 - ALB, signed on behalf of the Association on 5 October 20(7. According to this agreement, the World Bank provides to the Government of Albania an advance of approximately USD 900,000 (SDR 600,000) for the purpose of financing expenditures required for the preparation of the Project (the "Project Preparation Facility" or the "PF"). Go will repay the principal amount of the Credit facility in semi-annual instalments payable on each 15 April and 15 October comimencing from 15 October 2018 and ending on 15 April 2028. Each instahrent up to and including the instalment payable on 15 April 2028 shall be equivalent to 5% of the principal amount. The commitment and service charges related to the Credit will be paid by GoA. at 31 December 2117, the cumidative amount equivalent to EUR 13,809,449 has been disbursed from the credited amount of WB. The agreement is finalised in 2013. OFID Loan 1215P - Phase I In accordance with the Loan Agreement dated 4 November 2008 between the OPEC Fund for International Development ("OFID") and GoA, the Project received a loan of USD 15,000,000. The table below sets forth the components to be financed out of the proceeds of the Loan, the allocation of the Loan to each component and the percentage of total expenditures for items so to be financed in respect of each component: Amount of the Loan Percentage of expenditures to be Category allocated (in USD) financed by OFID Civil Works - Secondary Roads 5,000,000 58.90% Civil Works - Local Roads 10,000000 58.80% Total 15,000,000 As at 31 December 2017, the cumnulative amount equivalent to USD 14,940,754 has been disbursed from the credited amount of OFID. The agreement is finalised in 2014. Go will repay the principal amount of the Loan in semi-annual instahnents of USD 500,000 payable on each 1.5 May and 15 November commencing from 15 November 2013 and ending ont 15 May 2028. GoA shall pay interest at the rate of 3,4% p.a. and is liable for the commitment and service charges related to the Loan. OFID Loan 1334P - Phase 11 In accordance with the Loan Agreement dated 7 June 2010 between OFID and GoA, the Project received a loan of USD 10,000,000. The table below sets forth the components to be financed out of the proceeds of the Loan, the allocation of the Loan to each component and the percentage of total expenditures for items so to be financed in respect of each component: 15 I General information continued) Amount of the Loan Percentage of expenditures to be Category allocated (in USDI financed by OFID Civil Works - Secondary Roads 6,800,000 100% Civil Works - Local Roads 3,200,000 100% Management and supervision of the Project Total 10,000,000 As at 31 December 2017, the cumulative amount equivalent to USD 9,869,122 has been disbursed from the credited amount of OFIlD The agreement is finalised in 2015. GOA wil repay the principal amount of the Loan in semi-annual instalnents payable on each 15 June and 15 December commencing from 15 June 2015 and ending on 15 December 2029. GOA shall pay interest at the rate of 3,3'o p.a. and is liable for the commitment and service charges to the Loan. CEB Loan F/P 1665 In accordance with the Loan Agreement dated 4 May 2009 between the Council of Europe Development Bank ("CEB") and GoA, the Project received a loan of EUR 40,000,000, The table below sets forth the components to be financed out of de proceeds of the Loan, the allocation of the Loan to each component and the percentage of total expenditures for items so to be financed in respect of each component: Amount of the Loan Percentage of expenditures to be Category ______allocated (in EUR) fmanced by CEB Civil Works - Secondary & Local Roads 40,000,000 53.1% Total 40,000,000 As at 31 December 2017 the cumulative atnount of LUR 39 991,982 has been disbursed from the credited amount of CLB. The agreement is finalised in 2014, For each tranche, the amount, interest rate, disbursement date, repayment period and each party's accounts for remittance, shall be determined jointly by GoA and CEB (period's maybe up to 20 years including a grace period up to 5 years). CEB Grant NTA 36 F/P 1665 In accordance with the Contribution Agreement between CE 7B and GoA, the Project received a grant amounting to I IR 180,000. The table below sets forth che components to be financed out of the proceeds of the grant, the allocation of the Grant to each component and he percentage of total expenditures for items so to be financed in respect of each component: Amount of the Loan Percentage of expenditures to be Category allocated (in EUR) financed by CEB Technical Assistance (Consultancy Services) 90,000 100% Training (Organization, facilities, etc) 35,000 100% PVP (communication, seminars, information materials, et) 55.000 100% Total 180,000 As at 31 December 201T the cUmdative amount of LR 180,000 has been disbuarsed from the grant amount of CEB3. The agreement is finaised in 2014. 16 1 Goneral information (continued) EBRD Loan 40153 In accordance with the Loan Agreement dated 4 March 2010 between the European Bank for Reconstruction and Development ("EBRD') and GoA, the Project received a loan of EUR 50,000,000. Each tranche will be repayable in 24 equal instalments, payable on each 30 April and 30 October, starting from 30 April 2013 and ending on 30 October 2025. Amount of the Loan allocated Percentage of expenditures Category (in EUR) to be financed by EBRD Civil Works - Secondary Roads& Local Roads 49,500,000 37,2% excluding any taxes Front-end commission 500,000 100% Total 50,000,000 The table below sets forth the components to be financed out of the proceeds of the Loan, the allocation of the Loan to each component and the percentage of total expenditures for items so to be financed in respect of each component. As at 31 December 2017 the cumulative amount of EUR 49,497,812 has been disbursed from the Loan. Go:A is liable for the commitment and other local charges to the Loan. The agreement was finalized in 2016. EIB Loan 2007-0519 In accordance with the Loan Agreement dated 4 June 2010 between the European Investment Bank ("E1B") and GoA, the Project received a loan of EUR 50,000,000. The Loan will be disbursed through payments of up to 16 tranches, with minimun amount of EUR 3,000,000. The table below sets forth the components to be financed out of the proceeds of the Loan, the allocation of the Loan to each component and the percentage of total expenditures for items so to be financed in respect of each component: Amount of the Loan allocated Percentage of expenditures Category (in EUR) to be financed by EIB Civil Works - Secondary & Local Roads 48,000,000 100% Implementation and Institutional support (Design & supervision of works) 2,000,000 100% Total 50,000,000 As at 31 December 2011 the cumulative amount of E'UR 50,000,000 (2014: FU R 45,000,000) has been disbursed fromn the loan. The agreement was finalized in 2016. IPA 2010-2011 Grant 40153 In accordance with the Grant ,greement dated 6 Nov 2013 between EBRD and GoA, the Project received a grant facility of FUR 34,068,750. The table below sets forth the components to be financed out of the proceeds of the grant, the allocation of the grant to each component and the percentage of total expenditures for items to be financed in respect of each component: Category IPA 2010 IPA 2011 Works for road rehabilitation 18,250,000 14,318,750 Works for the reconstruction of roads in the region of Shkodra 1,500,000 - Total 19,750,000 14,318,750 17 I General information (continued) IPA 2010-2011 Grant 40153 (continued) As at 31 Dccember 2017 the cumulative amount of EUR 19,523,127 (2016: EUR 19,278,822) has been disbursed from the IPA 2010 and the amount of FUR 13,857,506 (2016: EUR 11,992,612) has been disbursed from the IP- 2011. The agreement was finalised in 2016. EIB & EBRD Grant 2007-0519 In accordance with the Grant Agreement dated 4 May 2009 between ETB and GoA, the Project received a grant of EUR 4,000,00. The table below sets forth the components to be financed out of the proceeds of the grant, the allocation of the gratt to each component and the percentage tf total expenditures for items so to be financed in respect of each component: Percentage of Amount of the Loan expenditures to be Category allocated (in EUR) financed by ElB Grant Implementaton and Institutional support (Design & supervision of works) 4000,000 100% Total 4,000,000 As at 31 December 2017 the cumulative amount of EUR 2,244,856 (2016: EUR 1,864,062) has been disbursed from the F1B Grant and the curnulative amount of EUR 1,500,176) has been disbursed from the EBRD Grant. The agreement was finalised in 2017. IDB Loan ALB-0028 In accordance with the Loan Agreement dated 13 June 2010 between the Islamic Development Bank ("IDBV) and Go. , the Project received a loan of Islamic Dinars (ID) 7,000,000, equivalent to approximately USD 10,0010,000. The principal amouta of the Loan is repayable in 36 semi-annual instalmients for a period of 18 years, after a 7-year grace period. Service fees are payable by GoA. The table below sets forth the components to be financed out of the proceeds of the Loan, the allocation of the Loan to each component and the percentage of total expenditures for items so to be financed in r-espect of each component: Amount % to be GoA % to be allocated financed Participation financed Total Category (In USD) byI GoA (in US Civil Works - Secondary Roads& Local Roads 9,120000 78.62% 2,480,000 21.38% 11,600,000 Detailed Designed Consultant 880,000 100% - 880,000 Supervision Consultant - - 200,000 100% 200,000 Project Management - - 1,140,000 100% 1,140,000 Training of LGU for Maintenance - - 100,000 100% 100,000 Project Start-up Workshop & Familiarization Visit - 100% - - Financial Audit - - 80,000 100% 80,000 Sub-Total (in USD) 10,000,000 4,000,000 14,000,000 Contingencies (5%-8%) Total (in USD) 10,000,000 71% 4,000,000 29% 14,000,000 As at 31 December 2017 the cumulative amount of FEUR 8,166,551 or ID 6,997,712 has been disbursed fron the credited amount of IDB The agreement was finalised in 2016, i8 I General information (continued) Istisna'A Agreement ALB-0027 In accordance with the Isrisnll Agency Agreement dated 19 JuLdy 2010 between 1DB and GoA, the Project received a loan of US) 30,000,000. '[he closing date of withdrawals is 31 March 2014. The Loan will be repaid througLh 22 equal semi-aninual instalments, starting 6 months after the maturity period, which is 48 months. The table below sets forth the components to be financed out of the proceeds of the Loan, the allocation of the Loan to each component and the percentage of total expenditures for items so to be financed in respect of each component: Percentage of Amount of the Loan allocated expenditures to be Category (in USD) financed by l1 Civil Works - Secondary & Local Roads 30,000,000 100% Total 30,000,000 As at 31 December 2017 the cumulative amount of US) 29,998,979 or FUR 22,108,674 has been disbursed from the credited amount of IDB as part of the Istisna'A Agency Agreement, through direct payments. The agreement was finalised in 2016. SIF IV and IPA 2009 Agreement BMZ-No.: 2010 76 721 In accordance with the Loan Agreement dated 23 December 2010 between the K , EU and GoA, the Project received a loan of FUR 15,000,000 and a grant of EUR 8,820,000. Ihe Loan and the Grant will he disbursed through direct payments The table below sets forth the components to be financed out of the proceeds of the Loan, Grant and Local contribution, the allocation of the Loan, Grant and Local contribution to each component to be financed: Cost per IPA 2009 category Financial Grant Local Measures in million EUR Cooperation Loan Funds Contribution Measures road component Rehabilitaton an Construction of up to 100km 19,5 11,5 8,0 - Detailed Design and Environmental Procedure 0,4 - 0,4 - Supervision 1,1 1,1 - - Procurement and Contract Management 0,2 0,2 - - ADF Administration Cost 0,9 0,3 - 0,6 Contingencies 2,3 1,9 0,4 - Total Road Component 24,4 15 8,8 0,6 As at 31 December 2W01 the cumulative amount of UUR 14,912,397 (2016: EUR 13,398,226) has been disbursed from the loan of KN through direct payments for the Roads Component and the amount of FUR 8,816,653 (2016 EUR 8,356,752) has been disbursed from the grant amount of KENFW as part of the 11A 2009, through direct payments also, Community works IV funded by CEB, Council of European Bank CEB Loan LD 1853 (2014) In accordance with the Loan Agreement (the "Agreement") dated 21 May 2014 between the Council of Europe Development Bank (hereinafter referred to as "CEB") and GoA, the Project received a loan of EUR 28,7.0,000 and a grant of EUR 1,000,000 The total cost of the Project is about FUR 36,7 million. Expenditure categories to be financed under the Loan and Grant are as follows: 19 1 General information (continued) GOA & Local Category CEB WBIF beneficiary Total Investment costs 27,500,000 5,000,000 32,500,000 Works 25,300,000 4,600,000 29,900,000 Design and supervision 2,200,000 400,000 2,600,000 Goods 200,000 - 200,000 Implementation & TA Cost 1,000,000 1.000,000 1,000,000 3.000,000 Contingencies 1,000,O0 - 1,000,000 Total 29,700,000 1,000,000 6,000,000 36,700,000 i\s at 31 DXcember 2017 the cumulative amount of E-UR 200,000 (2016: EUR 200,000) has been disbursed from the Grant, the cumulative amount of FUR 1,500,000 (2016: Nil) has been disbursed fron the CRB ,oan and the cumulative amount of Ft-IR 150,000 (2016: Nil) has been disbursed from the \WTIF( Grant. GoA is liable for the commitment and other local charges to the Loan and Grant. The initial expected closing date of the Project is 30 September 2019. Integrated Urban and Economic Development Project funded by IBRD/WB IBRD Loan LD 8656 AL In accordance with the Loan Agreement (the "Agreement") dated 13 December 2016 between the Republic of Albania and International Bank For Construction and (hereinafter referred to as (IBRD) he Project received a loan of EUR 63.800,000 including VAT. The following table specifies the categories and the percentage of Eligible Expenditures in each category which will be financed under the Loan are as follows: Amount of the Loan Allocated Percentage of Expenditures to be (expressed in Euro) financed (inclusive of Taxes) Category (1) Works 49,816,500 100% (2) Goods 2,530,000 100% (3) Consultant Services 8,710,000 100% (4) Operating Costs 2,530,000 100% (5) Trainmg 54,000 100% Amount payable pursuant to Section 2,03 of this Agreement in accordance with Section 2.07 (b) of (6) Front-end Fee 159.500 the General Conditions Total amount 63,800,000 As at 31 December 2017 the cumulative amount of ELUR 1,500,000 has been disbursed from the IBRD Loan. The initial expected closing date of the Project is July 31, 2022. 2 Basis of preparation The special purpose financial information has been prepared in accordance writh the accounting policies in note 3, under the Cash Basis of Accounting. Cumulative information on cash receipts and disbursements from the Projects inception to 31 December 2014 is presented in the Statement of Sources and Uses of Lunds for information purposes only. The special purpose financial information is presented in EUR unless otherwise stated. 20 2 Basis of preparation (continued) The special purpose financial infornation comprises the Consolidated Statement of Sources and Uses of Funds, the Consolidated Statement of Expenditures used as the basis for the submission of withdrawal applications and a summary of significant accounting policies and other explanatory notes. As supplementary schedules to the special purpose financial information are presented the Statements of Special and Project's Accounts associated with the Organization and Projects. 3 Summary of significant accounting policies A sunmary of significant accounting policies underlying the preparation of the Project's special purpose financial information is presented below, 3.1 Foreign currency transactions Funds are received in EURO, USD, SDR and ID and expenses are paid in EUR, USD or LEK. The Organization has adopted the EUR as its reporting currency for consistency with the reporting needs of its main donor. 3.2 Cash Cash and bank balances in other currencies are converted into EUR at the year-end rate of exchange. Transactions in currencies other than EUR are converted to the reporting currency at the rate ruling at the date of the transaction. The table below shows the exchange rate of EUR as at 31 December 2017 and 31 December 2016 31 December 2017 31 December 2016 Albanian Lek 132.95 135-23 US Dollar 12 1,06 SDR 0.84 0.78 3.3 Recognition of income and expenses Income is recognized when received rather than when earned, and expenses are recognized when paid rather than when incurred. 3.4 Taxation The Organization and projects are exempt from income tax and the Government of Albania is responsible for reibursement of Value Added Tax ("VAT"), withholding tax and custom duties incurred. The Organization and projects are liable for personnel income tax, social security contributions and withholding tax. 21 4 Interiational Donor Funding The international donor funds received by ADF and the Projects during 2017 and 2016 were as follows: Secondary & Local Roads Project Year ended Year ended 31 December 2017 31 December2016 EBRD Grant - 34,755 EIB Grant 380,794 259,939 IDB funding - 1,130,595 Istisna funding - 483,568 IPA 2009 459,901 2.112,927 KFW SIV IV 1,514,171 4,224,198 IPA 2010 244,305 3,139,135 IPA 2011 1,864,894 392,841 Total 4,464,065 11,777,958 Rural Water Supply (KFW) Year ended Year ended .____ _ .... . ..31 December 2017 31 December2016 SIF IV 210,172 1,079,973 KfW funding phase I and phase lI - 118,027 WBIF RWSIII 461,592 198,921 KFW RWSIII 121,354 - IPA 2013 RW111 182,032 - KFW SIV IV Grant 282,723 117,062 Total 1,257,873 1,513,983 Community Works Programme IV (CEB) Year ended Year ended 31 December 2017 31 December2016 CEB Loan CWPIV 8,600,000 1,500,000 WBlF Grant CWPIV 839,446 150,000 Total 9,439,446 1,650,000 Integrated Urban and Tourism Development Project funded by IBRD Year ended Year ended 31 December 2017 31 December 2016 IEBRD 1,500,000 - Total 1,500,000 . 22 4 International Donor Funding - continued Albanian Development Fund -Yearencled Yearended 31 December 2017 31 December 2016 IPA Ipatech 30,238 IPA Monteal 9,273 IPA Hera 65,868 93,272 Swiss Fund 9,378 Norwegian fund 28,895 AADF Fund 172,154 Total 96,106 312,972 5 Government of Albania Contributions The total contribution from the Government of Albania during 2017 and 2016 are summarized in the following table, per project: Year ended Yearended Project/ Donor 31 December 2017 31 December 2016 Secondary & Local Roads Project 1,997,467 2,767,307 Rural Water Supply 87,506 297,108 Rural Water Supply III 152,232 39,784 Community Works IV 2,570,159 468,234 ADF GoA Programme 41,424,620 15,362,432 Total 46,231,984 18,934,865 Govenn-nt of Albania contribution for local contibutionll during 201 and 2016 as per each project is compoed as follows. lhe amount of PUR 18,073 represent the excess funds returned to the account of the Organization upon the corpletion of the project. Year ended Year ended Project/Donor 31 December 2017 31 December2016 Secondary & Local Roads Project (18,075) 206,935 Albanian Development Furd 1,173,268 1,312,939 Rural Water Supply 13,381 29,595 Communrty Works IV 445,970 319,101 Total 1,614,544 1,868,570 Government of Albania contribution for VAT during 2017 and 2016 as per each project is composed as folows: Year ended Yearended Prect/Donor 31 December 2017 31 December 2016 Secondary & Local Roads Project 2,015,542 2,560,372 Albanian Development Fund 87,492 250,652 Rural Water Supply 74,125 267,513 Rural Water Supply III 152,232 39,784 Community Works IV 2,124,189 149,133 Total 4,453,580 3 ,2 6 7 ,4 5 4 23 5 Government of Albania Contributions - continued Government of Albania contribution for civil work during 2017 and 2016 as per each project is composed as follows: PoetDnrYear ended Year ended 31 Decem 2e21 31 December 2016 Albanian Development Fund 40,163,860 13,798,841 Total 40,163,860 13,798,841 6 Contribution from Munici palities Contribution from municipalities during 2017 and 2016 for projects is composed as follows. The amount of L'R 6,229 and EUR 102,167 represent the excess funds returned to the account of the Organization upon the corpletion of the project. Year ended Year ended ProjectlDonor 31 December 2017 31 December 2016 Funds from SLR returned to ADF accounts (102,167) Rural Water Supply Programme (KfW) (6229) Rural Water Supply Programme II (KfW) 870,287 52,810 Albanian Development Fund 199,879 228,196 Total 961,770 281,006 7 Civil works Civil works by project during 2017 and 2016 were as follows: Year ended Yearended 31 December 2017 31 December 2016 Secondary & Local Roads Project 3,990,899 13,334,716 Community Works Project IV 7,812,239 378,462 Rural Water Supply Programme 164,116 1,260,134 Integrated Urban &Economic Development programme 71,652 - Albanian Development Fund 38,897,755 12,691,458 Total 50,936,661 2 7 ,6 6 4 ,7 7 0 This expense category consists of expenses for financing sub-projects related to rural modernization, health and education, protection of the environment and improving the living conditions in urban areas, such as rural roads, water supply networks, public schools and health centers, public markets, streets and sidewalks. These expenditures are financed by the donors and Albanian local contribution based on the respective agreements specifying the financing portion, related VAT is reimbursed b" GoA- 8 Cnsultancy service s and training Consultancy services and training by project during 2017 and 2016 were as follows: Year ended Year ended 31 December 2017 31 December 2016 Secondary & Local Roads Project 350,826 712,279 Rural Water Supply Programme 431,786 409,430 Rural Water Supply Ill 764,978 198,921 Integrated Urban &Econonic Development programme 48,825 - Community Works Prolect IV 1,264.905 429,038 Albanian Development Fund 1,376,485 1,657,454 Total 4,237,805 3 ,4 0 7 ,122 24 9 oods Expenses for goods by projec during 201 and 2016 were as follows: Year ended Year ended 31 December 2017 31 December 2016 Secondary & Local Roads Project . Community Works Project IV 79,689 4,006 Integrated Urban & Economic Development programme 105,481 - Albanian Development Fund 9,058 5,165 Total 194,228 9,171 10 srhett oporA,ing ot Incremenal operating costs by project during 2017 and 2016 were as follows: Year ended Veerended 31 December 2017 31 December 2016 Secondary & Local Roads Project 12,656 49,016 Rural Water Supply Programme 32 73,117 Integrated Urban &Economic Development programme 164,396 - Albanian Development Fund 1,230,440 1,105,845 Community Works Project IV 227,338 150,917 Total 1,634,862 1,378,895 Increm-ental operating costs bY category are detailed as following for 2017 and 2Q16: Year ended Year ended 31 December 2017 31 December 2016 Personnel costs 1,351,870 1,101,317 Office supplies 2,639 21,922 Travel and per diems 21,703 19,664 Utilities 27,626 27,604 Third party services 37,686 38,015 Fuel 72,533 62,554 Vehicle expenses 33,580 36,165 Publications 19,277 11,657 Office rental 18,125 15,394 Contract Services 20,492 13,015 Other 24,499 26,980 Bank charges 4,832 4,608 Total 1,634,862 1,378,895 25 11 VAT Expensr In accordance with the financi agreement, the Government of Albania is responsible for reimbursing VAT incurred b the proiccts. VAT expenses incurred by Projects during 2017 and 2016 were as follows: Year ended Year ended 31 December 2017 31 December 2016 Secondary & Local Roads Project 2,016,096 2,786,437 Rural Water Supply Programme 79.936 272,983 Rural Water Supply Programme 11 152,232 39,784 Community Works Project IV 1,847,061 284,183 Albarna 30,735 266,790 Total 4,126,060 3,650,177 12 Cash on hand and at banks Ca1sh on hand and at banks as at 31 December 2017 and 2016 comprises the following: 31 December 2017 31 December 2017 31 December 2016 App LEK EUR EUR equivalent EUR equivalent Cash on hand ADF own activities Subtotal No 2117456 II - -- No 2117566 E III - - - 1,914 No 111-2857700-30112 IV - 8,691 No-111232389030119 V 49,291,821 - 370,754 319,883 No. 1112323890301 19/DEP VI - - - - No. 111232385030118 VII 6,977,461 - 52,482 139,504 No.111285464030118/1 Deposit Vill - - No. 30110/ Deposit IX - - No. 111285464030117 X 11,823,843 88,934 23,453 No. 30117/ Deposit XI - - - No.111232385030120 XII - 365,765 365,765 560 No 111232385030221 XIII - 65,867 65,867 1 No 111232385030129 XIV - - - 1,274 No 00369685000 XV 549,034 4129 4,574 No 369685 ALL (EIB) XVI - - - No. 719,075 XVII - 119,202 119,202 184,123 No. 719,073 XVIII 202,450,519 - 1,522,757 511,412 No 741094 XIX - - - 149,925 No. 2117-658E/CEB WBIF XX - - - No. 111232385050215 XXI 16,635,582 - 125,127 No. 2117-709 WB XXII - - - - No. 931213 XXIII 148,018,103 - 1,113,337 No. 111 2822 210 30116 XXIV 12,996,364 - 97,756 NO. 111-2822-210-50113 XXV - No. 117 4030 2903 0110/DEP XVI - - No. 111-2822-210-30110 XXVII 118,622,920 - 892,237 - No. 66999919 XXVIII - - - 8,472 Treasury Project Account XXIX - - - 126,155 Total 567,365,647 550,836 4,818,347 1,479,941 26 13 Subsequent events There are no other significant events that would require either adjustments or additional disclosures in the special purpose financial infon-ation. 27 APPENDICES (Unaudited) ALBANIAN DE\ELOPMENT FUND Consolidated Statements of Project's Accounts for the year ended 31 December 2017 (Consolidated Supplementary schedules to the Special purpose financial information) A C1 L- Related project: ADF Activity Account No: Cash on hand Depository Bank ADF Currency Lek Suppi ementatry Schedule of Curnent Accotan Statement 2017 2016 Balance as at 1 January Funds received: Funds transferred from Union Bank Acc- No. 30117 LEK 1035000 500,000 TotaI funds received 1035.000 500,000 Disbursements- Project expenditures (841,038) (330,593) Transferred to Union Bank Acc. No 30120 EUR (135,000) Disbursements transferred to Union Bank Acc. No. 30117 LEK (58962) 9407 Total disbursements (1,035,000) 500,000) Balance at 31 December -Akp--idix-1 uppI n d O f Speaiz Account Statement Related Project: EIB Grant 2 2007-0519 Account No: 21175666E Depository Bank Bank of Albania Address Sheshi Skenderbej No, 1, Tirana Currency EUR 2017 2016 Balance as at 1 January Funds received: Funds received from EIB Grant 380 864 259,940 Total funds received 380,864 259,940 Disbursements Transferred to Union Bank Acc. No. 354301 EUR (BE[ Grant 11) (380,964) (259,940) Bank Charges reimbursed ?7???? 100 Total disbursements (380,864) (259,940) Balance at 31 December II )oendix HI Supplementary Schedl of Speci a Account Statement Related Project: EIB Grant 2 2007-0519 Account No: 287160250124 Depository Bank Union Bank Address Bulevardi Zogu 1, Tirana Currency EUR App. 2017 2016 Balance as at 1 January 1,914 11,523 Funds received: Funds transferred from Special Account 2117566E VII 380,964 259,939 Funds returned back to EIB (70) Funds transferred from Union Bank Acc. No- 30116 408 Funds transferred from Union Bank Act. No. 30112 - 2,587 Total funds received 301,302 262,526 Disbursements: Project expenditures (258,455) (174,719) Funds transferred to Union Bank Acc. No. 30112 (96,858) Funds transferred to Union Bank Ace. No. 30117 (97,413) Funds transferred to Union Bank Acc. No. 30116 (27,370) - Bank charges 22 (558) Total disbursements (383,216) (272,135) Balance at 31 December - 1,914 Ill Supplementary Schedule of Current Account Statement Related Project: IDA Credit 4459-AL Account No: 111-2857700-30112 Depository Bank Union Bank Address Bulevardi Zogu 1. Tirana Currency LEK 2017 2016 Balance as at 1 January 1,175,250 15,629,581 Funds received: Funds transferred from Istisnas 10,403,403 Funds transferred from Credins Bank Account No. Acc. No.669919 5,269,154 Funds transferred from Union Bank Acc No. 50221 33,360,089 Funds transferred from Union Bank Acc. No. 30117 28,001,318 Funds of GOA transferred from Project RWS (Union Bank Acc, No. 30113 - LEK) 10893,000 Funds transferred from Credins Bank Acc. No.719075 Eur 1,109,554 Funds transferred from Union Bank Acc. No. 30119 2,000,000 Funds transferred from Union Bank Acc. No 30112ADF 24,961,769 Funds transferred from Union Bank Acc. No. 30112 RWS 85,377 Funds transferred from Union Bank Acc. No. 30112 SLRP 2,118,541 Funds transferred frorn Union Bank Acc. No. 30116 12,835,194 - Interests 1,645 Funds transferred from BKT Acc No. 401284508 18,087 Funds transferred from Treasury account 17,059,899 209,429,380 Total funds received 29,895,093 327,651,317 Disbursements: Project expenditures (4,183,632) (292,392,725) Transferred to Union Bank Acc. No. 297-1222-50221 EUR (CEB Grant) (8,412,000) Funds transferred to Credins Bank Acc. No. 719075 (5,292) Transfer to Union Bank Acc. No. 250-124 EUR (EBRD)) (355,798) Funds transferred to Union Bank Acc. No. 30112 ADF (2,203,917) Funds transferred to Union Bank Acc, No. 30112 RWS (3,226,093) Funds transferred to Union Bank Acc. No. 30112 CWPIV (21,735,677) Funds transferred to Union Bank Acc. No. 30117 (4,781,097) Funds transferred to Credins Bank Acc No. 69919 (6,407,022) Funds transferred to Credins Bank Acc. No. 3695685 (26,384) Funds of GOA transferred to RWS Union Bank Acc No 30113- LEK (2,401,186) Funds transferred to Union Bank Acc. No. 30116 LEK (26,885,711) Bank charges (158,457) Total disbursements (31,070,343) (342,105,648) Balance at 31 December - 1,175,250 Equivalent in EUR - 8,691 IV Supplementary Schedule of Current Account Statement Account No: 117 4030 2903 0119 Depository Bank Union Bank Address Tirana Currency LEK 2017 2016 Balance as at I January 43,257,831 10,956,586 Funds received; Funds received Beneficiary FZHR 25,218.620 31,116,765 Funds transferred from Treasury 235,470 Funds transferred from UN Bank Acc. No30119 LEK dep 78,994,352 64,414,559 Funds transferred from UN Bank Acc. No30116 LEK 2,000,000 Funds transferred from RZB Bank Acc. No 4651 LEK - 20,922,204 Interest recelved Total funds received 106,448,442 116,453,528 Disbursements: Expenditures (235,470) Funds transferred to UN Bank Ac. No30119 LEK dep (78,722,112) (64,150,633) Funds transferred to Union Bank Acc. No. 30117 (21,456,870) (18,000,000) Funds transferred to Union Bank Acc. No. 30112 - (2,000,000) Bank Charges (1,650) Total disbursements (100,414,452) (84,152,283) Balance at 31 December 49,291,821 43,257,831 Equivalent in EUR 370,754 319,883 V Appe nclix V 1 u rurent Account Statement Account No: 117 4030 2903 0119/DEP Depository Bank Union Bank Address Tirana Currency LEK 2017 2016 Balance as at 1 January Funds received: Transfer from BKT Acc. No. 401832290 depost 78,722,111 64,150,633 Interest income 272,241 263,926 Total funds received 78,994,352 64,414,559 Disbursements- Transfer to BKT Acc. No. 401832290 deposit (78,994,352) (64,414,559) Total disbursements (78,994,352) (64,414,559) Balance at 31 December VI App endiN"'l Supplemntr che do of Current Account Statement Account No: 111232385030118 Depository Bank Union Bank Address "Deshmoret 4 Shkurti Street, Tirana Currency LEK 2017 2016 Balance as at 1 January 18,865,113 32,576,401 Funds received: Funds received from beneficiary of KfW 777,544 7,338,124 Funds transferred from Credins Bank Acc No. 369685000 30,466,475 Funds transferred from Union Bank Acc. No. 30118/1 Deposit 20,022,959 52,281,817 Income tax interests returned Total funds received 20,799,484 90,086,416 Disbursements: Project expenditures (12,180,693) (48,425,416) Funds returned back to KFVV Funds transferred to BKT Ace. No. 401832290 Funds transferred to Union Bank Ace No. 30118/1 Dep. (20,000,000) (52,046,401) Funds transferred to Union Bank Ac, No. 30113 Transfer of interest to Union Bank Acc. No. 30117 (502,443) (3,325,737) Bank charoes (4,000) (140 ( Total disbursements (32,687,136) (103,797,704) Balance at 31 December 6,977,461 18,865,113 Equivalent in EUR 52,462 139,504 VI[ Suppi~~ ~~ Cnitr h~ue Iurrent Accounit Statement Account No: 111285464030118/1 Deposit Depository Bank Union Bank Address Boulevard "Zogu I Tirana Currency LEK Balance as at 1 January20701 Funds received: Funds transferred from Union Bank Acc. No. 30118 LEK 20,000,000 52,046,401 Interest received 22,959 235,415 Total funds received 20,022,959 52,281,816 Disbursements: Project expenditures Transferred to Union Bank Acc No- 30118 LEK (20,022,959) (52,281,816) Total disbursements (20,022,959) (52,281,816) Balance at 31 December VIl Account No: 30110/ Deposit Depository Bank Union Bank Address Boulevard "Zogu I Tirana Currency LEK 2017 2016 Balance as at 1 January . Funds received: Transferred from Union Bank Acc No- 30110/ LEK 230,669,600 Interest received 474,987 Total funds received 231,144,587 Disbursements- Funds transferred to Unron Bank Acc. No, 30110 (231,144,587) Total disbursements (231,144,587) Balance at 31 December IX A,pendix 7 SUPP101oritary Sof Current Account Statement Account No: 111285464030117 Depository Bank UNION BANK Address Boulevard "Zogu I Tirana Currency LEK 2017 2016 Balance as at 1 January 3,171,534 10,453,624 Funds received: Funds from petty cash 58,962 169,407 Funds transferred from Treasury 4,976,636 40,594,687 Swiss Funds - 1,305,348 Funds transferred from Union Bank Acc. No. 30118 (ADF) 502,443 3,325,736 Funds transferred from Union Bank Acc. No. 30119 21,456,870 18,000,000 Funds transferred from Union Bank Aco. No. 30117/1 dep 30,125,474 5,007,521 Funds transferred from Union Bank Acc. No. 30117/ADF - 13,992,656 Funds transferred from Union Bank Ace. No. 30117/SLR Funds transferred from Union Bank Acc. No 30116/ADF 1,957,394 Funds transferred from Union Bank Ace. No. 30112/ADF - 4,781,097 Funds transferred from Union Bank Ace. No 30129 134 1,323,650 Funds transferred from Union Bank Acc. No. 30127 - 450,998 Funds transferred from Union Bank Acc. No. 30124 12,858,561 - Funds transferred from Union Bank Ace. No 30221 IPAHERA - 1,012,552 Funds transferred from Union Bank Acc. No. 30120 IPATECH 20,514 40,230 Funds transferred from Union Bank Acc. No 30110 474,687 - Sale of bid 1,958,246 1,229,515 Income tax deposit (82,355) - VAT IPA reimbursed from Tax Office - 1,390,466 Total funds received 74.307.566 92.624,863 Disbursements: Project expenditures (31,582,687) (51,375,319) Funds transferred to petty cash (1,035,000) (500,000) Funds transferred to Credins Bank Acc, No 96850000 TransferredtoUnionBankAccNo.30117/ide (5,000,000) Funds transferred to Union Bank Acc. No. 1112323850-30118 in Lek Funds transferred to Union Bank Acc. No. 30117 in Lek - (13,992,656) Funds transferred to Union Bank Acc. No. 30117 DEP (30,000,000) Funds transferred to Union Bank Ace. No. 30116 Lek (1.429,226) Funds transferred to Union Bank Acc. No. 30129 EUR [PAMON (1,552,185) Funds transferred to Union Bank Acc. No. 30112 in Lek - (28,001,318) Funds transferred to Union Bank Acc. No, 30113 in Lek - (736,036) Interest's withholding tax - (97,711) Bank charges (56,159) (203,913) Total disbursements (65,655,257) (99,906,953) Balance at 31 December 11,823,843 3,171,534 Equivalent in EUR 88,934 23,453 X Appendix I Supp~ emntar ~ u of Current Accoun Statement Account No: 30117/ Deposit Depository Bank Union Bank Address Boulevard "Zogu I" Tirana Currency LEK 2017 2016 Balance as at 1 January . . Funds received: Funds transferred from Union Bank Acc. No. 30117 LEK 30,000,000 5,000,000 Interest received 125,474 7,521 Total funds received 30,125,474 5,007,521 Disbursements: Project expenditures . Transferred to Union Bank Ace No 30117 LEK (30,125,474) (5,007,521) Total disbursements (30,125,474) (5,007,521) Balance at 31 December XI /ppendix ] I I u Current Account Statement Account No: 111232385030120 Depository Bank Union Bank (IPA Adriatika) Address Tirane Currency EUR 2017 2016 Balance as at 1 January 560 561 Funds received: Funds from IPA Adriatika 30,238 - Funds transferred from Union Bank Acc 30117 LEK 1,000 - From bank guaranty 334.887 Income tax deposit 156 Sale of Bid 945 300 Total funds received 367,226 300 Disbursements: Project expenditures (1,865) - Transferred to Union Bank Acc. 30117 LEK (156) (300) Bank charges (1) Total disbursements (2,021) (301) Balance at 31 December 365,765 560 XII :' ne r,le of Current Account Statement Account No: 111232385030221 Depository Bank Union Bank (IPA HERA) Address Tirane Currency EUR 2017 2016 Balance as at 1 January 1 23,981 Funds received: Funds from IPA HERA 65,866 93,272 Funds from AADF - 172,154 Funds transferred from Union Bank Acc. No 30112 LEK - 60,000 Total funds received 65,866 325,426 Disbursements: Project expenditures - (191,501) Project expenditures reimbursed /transferred to Union Bank Acc 30112 LEK (157,180) Transferred to Union Bank Ac. 30117 LEK (56) Bank charges 'r,______________ R (669 Total disbursements - (349,406) Balance at 31 December 66,867 1 XIll Supp oernentarvy Sth&tdu of Current Account Statement Account No 1112323850301-29 Depository Bank Union Bank (MONTEAL) Address Tirane Currency EUR 2017 2016 Balance as at 1 January 1,274 1,699 Funds received: Funds from IPA MONTEAL - 9,273 Funds transferred from Union Bank Acc. No.30117 [EK 11,371 - Total funds received 1371 9,273 Disbursements: Project expenditures (12,644) - Project expenditures reimbursed /transferred to Union Bank Acc No. 30117 LEK (1) (9,697 Bank charges - Total disbursements (12,645) (9,698) Balance as at 1 January 1,274 x1v Account No: 0039685000 Depository Bank Credins Bank Address BlIoku Currency LEK ________ _____________2017 2016 Balance as at 1 January 618,491 107,940 Funds received: Funds tFrnferred from BKT Acc- No. in [EK 401 832290 dep 30,512,051 Funds transferred from Credins Bank Acc No 450054 Dep 30,466,475 Interests 13,373 Total funds received 13,373 60,978,526 Disbursemients Funds trarsferred to Credins Bank AGc. No 450054 Dap (30,000,000) Funds transferred to Union Bank Acc. No 30117 (30,456,475) Bank charges (82,630) (1,500) Total disbursements (82,830 (60,467,975) Balance at 31 Decem,ber 549,034 618,491 Equivalent in EUR 4.129 4,574 xv SuppIemientary Sc±sduhe of Special Account Statement Account No: 2117-648E/CEB Loan-Grant Depository Bank Bank of Albania Address Sheshi Skenderbej, Tirana Currency EUR 2017 2016 Balance as at 1 January . . Funds received: Funds received from CEB Loan 8,600,000 1,500,000 Funds received from CEB Grant Total funds received 8,600,000 1,500,000 Disbursements: Funds transfer to Credins Bank Acc. No. 719075/EUR - - Funds transfer to Credins Bank Acc. No 719073/Lek (8,600,000) (1,500,000) Total disbursements (8,600,000) (1,500,000) Balance at 31 December XVI ,Arn)Iendix XVI SPtlm tar -"'c hr.ule- ofCuedAc nttto en Account No: 719075 CEB Loan&Grant Depository Bank Credins Bank Address BIloku, Tirana Currency EUR 2017 2016 Balance as at 1 January 184,123 106,210 Funds received: Funds transferred from Special Account No. 21176488E Funds transferred from Credins Bank Aco. No 9073 93,690 Funds transferred from Union Bank Acc No- 30112 39 Funds transferred from Union Bank Acc No 50215 184 Interests received -(3) Total funds received 184 93,726 Disbursements: Project expenditures (46,834) (7,575) Funds transferred to Union Bank Acc. No. 30112 (8,343) Funds transferred to Union Bank Acc. No 30116 (16,387) Funds transferred to Union Bank Acc. No, 9073 (1,830) Bank charges (54) 105 Total disbursements (65,105) (15,813) Balance at 31 December 119,202 184,123 XVtl Account No: 719073 Depository Bank Credins Bank Address Bloku, Tirana Currency Lek 2017 2016 Balance as at 1 January 69,158,417 Funds received: Funds transferred from Special Account No. 21176488E 1,163,064,000 207,555,000 Funds transferred from Treasury account 51,340,783 117,614 Funds transferred from Credins Bank Ac. No- 9075 250,293 - Funds transferred from Union Bank Acc- No. 50215 374,998 . Interests received - 136 Total funds received 1,215,030,074 207,672,750 Disbursements: Project expenditures (1,081,727,472) (125,468,408) Funds transferred to Credins Bank Acc. No. 9075 - (13,023,010) Bank charges (10,500) (22,915) Total disbursements (1,081,737,972) (138,514,333) Closing balance at 31 December 202,450,519 69,158,417 Equivalent in EUR 1,522,757 511,412 XVIII pe n)d cnd Supplementary Schedua of Current Account Statement Account No: 741094 WBIF Depository Bank Credins Bank Address Bloku. Tirana Currency EUR 2017 2016 Balance as at 1 January - Funds received: Funds transferred from Special Account No 2117658E 844,468 150,000 Funds returned to donor (5,022) Funds transferred from Union Bank Acc- No. 50215 429 Interests reimbursed (30) 30 Total funds received 839,845 150,030 Disbursements: Project expenditures (989,446) Bank charges (324) (105) Total disbursements (989,770) (105) Closing balance at 31 December 149,925 XIX Aen113x N SUPPlementar-Y Sceue of Special Account Statement Account No: 2117-658E/GEB WBIF Depositor Bank Bank of Albania Address Sheshi Skenderbel, Tirana Currency EUR __________________________________2017 2016 Balance as at 1 January Funds received: Funds received from GEE3 Loan 844,468 160,000 Total funds received 844,468 1501000 Disbursements- Funds transferred to Gredins Bank Acc, No. 741094/EUR 84-48 - 144468 (50,00 Total disbursements (4444688 ( 150 , 000 ) Balance atS31 Decernber xx peXnd Supplementary Schedule of Current Account Statement Account No: 50215 Depository Bank Union Bank Address Garda, Tirana Currency Lek - - 2017 2016 Balance as at 1 January Funds received: Funds transferred from Union Bank Ac, No. 30116 17,784,693 Funds transferred from Treasury account 22,811,803 40,596,496 Disbursements: Project expenditures (20,757.744) Funds transferred to Credins Bank Aco. No 9075 (24,736) Bank charges (160,400) Funds transferred to Credins Bank Acc. No 741094 (58,389) Funds transferred to Credins Bank Acc. No. 9073 (374,998) Funds transferred to Credins Bank Acc. No. 30116 (2,584,647) - (23,960,914) Closing balance at 31 December 16,635,582 - Equivalent in EUR 125,127 XXI Ap1))cad.jx Supplementary Schedule of Special Account Statement Account No: 2117-709 WB Depository Bank Bank of Albania Address Sheshi Skenderbej, Tirana Currency EUR 2017 Balance as at 1 January . Funds received: Funds transferred from Special Account No- 2117398E 1,500,000 Total funds received 1,500,000 Disbursements Funds transfer to Credins Bank Acc. No. 931213/Lek (1,500,000) Total disbursements 1,500,000 Closing balance at 31 December XXII Supplementary Schedule of Current Account Statement Account No: 931213 Depository Bank Credins Bank Address BIlIoku, Tirana Currency Lek 2017 Balance as at 1 January . Funds received: Funds transferred from Special Account No 2117-709 WB 200,095,000 Total funds received 200,095,000 Disbursements- Project expenditures (52,045,391) Bank charges (31,506) Total disbursements (52,076,897) Closing balance at 31 December 145,018.103 Equivalent in EUR 1,113,337 XXIII Supp emenary r chduIe of Current Account Statement Account No: 111 2822 210 30116 Depository Bank Union Bank Address "Deshmoret 4 Shkurtr Street, Tirana Currency LEK Total Account Movement 2017 Balance as at 1 January Funds received: Transfer from Treasury 191,262,343 Transferred from Union Bank Acc- No. 30117 1,429,226 Transferred from Union Bank Acc- No. 30112/ADF 8,514,336 Transferred from Union Bank Acc, No. 30112/CWPIV 17,197,128 Transferred from Union Bank AcG- No. 30112/SLR 1,175,249 Transferred from Union Bank Acc. No. 50215 2,584,647 Transferred from Union Bank Acc. No. 50124 3,599,198 Transferred from Credins Bank Acc. No. 669919 1,147,824 Transferred from Credins Acc- No. 719075 2,174,545 Interests _ _ (16,151) 229,068,345 Disbursements: Project expenditures (181,251,129) Transferred to Union Bank Acc. No 30112 LEK ACF (12,835,195) Transferred to Union Bank Acc. No. 50124 EUR (55,804) Transferred to Union Bank Acc. No. 30117 LEK /ADF (1,957,394) Transferred to Credins Bank Acc No. 669919 (2,600) Transferred to Union Bank Acc No 50215 Lek/CWPIV (17,784,693) Transferred to Union Bank Acc. No 30119 LEKISLR (2,000,000) Bank charges 185,164 (216,071,979) Balance at 31 December 12,996,367 Equivalent in EUR 97,756 XXIV Apj)eti:dix XX Supp ementary chedule of Current Account Statement Account No: I 11-2822-210-50113 Depository Bank Union Bank Address "DeshMoret 4 Shkurti" Street, Tirana Currency Lek 2016 Balance as at 1 January Funds received: Received from benefia 2,414,000 Total funds received 2,414,000 Disbursements: Transferred to Union Bank Ace. No. 3011 0/Lek (2,414,000) Total disbursements 2,414,000) Closing balance at 31 December xxv ikpp endix X7 Supplementary d lf Current Account Statement Account No: 117 4030 2903 0110IDEP Depository Bank Union Bank Address Tirana Currency LEK 2017 2016 Balance as at 1 January Funds received: Funds transferred from UN Bank Acc No 30110 LEK 230,663,824 - Funds transferred from UN Bank Acc No 30118 LEK 5,775 Interest received __ 474,987 - 231,144,587 - Disbursements: Funds transferred to UN Bank Acc No 30110 LER (231,144,587 - Balance at 31 December XXVI Supp eme t chS du e of Current Account Statement Account No: 111-2822-210-30110 Depository Bank Union Bank Address "Deshmoret 4 Shkurtit" Street. Tirana Currency LEK 2017 Balance as at 1 January . Funds received Received from beneficiary 116,208,920 Transferred from Union Bank Ac. No. 30110/1DeplLek 231,144,587 Transferred from Union Bank Acc. No. 50113/Lek 2,414,000 Interest returned . Total 349,767,507 Disbursements Project expenditures Transferred to Union Bank Acc No. 30110/ Dep/ ADF (230,669,600) Transferred to Union Bank Acc, No. 30117Lek (474,687) Bank charges (300) (231,144,587) Closing balance at 31 December . . ............. 118,622,920 Equivalent in EUR 892,237 XXVII Suppleme rntary S u of Current Account Statement Account No: 6699919 Depository Bank Credins Bank Address "Ismail Qemalk Street, Tirana Currency Lek 2017 2016 Balance as at 1 January 1,145,624 Funds received: Interest deposit 200 10,156 Transfer from Union Bank Acc, No, 30116 2,600 - Transfer from Union Bank Acc. No. 30112 - 6,407,022 Total funds received 2800 6,417,178 Disbursements: Bank charges (600) (2,200) Transfer to Union Bank Acc. No. 30112 (1,147,824) (5,269,354) Transfer to Union Bank Acc. No. 30116 Total disbursements (1,148,424) (5,271,554) Balance at 31 December - 1,145,624 Equivalent in EUR 8,472 XXVIll 4ppendII SupI i ra r 22 ci ief Current Account Statement Related project All Projects Account No: Single Treasury Account Depository Bank Raiffeisen Bank Address Rr, Kavajes, Nr, 44 Currency LEK 2017 2016 Balance as at 1 January 17,059,899 Funds received: Funds from GoA participation 536,380,741 259,212,000 Funds from Government VAT 598,558,852 451,926,872 Funds from FZHR 1,078,086,994 1,707,159,706 Funds from Government Investment 3,989,115,814 165,721,941 Total funds received 6,202,142,401 2,584,020,519 Disbursements: Project expenditures (5,931,515,366) (2,315,399,968) Funds transferred to Union Bank Acc. No.30112 LEK (17,059,899) (209,429,379) Funds transferred to Union Bank Acc. No. 50215 Lek (22,811,803) Funds transferred to Union Bank Acc. No. 30117 LEK (4,976,636) (40,594,687) Funds transferred to Union Bank Acc. No. 30116 LEK (191,262,343) Transferred to CREDINS Bank Acc. No. 719073 (51,340,783) (117,615) Transferred to Union Bank Ace. No. 30119 (235,470) Funds transferred to Union Bank Acc. No. 30113 (1,418,271) Bank charges (700) Total disbursements (6,219,202,300) (2,566,960,620) Balance at 31 December -17,059,899 Equivalent in EUR 126,155 XXIX