Source document: https://docs-lawep.s3.us-east-2.amazonaws.com/1698839356137.pdf (Sierra Leone)
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CREDIT NUMBER 6O7E.SL GRANT N"UMBER 5350-5L Financing Agreement (Additional Financing for thc Public Financial Managcment Improvemcnt and Consolidation Project and Amendments to thc Original Financing Agreement) bctlr cen ITEPI]BI,IC OF SIERRA LEONI' and INTERNATIONAL DEVELOPMElVT ASSOCIATION Datcd .J UL) ZV 2011 { n'l \ I + ( _J' CREDIT N UMI}ER 6078.5L GRANT NUMBER 535O.SL FINANCINC AGIIEEMENT AGREEMENT dated Jer L\ , 2017, entered into between the REPUBLIC OF SIERRA LEONE ("Recipient") and the INTERNATIONAL DEVELOPMENT ASSOCIATION ("Association") for the purpose of providing additional financing for activities related to the Original Project (as defined in the Appendix to this Agreement).
The Recipient and the Association hereby agree as follows: 71 AI{TICLE I - GENEII,AL CONDITIONS; DEFINITIONS l.0l .

The Ceneral Conditions (as defined in the App€ndix to this Agreement) constitule an integral part ofthis 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 II - FINANCINC 2.01 The Association agrees to extend to the Recipient, on the terms and conditions set forth or refened to in this Agreement, a credit in an amount equivalent to seven million three hundred thousand Special Drawing Rights (SDR 7.i00,000) (variously, "Credit" and "Financing"), to assist in financing the project described in Schedule I to this Agreement ("Project").
2.02 The Recipient may withdraw the proceeds of the Financing in accordance with Section IV ofSchedule 2 to this Agreement.

2.0i.

The Maximum Commitment Charge Rate payable by the Recipient on the Unwithdrawn Financing Balance shall be one-halfofone percent (l/2 of l%) per annum.

2.04. l'he Service Charge payable by the Recipient on the Withdrawn Credit Balance shall be equal to three-fourths ofone percent (3/4 of I04) per annum.

2.05.

The Payment Dates are March l5 and September l5 in each year.
2.06.

The principal amount of the Credit shall be repaid in accordance with the repayment schedule set tbmh in Schedule 3 to this Agreement.

2.07 .

The Payment Currency is Dollar.

Ihrz 1 ARTICLE III _ PROJECT i.0l The Recipient declares its commitment to the objectives ofthe Project.

To this end, the Recipient through the Ministry of Finance and Economic Development ("MoFED") shall carry out the Project in accordance with the provisions ofArticle IV ofthe General Conditions.

3.02.
3.02.

Without limitation upon the provisions of Section l.0l of this Agreement, and except as the Recipient and the Association shall otherwise agre€, the Recipient shall ensure that the Project is carried out in accordance with the provisions of Schedule 2 to this Agreement.

ARTICLE IV _ REMEDIES OF THE ASSOCIATION 4.01.


The Additional Events ofSuspension consist ofthe lollowing (a) (b) as a result ofevents which have occurred after the date ofthis Agreement, a situation has arisen which shall make it improbable that the Program, or a significant part of it, will be carried out; and the AfDB has exercised any remedies under the Co-financing Agreement.
or agreed with the Recipient on any actions, that could materially and adversely aflect the ability ofthe Recipient to: (i) perform its obligations under this Agreement; and,/or (ii) successfully carry out the Project.

ARTICLE lV- EFFECTIVENESS; TERMINATION 5.01.

The Additional Condition ofEffectiveness consist ofthe following: (a) The Recipient has revised and adopted the Project Implementation Manual in accordance with paragraph B.l of Schedule 2 to this Agreement 5.02.
The Eflectiveness Deadline is the date ninety (90) days after the date of this Agreement.

5.03.

For purposes of Section 8.05(b) ofthe General Conditions, the date on which the obligalions ofthe Recipient under this Agreement (other than those providing lor payment obligations) shall terminate is twenty years after the date of this Agreement.

ARTICLE V _ REPRESENTATIVE; ADDRESSES 6.01 .

The Recipient's Representative is its rninister responsible lor finance ,w 6.02.
The Rccipient's Address is: Ministry of Finance and Economic Development Treasury Building George Street Freetown, Siena Leone Facsimile: 232 22 228 4'12 6.03.

The Association's Address is International Development Association l8l8 H Street, N.W.

Washington, D.C. 204i3 United States of America Cable: Telex Facsimile: TNDEVAS Washington, D.C. 248423 (MCt) l-202-477 -6391 t\- \-y I lr -4- AGREED at F€-eeTo H N day and year first above written.
,:;rCrt-R-A Li-r'r'': e , as of the REPUBLIC OF SIERRA LEONE By: \Y'#', Authorized Representative Name: ,tlsH6bu L. L+(,Geo Title: Fl r iltSf{R INTERNATIONAL DEVELOPMENT ASSOCIAl'ION By: f1," Name: ?

{tw Representative Tirle: WUrLU M+'/kq& i SCHEDULE I Project Dcscription The objective ofthe Project is to improve the public financial management system and accountability in the use ofgovernment finance.

The Project consists ofthe following parts: Prrt l. Strcnsthenins Budset.

Financial.
Financial.

l'rocuremcnt and Ta\ation Sr stcms Carrying out of a program of actions designed to improve the Recipient's overall budget planning at the national and local levels, and strengthen systems and procedures for accounling, reporting, public procurement and revenue ntanagement.

in particular: (a) Budget Planning, Credibility tnd Franextork Formulalion.
Strengthening budgetary planning at the national and local levels, through, inter alia: (i) Strengthening the institutional and technical capacities of the Budget Bureau on: (A) the GRP v7 budget execution processes and functions to generate budget reports for management reporting and end-user reporting; planning, irnplementation, and monitoring ofactivity-based budgeting; and (B) new planning and execution modules of IFMIS performance budgeting software.
(ii) Strengthening the framework and formulation for medium term budgeting, including, inter alia: (A) migration to a GFS20|4 compliant budget classification: (B) recalibrating the Budget Bureau's classification systems; developing and inrplementing a training program for MDAs and Local Councils; (C) facilitating the reconfiguration of the budgel module; and (D) integration of budget planning and execution in an inlegrated lFMlS.
(iii) Strengthening budgetary planning through: (A) configuration, testing, and quality review of the CRP v7 appropriations and budget rnodu)es; (B) integration of GRP contmct management sub-module with appropriations, budgeting, and other general ledge functionalities; (C) introduction of contract management and management of multi-year commitment control and arrears; and (D) decentralizarion ofbudger executlon processes by MDAs in enhancing timelincs and effectiveness in budget execution.
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'3urpn;cu1 'SutleSpnq uJal tunrpeur JoJ slrcuno3 luco'l Jo ,{llcedpo aql SurueqlSuaJts ^rau ("t) 9' -7- (iii) Strengthen financial management capacity of local councils through: (A) upgrade of PETRA software to perform "Procure to Pay" functions.
including commitment control; (B) revamp existing PETRA infrastructure; (C) scaling up ofcadastral system for enhanced revenue mobilizalion; (D) development of property cadaster management manual and provision of training to valuators, chief administrators, and Valuation Committee members; (E) provision of training to build the capacity of local councils in the collection and accounting for revenues; (F) raining in the use of the citizens' budget ternplate; (C) tmining in collection and accounting for revenue and mid-term expenditure reviews; and (H) training in use of IFMIS for use as financial management system.
including to generate budget execution reports.

(c) Public and Eleclronic Procurement SJ,sram.
Strengthening public procurement and conract managernent functions, in particular: (i) ( ii) Establishment ofa centralized public and electronic procurement (e-procurement) system for use by all MDAs, including a centralized view of all suppliers registered or blacklisted ior all classes (goods, consultancies and services covering manufactures and suppliers); online advertising ofbidding opportunities; online shortlisting, commenls, and conections and approvals; online submission ofbids; online sealing ofvirtual tender box; online bid opening, eyaluation, and approvals; issuance of purchase/work orders online; contract award publications; and data collection and dissemination.
Enhancing the institutional capacity of the public procurement function, through, inter alia: (A) designing and implementing a procurement capacity building strategy for delivery olappropriate tmining; (B) implementing a procurement training program for stakeholders, including, practitione$, the private sector, intemal auditors and civil society organizations; (C) development and adoption ofa strategy for provision ofthe training to MDAs in the use of the e-procurement system, including a comprehensive training calendar; (D) designing a freely accessible website/online portal for advertising contracts and publishing NPPA's revierv reports; and (E) operationalizing the procuremenl directorate in MoFED, all through the provision oftechnical advisory services, non-consulting services, training, operating costs and the acquisition ofgoods for the purpose.
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pBaT lo tutolay puo suta1s{g gauaSouoq anuaaay 'asodlnd aql :o3 spoo8Jo uourstnbce pu" gsoc Eulpredo 'SululEJl'sa3r^ras Aulllnsuo3-uou'socr^ras l?cruqJol Jo uorsr^ord q8norqt 11e 'sessecord EurlcBrtuoc aqlJo r{Jpa uo etep uado pernpnrls qsrlqnd ot uals,(s luaua:nco:d-a u!qlr^\ alnpotu zlep uado 3o luoruqsllqElse puu luotussesss Surlcertuoc uedo uu Surploq Surpnlcur .surals^s luauJe8euuu l.eJtuor Suruoqfuarts (l!l) ^rosr^pe (p) -8- 9- (ii) of technical advisory services, non-€onsultinB services, training and acquisition ofgoods for the purpose.
Strengthening the Recipient's extemal audit function and systems, in particular: (A) development of a comprehensive training program for auditors in collaboration with the University ofSierra Leone; (B) supporting professional training and certification of Audit Service Siena Leone's ('ASSL) staff; (C) supponing operationalization of the ASSL; and (D) design and implementation of audit management information systems, all through the provision of technical advisory services, non- consulting services, training, operating costs and acquisition of goods.
(iii) Strengthening the Recipient's legislative's and public oversight over PFM, in particular: the operational capacity and effectiveness of the Public Accounts Committee, the Public Finance Committee, and the Transparency and Accountability Committe€, respectively, all through the provision of technical advisory services, nonronsulting services, training, operating costs and acquisition ofgoods For the purpose.
(b) Open/Rig Doto ond NSA Enhancing the Recipient's accountability and oversight of resource expenditure, service delivery, and PFM through: (i) Open and Big Data Application.lntegrating open dat4 Big Data, and beneficiary feedback into PFM processes and service delivery opcrations.
This will be done through: (A) designing, piloting, and scaling up uses of Big Data for enhanced service delivery; (B) service delivery surveys and quality feedback mechanisms; (C) enhanced grievance redress mechanisms (CRMs) in service delivery operations of key sectors, including education.
health, Iand, and waler; and (D) implementation of ODRA recomrnendations, including: piloting the use of open data applications for improved government eflciency, support to Covelnmenl's Open Data Portal, developing sectoral data dashboards, incentivizing the public disclosure of existing government datasets, sensitization campaigns around open data, and introducing a provision for open data by default.

(ii) .4ccess to Informalion.
Ensuring full and effective implementation of the Right Io Access Information (RAI) Act, including: (A) identifoing and training RAI officers in MDAs; (B) promoting N t L - l0 - proactive disclosure ofinformation; (C) popularizing the RAI Act; (D) engaging in demand-side data and inlormation tminings: (E) piloting and scaling up records management good practices within MDAs and related actiyities to improve dala retention; and (F) harmonizing digital records management and related regulations with the RAI Act.
(iii) Support to Non-State .4clors.
Developing lhe analytical and dissemination capacities oF non-state actors ('NSAs") for adyocacy with a view to promoting transparency and external accountability over PFM, through, irrer a/ia: (A) strengthening the institutional and technical capacity ofthe NSA Secretariat for coordination of NSA activities; (B) enhancing the technical and instilutional capacities of NSAs for advocacy, oversight, and accountability; (C) facilitating access to and understanding of PFM documents and reporls and cilizen participation in budget discussions; and (D) provision ofsub-grants to NSAs ("NSA Sub- Grants") including joumalists and media outlets for Subprojects designed to promole social accountability in PFM.
Part 3.

PFM Reform Coordination and I'roiect Manasemcnt (a) Strengthening the capacity of the Project Management Unit for Project implementation, coordination and oversight, including, inter aliq, fiduciary (procurement and financial management) aspects, monitoring and evaluation and reporting arrangements, all through provision technical advisory services, non-consulting services, training, Operating Costs and acquisition ofgoods for the purpose.
(b) Strengthening the capacity of the PFMR Directorate for.

among others.

monitoring and evaluating overall PFM reforms, all through the provision of technical advisory services.

non-consulting services, training, Operating Costs and acquisition ofgoods for the purpose.

,\\- ?M - - SCHEDULE 2 Project Execution Sectionl.


ImplementationArrangements Ministry of Finance and Economic Development ("MoFED") (a) The Recipient shall designate, at all times during the implementation of the Project, the MoFED to be responsible for prompt and eflicient oversight and implementation ofactivities under the Project, and shall take all actions including the provision of funding, personnel and other resources necessary to enable said MoFED to implement said Project.
(b) Project Management Unit (i) Without limitation upon the provisions of paragmph (A) immediately above, the Recipient shall maintain, at all times during the implementation of the Project, a Project Managemenl Unit, within MoFED, with a composition (including, inter alia, a Project manager, a senior intemational procurement specialist, two local procurement specialists, a financial maDagement specialist and a monitoring and eyaluation specialist), mandate, terms ofreference and resources satisfactory to lhe Association.
(ii) The Project Management Unit shall be responsible for ensuring prompt and eflicient day to day coordination, implementation, management and communication ofProject activities and results, including: (A) fiduciary elements of Project implementation (financial management and procurement); (B) preparing the proposed annual work plan and budget; (C) ensuring the implementalion ol the Annual Work Plan and Budget; (D) preparing and consolidating periodic progress reports; (E) monitoring and evalualion of Project activities; (F) liaising with other stakeholders on issues related to Projecl implementation; and (C) providing administrative support to implementing agencies, all in accordance with the Project Implementation Manual.
PFM Reforms Steering Committee Without limitation upon the provisions of paragraph I immediately above, the Recipient shall maintain, at all times during the implementation ofthe Project, the PFM Reforms Steering Committee, with a composition, mandate.

terms of reference and resources satisfactory to the Association, to be responsible [or, rirter \\3 t -12- a/ia, providing strategic oversight and policy guidance on matters relating to the Project.
PFM Technical Mansg€ment Committce Without limitation upon the provisions ofparagraphs 1 and 2 immediately above.

the Recipient shall maintain, at all times during the implementation ofthe Project.

a PFM Technical Management Committee, with a composition, mandale, terms of reference and resources satisfactory to the Association.

to be rcsponsible for providing quality assurance on technical aspects oF the Project.
The PFM Technical Management Committee shall be responsible for: (a) reviewing and endorsing for subsequent approval by the PFM Reforms Steering Comminee, the Project's proposed annual work plan and budget and ensuring its consistency with the Project lmplementation Manual; (b) reviewing the periodic Project reports and financial reports referred to in Section ll of this Schedule 2 prior to transmission to the PFM Reforms Steering Commiftee; (c) facilitating coordination of Project activilies and removal ofany obstacle(s) to the implementation ofthe Project; and (d) monitoring and evaluating impacts of Project activities.
.1 IFMIS Project Management lmplcmcntation Coordination Team Without limitation upon the provisions of paragraphs 1,2 and 3 immediately above, the Recipient shall maintain, at all times during the irnplementation ofthe Project, an IFMIS Project Management Implementation Coordination 'leam, with a composition, mandate, terms of relerence and resources satisfactory to the Association, to be responsible for, inter alia, day to day implemcntation, coordination and management ofactiyities under Part l(bxi) ofthe Project.
To this end, the Recipient shall, through MoFED, not later than two (2) months after the Effective Date, appoint in accordance with the provisions of Section III of this Schedule 2, and thereafter maintain at all times during Project implementation.

an IFMIS project manager, with qualifications.

experience and terms of reference satisfactory to the Association.

5.
5.

Audit Service ofSierra Leone Without limitation upon the provisions of paragraphs l, 2, 3 and 4 immediately above, the Recipient shall designate, at all times during the implementalion ofthe Project.

the Audit Service ofSiena Leone, with a composition, mandate, terms of reference and resources satisfactory to the Association, to be responsible for audit ofthe Project, subject to the provisions of Section ll.B.5 below.
w Mr B. l. I m plementation Arrargements Project Implcmentation Manual; NSA Sub-Grants Manual (a) The Recipient shall update and thereafter maintain, throughout project implementation, the Project Implementation Manual, in accordance with terms of refbrence acceptable to the Association, which it shall fumish to the Association for review before adopting and which shall include provisions on the following mattels: (i) arrangements on financial management, setting forth the detailed policies and procedures for financial management under the Project; (ii) procurement management procedures; (iii) institutional administration, coordination and day to day execution of Project activities; (iv) monitoring and evaluation; (v) reporting; (vi) information, education and communication of Project aclivities; and (vii) such other technical and organizational arrangements and procedures as shall be required for the Project.
(b) The Recipient shall maintain, throughout project implementation, the NSA Sub-Grant Manual.

(c) (d) The Recipient shall ensure that the Project is canied out in accordance with the Project lmplementation Manual and the NSA Sub-Grants Manual, respectively; provided, however, that in case of any conflict between the provisions ofthe Project lmplementation Manual and the NSA Sub-Grants Manual, respectively, and the provisions ofthis Agreem€nt, the provisions ofthis Agreement shall prevail.
Except as the Association shall otherwise agree, the Recipient shall not amend, abrogate or waive any proyision of the Projecl Implementation Manual and the NSA Sub-Grants Manual, respectively.

2.
2.

Annual Work Plan and Budget (a) The Recipient shall prepare and fumish to lhe Association not later than Novenrber 30 of each Fiscal Year during the implementation of the Project, a work plan and budget containing all activities proposed to be inciuded in the Project during the following Fiscal Year, and a proposed financing plan for expenditures required for such activities, setting forth the Foposed amounls and sources offinancing.
(b) Each such proposed work plan and budget shall specify any training activities that may be required under the Project.

including: (i) the type ol training; (ii) the purpose of the training; (iii) the personnel to be trained; (iv) the institution or individual who will conduct the training; (v) the location and duration ofthe training; and (vi) the cost ofthe training.
N qery -t4- (c) (d) (e) The Recipient shall afford the Association a reasonable opportunity to exchange viervs with the Recipient on each such proposed rvork plan and budget and thereafter ensure that the Project is implemented with due diligence during said following Fiscal Year in accordance with such rvork plan and budget as shall have been approved by the Association ("Annual Work Plan and Budget").
The Recipient shall not make or allow to be made any change to the approved Annual Work Plan and Budget without prior approval in rvriting by the Association.

The Association shall.

on the basis ofthe Annual Work Plan and Budget, determine the list of expenditures to be financed out of the combined proceeds of the Financing ("Annual Work Plan Expenditures") and the percentage ofthe Annual Work Plan Expenditures which may be financed out ofthe proceeds olthe Financing.
C. Anti-Corruption The Recipient shall ensure that the Project is carried out in accordance with the provisions of the Anti-Corruption Cuidelines.
D. Subprojccts under Part 2(bxiii)(D) ofthe Projecti NSA Sub-Grants Eligibility.ln order to ensure the proper implementation ofPart 2(bxiii)(D) ofthe Project, the Recipient shall, through the NSA Secretariat, make NSA Sub-Cmnts to NSAs for Subprojects in accordance with eligibility criteria and procedures acceptable to the Association, which shall include, inter alia, the following: (a) the Recipient, through the NSA Secretariat, has detennined on the basis of an appraisal caried out in accordance with guidelines acceptable to the Association.
and elaborated in the NSA Sub-Grants Manual.

that: (i) (ii) the proposed NSA; (A) is a legal entity.

rvith the organization.

management, technical capacity and financial resources necessary to carry out the proposed Subproject; and (B) has prepared a satisfactory financing plan and budget.
and a satisfactory implementation plan for the proposed Subproject; and the proposed Subproject is technically feasible, and financially and economically sound; and (b) the: (i) aggrcgate amount of all NSA Sub-Crants made in a given Fiscal Year to NSAs shall not exceed the limit set out in thc Annuai Work Plan and Budget; and (ii) ma,xirnum amount of each NSA Grant for a ) - 15 - Subproject shall not exceed 100 percent ofthe total estimated cost olthe Subproject rninus the arnount ofother funds allocated to finance such cost.
2.
NSA C rant Agreemert (a) The Recipient shall make each NSA Grant to a NSA under a Grant Agreement on terms and conditions satisfactory to the Association, as further described in the NSA Sub-Grants Manual, which shall include the following: (i) (ii) (iii) the amount ofthe NSA Crant shall not exceed the total estimated cost of the Subproject; and the proceeds of the NSA Grani shall be made available to a NSA on non-reimbursable grant termsi a description of the Subproject and the applicable rates for the services included thereunder; the NSA shall be required to: (A) carry out the Subproject with due diligence and efficiency and in accordance with sound technical, financial, administrative, and environmental practices; (B) ensure that the resources required for the Subproject are provided promptly as needed; (C) procure goods, non-consulting services, services and other Eligible Expenditures required for the Subproject in accordance with Section III of this Schedule; (D) maintain policies and procedures adequate to enable it to monitor and evaluate, in accordance with indicators acceptable :o the Association, the progress of the Subproject and the achievement of its objectives; and (E)(i) maintain a financial management system and prepare financial statements in accordance with consistently applied accounting standards acceptable to the Association, both in a manner adequate to reflect the operations, resources and expenditures related to the Subproject; and (ii) at the request of the Association or the Recipienl.
have such records audited by independent auditors acceptable to the Association, in accordance with consistently applied auditing standards acceptable to the Association, and promptly fumish the records as so audited to the Recipient and the Association; (iv) (v) the NSA shall be required to carry out the Subproject in accordance with the provisions ofthe Anti-Conuption Cuidelines; the NSA shall be required to carry out the Subproject in accordance with the provisions ofthe NSA Sub-Grants Manual; $-Q -l -16- (vi) the goods.
non-consulting services, consultants' services and other Eligible Expenditures to be financed out ofthe proceeds of the NSA Crant shall be used exclusively for the Subproject; and (vii) the Recipient shall have the right to: (A) inspect by itsell orjointly with the Association, ifthe Association shall so request, the goods and sites included in the Subproject, the operations thereof, and any releyant records and documents; (B) oblain all information as it, or the Association, shall reasonably request regarding the administration, operation, and financial condition ofthe NSA; and (C) suspend or terminate the right ofthe NSA to use the proceeds ofthe NSA Sub-Grant, or obtain a refund of all or any part of the amount of the NSA Sub-Grant then withdrawn, as the case may be, upon failure by the NSA to perform any of its obligations under the NSA Grant Agreement; and (b) The Recipient shall exercise its rights under the NSA Grant Agreement in such manner as to protecl its interests and those of the Association (including, the right to suspend or terminate the dght of the NSA to use the proceeds ofthe NSA Sub-Crant, or obtain a refund ofall or any pan of the amount of the NSA Sub-Crant then withdrawn.
upon the NSA'S failure to perform any of its obligations under the NSA Cmnt Agreement) and to accomplish the purposes ofthe NSA Sub-Grant, and, except as the Association shall otherwisc agree, the Recipient shall not assign, amend, abrogate, or waive, or permit to be assigned, amended, abrogated.

or waived, the aforementioned, or any provision thereof.

Section II.

Proiect Monitorine, Reportins and Evalurtion A.


Project Reports The Recipient shall monitor and evaluate the progress ofthe Project and prepare Project Reports in accotdance with the provisions of Section 4.08 ofthe General Conditions and on the basis of indicators acceptable to the Association.

Each Project Report shall cover the period of one calendar semester, and shall be furnished to the Association not later than one month after the end of the period covered by such report.

B.
B.

Financial Management, Financial Reports and Audits The Recipient shall maintain or cause to be maintained a financial management system in accordance with the provisions of Section 4.09 of the General Conditions.
lL- / W,,9 'l -'l -t 't 'l l -11 - ') The Recipient shall prepare and fumish to the Association not later than forty-five (45) days after the end of each calendar quarter, interim unaudited financial reports for lhe Pmjecl covering the quarter, in form and substance satisfactory to the Association.

The Recipient shall have its Financial Statements audited in accordance with the provisions of Section 4.09(b) of the General Conditions.
Each audit of the Financial Statements shall cover the period of one Fiscal Year of the Recipient.

The audited Financial Statements for each such period shall be furnished to the Association not later than six months after the end ofsuch period.

4.
4.

Other R$ iert(s); I'rojcct Managemcnt Unit Without limitation upon the provisions of paragraph 3 imrnediately above, the Recipient shall undertake quarterly reviews of lhe PMU's financial management activities under tenns and conditions satisfactory to the Association, and furnish said reviews' findings to the Association not laler than sixty (60) days after the end ofthe period to which said quarterly review(s) relates.

5.
5.

Audit Service Sierra Leone Without limitation upon the provisions ofparagraph 4 immediately above, in order to assist the Audit Service Sierra Leone in preparing an audit of its Financial Statements for Part 2(axii) of the Project, in each Fiscal Year during Project implementation, starting with Fiscal Year 2017, the Recipient shall, no laler than six (6) months after the Effective Date, appoint an Extemal Auditor, in accordance with the provisions of Seclion lll of this Schedule.
The audited Financial Statements for each such period shall be fumished to the Associalion not later than six (6) months after the end ofsuch period.

SectionlII.

Procurement All goods, works, non-consulting services and consulting services required for the Project and to be financed out ofthe proceeds ofthe Financing shall be procured in accordance with the requirements set fonh or referred to in the Procurement Regulations and the provisions ofthe Procurement Plan.

Scction lV.
Withdrarval ofthc Proceeds ofthc Financins A. Ceneral The Recipient may rvithdraw the proceeds ofthe Financing in accordance with the provisions olAnicle I I ofthe General Conditions, this Section, and such additional instructions as the Association shall specify by notice to the Recipient (including the "Disbursement Cuidelines for lnvestment Project Financing" dated February 2017, as revised from time to time by the Association and as made applicable to N - 18 - this Agreement pursuant to such instructions), to finance Eligible Expenditures as set forth in the table in paragraph 2 below.
2.

The lollowing table specifies the categories of Eligible Expenditures that may be financed out ofthe proceeds ofthe Financing ("Category"), the allocations ofthe amounts ofthe Financing to each Calegory, and the percentage ofexpenditures to be financed for Eligible Expenditures in each Category: Category ( l)(a) Goods, non-consulting services, consultants' services, Training and Operating Costs under Pans l. 2(bxi), (bxii), (b)(iiiXa) (b)(iiiXB) and (bxiiixc).
(2)(a) NSA Sub-Grants under Pan 2(b)(iiiXD) ofthe Proj ect I I I Amount of the Financing Allocatcd (expresscd in SDR) 7,000.000 3 00.000 Perc€ntage of E:(penditures to be Financed (inclusiY€ of Taxcs) Such percentage of Annual Work Plan Expenditures as the Association may detennine for each Fiscal Year and communicate to the Recipient Such percentage of Annual Work Plan Expenditures as the Association may determine for each Fiscal Year and communicate to the Recipient TOTAI, AMOTJNT 7.300.000 B.
Withdrawal Conditions; Withdralval Period Notwithstanding lhe provisions of Part A of this Section, no rvithdrawal shall be made for payments made prior to the date ofthis Agreement.
2 The Closing Date is March 31, 2020. ,^fi- Wry - l9 - SCHEDULE ] Repayment Schedule I I I Datc Payment Due I Principal Amount of the Credit repayable (expressed as a percentage)* I On each September l5 and March I5, commencing September 15.2023 to and including March 15,2055 I .56250/o I I I w 20 APPI'NDIX Section I. Dcfinitions l. -) 4 6 't I 9 10.

II "African Development Bank" means the African regional development bank.
"Annual Work Plan and Budget" means the program ofactivities agreed each year the Recipient and the Association lor inclusion in the Project and betwe€n financing in accordance with Section I.B.2 ofSchedule 2 to this Agreement during the following Fiscal Year, as the same may be revised from time to time, all in accordance with the provisions ofthe said Section.

''Annual Work PIan Expenditures" means the Annual Work Plan Expenditures refened to in Section I.8.2(e) ofSchedule 2 to this Agreement.
"Anti-Corruption Commission" means the Recipient's commission established and operating pursuant to the Anti-Corruption Act Number l2 of2008, ofthe laws ofthe Recipient.

"Anti-Corruption Guidelines" means 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 20ll and as ofJuly 1, 20)6.
*ASYCUDA+ r" means an earlier version ofthe Automated System for Customs Data issued by the United Nations Conference for Trade and Development.

*ASYCUDA World" means the latest version of the Automated System for Customs Data issued by the United Nations Conference for Trade and Development.

"Audit Service Sierra Leone" or "ASSL" means the Recipient's Audit Service established and operating pursuant to Part II ofthe Audit Service Act (2014) ofthe laws ofthe Recipient, as amended to date.
"Bank of Sierra Leone" means the central bank of the Recipient established and operating pursuant to the Bank ofSierra Leone Act Number 3 of2000 ofthe laws ofthe Recipient.

as amended to date.

"Big Data" means any voluminous amount of structured, semi-structured and unstructured data that has the potential to be mined for information.

"Budget Bureau" means the unit within MoFED responsible for preparation ofthe national budget.

'tp We -21 - l2 li.

I.l l-i 16.


"Category" means a category set forth in the table in Section IV.A.2 of Schedule 2 to this ABreement.

"Co-financier" nleans the fbllowing financier, other than the Association, who intends to provide financing to the Project, namely, the African Development Bank.
"Co-financing" means, for purposes of paragraph I I of the Appendix to the General Conditions, an aggregate amount of not less than three million five hundred thousand Dollan ($3,500,000), to be provided by the Co-financier to assist in financing the Project.

"Co-financing Agreement" means the agreement entered into betrveen the Recipient and AfDB providing for the Co-financing for the Project.

*CS-DRMS" means the Commonwealth Secretariat Debt Recording and Management System.

l?.
l?.

"DTIS" means the Recipient's Do[restic Tax lnfonnation Systen] t8 l9 20 2t ')1 23 24 \\.+ -l -l "Economic Policy Research Unit" rneans the unit within MoFED responsible lor macro-economic fi scal policy.

"External Auditor" rneans the auditor appointed by Parliarnent in accordance with the provisions of Section l6 of the Audit Service Act Number I of 1998 of the laws ofthe Recipienl, as amended to date.
"Fiscal Year" means the Recipient's fiscal year commencing January I and ending December 3l ofeach year.

"General Conditions" nreans the "lnternational Development Association General Conditions for Credits and Grants", dated July i I, 20 t0.
"GFS20l4" means the Covernment Financial Statistics Manual (2014) issued by the lnlernational Monetary Fund- providing a frarnework designed to produce statistics lhat enable policy makers and analysts to study developments in the financial operations and financial position ofgovemment.
"CFS200l" means the Government Finance Statistics Manual 2001, an internationally recognized statistical reporting framework aimed at helping nalional authorities to strengthen their capacity to formulate fiscal policy and monitor fiscal developments and developed by the Intemational Monetary Fund.

"GRP v7" means the Government Resource Planning Version 7 of FreeBalancc Solution.

W) -22- 25.

26 27.

28.

29. i0.

31.

"lFMlS" means the Recipient's integrated financial management information system.
"IFMIS Project Management lmplementalion Coordination Team" means the Recipient's committee referred to in Section I.A.4 ofSchedule 2 to this Agreement.

"lPSAS" means lnternational Public Sector Accounting Standards.

"ITAS" means the Recipient's lntegrated Taxation Administmtion System.
"Local Council" or "LC" means a local council established and operating pursuant to the Local Govemment Act Number I of2004 ofthe laws ofthe Recipient, as amended from time to time, and any successor thereto, and "Local Councils" or "LCs" means, collectively, all such Local Councils.

"Macro-Fiscal Steering Group" means the macro-fiscal steering group within MoFED.

"MDAs" means the Recipient's minislries, deparlments and agencies.

and "MDA" means any such individual MDA.

32.


"MoE" means the Recipient's Ministry ofEducation, or any successor thercto "MoFED" means the Recipient's Ministry of Finance and Economic Development, or any successor thereto.

34.

35 36.

37 r6- 39.

.10 "Multi-lateral Projecls Diyision" or "MPD" means the division within MoFED responsible for coordinating donor funded projecs.
"NPPA" means the National Public Procurement Authority established and operating pursuant to Section 3 ofthe Public Procurement Act.

"NRA" means the National Revenue Authority.

"NSA" nreans a non-state actor established and operating under the laws of the Recipient as a not-for-profit legal entity, and'NSAs" means, collectively, two or more such non-state actors.

"NSA Grant Agreement" means the agreement refened to in Section I.D.2 of Schedule 2 to this Agreement.
"NSA Sub-Crant" means a sub-grant made to a NSA under Part 2(bXiii)(D) ofthe Project.

"NSA Sub-Grant Manual" means the manual dated August 12, 2016, for the provision ofNSA Sub-Grants for Subprojects under Part 2(bXiii)(D) ofthe Project At 'b- We -t -l 2i ,11.

42 4i ll .15.

46 "NSA Secretariat" means the secretariat wilhin MoFED responsible for coordinating non-state actors' activities.

"ODRA" means the World Bank's Open Data Readiness Assessment diagnostic and action plan.
"Operating Costs" means the incremental expenses incurred on account of Project implementation, based on an Annual Work Plan and Budget approved by the Association pursuant to Section I.8.2 ofSchedule 2 to this Agreement, on account ofoffice equipment and supplies, vehicle operation and maintenance, maintenance of equipment, conrmunication and insurance c.sts, oflice administration costs, utilities, rental, consumables, accommodation, travel and per diem, excluding the salaries ofthe Recipient's civil seryanls.
"Original Financing Agreement" means the fina.ncing agreement for a Public Financial Management Improvement and Consolidation Projed between the Recipient and the Association, dated January 17, 2014, as amended to the date of this Agreement (Credit No.

5350-SL).

"Original Project" means the Project described in Schedule I to the Original Financing Agre€ment.
"Parliament" means the Recipient's parlianent established and operating pursuant to Chapter VI ofthc Constitution ofthe Recipient Act Number 6 of l99l ofthe laws ofthe Recipient, as anrended to date.

4'7.

"PDMD" means the Public Debl Management Division within MoFED.

48 "PETRA" means the internationally recognized integrated software solutions package.

49.
49.

"PFM" lneans Public Financial Management "PFM Reforms Steering Committee" means the Recipient's committee referred to in Section I.A.2 ofSchedule 2 to this Agreement.

"PIiM Technical Management Cornurittee" means the Recipicnt's conrrnittee Ieferred to in Section LA.3 ofSchedule 2 to this Agreement.

"PFMR Director"te" rneans the directorate within MoFED responsible for coordinating PFM reforms in the Recipient's territory.
"Procuremeut Plan" means the Recipient's procurement plan for the Project, dated May 3,2017 and provided for under Seclion IV ofthe Procurement Regulations, as the same may be updated from time to lime in agreement with the Bank.

50 5t.

52 53 \K -24 - 54 55.

56 57 ,i 8.

59 60 6t 62.

63.

64 65 "Procurement Regulations" means the "World Bank Procurement Regulafions for Borrowers under Investment Project Financing", dated July l, 2016.
"Program" means the document of the Recipient entitled Public liinonciol Itanogemenl ReJorn Sfi'atex,- 201 4- I 7 dated J une 20 I 3.

"Project [mplementation Manual" means the manual, in fonr and substance satisfactory to the Association, referred to in Section l.B.l of Schedule 2 to this Agreement; as such manual may be amended from time to time with written agreement of the Association.

"Project Management Unit" means the Recipient's unit referred to in Section l.A.l(b) of Schedule 2 to this Agreement.
"Project Steering Committee" means the Recipient's committee refened to in Section I.A.2 ofSchedule 2 to this Agreement.

"Public Accounts Committee" means the committee established and operating in Parliament pursuant to Section 93 ofthe Constitution ofthe Recipient Act Number 6 of l99l ofthe larvs ofthe Recipient, as amended to date.
"Public Finance Committee" means the Commiftee established and op€rating in Parliament pursuant to Section 9i ofthe Constitution ofthe Recipient Act Number 6 of l99l ofthe larvs ofthe Recipient, as amended to date.

"Public Investment Management Unit" means the public investment managetnent unit within MoFED.

"Public Procutement Act" means the Public Procurement Act Number l4 of 2004 ofthe larvs ofthe Recipient, as amended to date.

"RAI" means Right to Access Information.


"Subproject" means a specific development project carried out or lo be carried out by a NSA under Part 2(b)(iii)(D) ofthe Project and financed or to be financed out of the proceeds of the Financing through a NSA Sub-Gmnt; and "Subprojects" means, collectively, two or more such subprojects.
"Training" means the costs associated rvith training, workshops, seminars and conferences based on an Annual Work Plan and Budget approved by the Association pursuant to Section I.B.2 of Schedule 2 to this Agreement.
for reasonable expenditures (other than expenditures for consultants' services), including: (i) Iocal and intemational travel, room, board and per /ierr expenditures incurred by trainers and tainees in connection wilh their training and by non- consultant training facilitators; (ii) course fees; (iii) training facility rentals; and /lla I t (iv) training material preparation, acquisition, reproduction and distribution expenses.
66 "Transparency and Accountability Committee" means the Committee established and operating in Parliament pursuant to Section 93 of the Constitution of the Recipient Act Number 6 of l99l ofthe laws ofthe Recipient, as amended to date.

67.

"TSA" means Treasury Single Account 68 69.

"University of Siera Leone" means the university established and operating pursuant to Section 3 ofthe Universities Act Number I of2005 ofthe larvs ofthe Recipient as amended to date, or any successor thereto.
"Valuation Comnrittee" means the committee responsible for managing the policy aspect ofproperty cadastre for each Local Council.

Section II.

Amendments to thc Orisinal Financins Asre€ment The Original Financing Agreement is amended as follorvs: t. Project Description.

The Project description in Schedule I is amended and restated to read as follows: The objective ofthe Project is to improve the public financial management system and accountability in the use ofgovemment finance.
The Project consists ofthe following parts: Part l. Strengthcning Budget, Financial, Procurement and Taration Systcms Carrying out ofa program ofactions designed to improve the Recipient's overall budget planning at the national and local levels, and strengthen systems and procedures lor accounting, reporting, public procurement and revenue management, in particular: (a) Budget Planning, Credibilily ond Framework Fomulalion.
Strenglhening budgetary planning at the national and local levels, through, intcr qlia: (i) Strengthening the institutional and technical capacities of the Budget Bureau on: (A) the GRP v7 budget execution processes and functions to generate budget repons for management reporting and end-user reporting; planning, implementation, and monitoring ofactivity-based budgeting; and (B) new planning and execution modules of TFMIS performance budgeting software.
-l N 26 (ii) Strengthening the lramework and formulation for medium term budgeting, including, irter alio'.

(A) mi$ation to a GFS20l4 compliant budget classification; (B) recalibrating the Budget Bureau's classification systems; developing and implementing a training pro$am for MDAs and Local Councils; (C) facilitating the reconfiguration of the budget module; and (D) integration of budget planning and execution in an integrated IFMIS.

(iii) Srengthening budgetary planning through: (A) configuration.
testing, and quality review of the GRP v7 appropriations and budget modules; (B) integration of GRP contract management sub-module with approp ations, budgeting, and other general ledge functionalities; (C) introduction of contract management and management of multi-year commitment control and arrears; and (D) decentmlization ofbudget execution processes by MDAs in enhancing timelines and effecliveness in budget execution.
(iv) Strengthening the capacity of Local Councils for medium term budgeting, including, inter alia, harmonization of budget classification, all through the provision of technical advisory services and training; and strengthening Local Councils' budget execulion, in particular: (A) development of migration pJans for the new (central) budget classification, (B) development of t\4TEF budgeting for local government, and (C) assessment of budgets against performance and capacity building pertaining to budget through, provision of technical advisory services, training, non- consulting services, financing of operating costs and acquisition ofgoods for the purpose.
(b) IFMlS/Accounling ond Repo ing S/s/urrrs.
Strengthening financial systems, controls, accounting and reporting, in particular: (i) Implementation of IFMIS with a view to improving budget preparation and execution, cash management and financial reporting, including: (A) procurement of updated Version 7 ofl IFMIS (B) rolling out of IFMIS to remaining MDAs, as well as local councils and on-budget donor funded projects; (C) development and implementation of a disaster recovery plan for the IFMIS; (D) establishment ofthe IFMIS interface with other govemment systems, including, among others, Bank of Sierra Leone, the debt management system (CS-DRMS), and custonls and tax systems (ASYCUDA World and ITAS); (E) communication and change management; (F) establishment of a business continuity strategy and disaster recovery site: (C) development ofcomprehensive training strategy for technical rll, I - 2'7 - ( ii) and support staff; and (H) establishment of a data center, all through the provision of technical advisory services, non- consulting services, training, operating costs and acquisition of goods for the purpose.
Improving accounting and reporting functions (including collection ofreyenues and public expenditures incurred) to ensure consistency with national and intemational accounting standards, Iaws and regulations, in particular: (A) enhancement and further adoption ofTSA; (B) implementation ofan electronic document management system; (C) implementation of an electronic funds transfer system; (D) strengthening compliance with IPSAS; (E) undenaking a comprehensive review of budgeting and accounting procedures; (F) defining business processes in the roll- out of IFMIS; and (C) inrproving accuracy of governnrent's financial statements.
(iii) Strengthen financial management capacity of local councils through: (A) upgrade of PETRA software to perform "Procure to Pay" functions, including commitment control; (B) revamp existing PETRA infrastructure; (C) scaling up ofcadastral system for enhanced revenue mobilization; (D) development of property cadaster management manual and provision of training to valuato6, chief administrators, and Valuation Comminee members; (E) proyision of training to build the capacity of local councils in the collection and accounting for revenues; (F) training in the use of the citizens' budget templale; (G) training in collection and accounting for revenue and mid-term expenditure reviews; and (H) training in use of TFMIS for use as financial management system, including to generate budget execution reports.
(c) Public md Electronic Procuremenl Sls/em.

Strengthening public procurement and contract management functions, in particular: (i) Es6blishment ofa centralized public and electronic procurement (e-procurement) system for use by all MDAs.
including a centralized view of all suppliers registered or blacklisted for all classes (goods, consultancies and services covering manufactures and suppliers); online advertising ofbidding opportunities; online shortlisting, comments, and corrections and approvals; online submission ofbids; online sealing ofvinual tender box; online bid opening, evaluation, and approvals; issuance of purchase/work orders online; contract award publications; and data collection and dissemination.
$s -28- ( ii) Enhancing the institutional capacity of the public procurement function.

through, inter aliq'.
(A) designing and implementing a procurement capacity building strateg), for delivery ofappropriate raining; (B) implementing a procurement raining program for stakeholders, including, practitioners, the private sector, internal auditon and civil society organizations; (C) developnrent and adoption ofa strategy for provision ofthe training to MDAs in the use of the e-procuremenf systerr, including a comprehensive training calendar; (D) designing a freely accessible website/onlinc portal for advertising contracts and publishing NPPA's revierv reports; and (E) operationalizing the procurement directorate in MoFED, all through the provision of technical advisory services.
non-consulting seryices, tmining, operating costs and the acquisition ofgoods for the purpose.

(iii) Strengthening contract management systems, including holding an open contracting assessment and establishment of open data module within e-Procurement system to publish structured open data on each ofthe contracting processes, all through provision of technical advisory services, non<onsulting services, training, operating costs and acquisition ofgoods lor the purpose.
Revenue Monagement Systems and Reform of Legol Framework.
Strengthening tax and customs administmtion systems and improving the efficiency and conneclivity between revenue systems (lTAS, ASYCUDA World, and reconcilialion systems) and PFM systems, including, among others: (i) acquisition and installation of a robust off-the-shelf tax administration system that interfaces with IFMIS; (ii) acquisition and installation of ASYCUDA World; (iii) supponing initial establishment of a resource revenues unit; (iv) provision of support for reforms to existing application laws associated with ITAS to support changes to business process and tax administration procedures; and (v) strengthening the technical capacity of NRA staff to effectively manage implemented systems and acquisition of in frastructure for the purpose.
(d) Part 2.

Improving PFM OYersight and Accountabilitv Ststems Carrying out a program ofactivities designed to strengthen the Recipient's PFM audit and oversight and accountability systems, in particular: C) Stengthening Au.lil ontl Overcight.

Strengthening financial control.

improving accountability systems and practices.

and enhancing independent and public oversight in the management and use of public fi nances.
in particular: +1,- I I -l -l -l -29 - (i) (ii) Developing an effective, independent, and objective internal audit function, through, inter alio: (A) carrying out of internal audit needs assessment and developing risk-based internal audit; (B) developing standard operating procedures manual and templales; (C) rolling out the intemal audit function to all MDAs; (D) designing and implementing a training program for internal auditors in MDAs, including on computer assisted audit techniques; (E) designing and implementing cenification courses on internal audit; (F) providing professional training and cenification to MoFED intemal audit staff and internal auditors across MDAs: (C) strengthening internal audit commitlees, including through training on role and functions of committees; (H) carrying out an audit of the MoE's payroll; and (l) carrying out an audit ofthe Civil Service payroll, all through the provision of technical advisory services, non-consulting services, training and acquisition ofgoods for the purpose.
Strengthening the Recipient's extemal audit function and systems, in particular: (A) development of a comprehensive training program for auditors in collaboration with the Universiry ofSiena Leone; (B) supporting professional training and certification of Audit Service Sierra Leone's C'ASSL) staft; (C) supponing operationalization of the ASSL; and (D) design and implementation of audit management information systems, all through the provision of technical advisory services, non-.
consulting seryices, training, operating costs and acquisition of goods.

(iii) Strengthening the Recipient's legislative's and public oversight over PFM, in particular: the operational capacity and effectiveness of the Public Accounts Committee, the Public Finance Committee, and the Transparency and Accountability Committee, respectively, all through the provision of technical advisory services, non-consulting services.

training.

operating costs and acquisition ofgoods for the purpose.
(b) Open/Big Dato ond NSA Enhancing the Recipient's accountability and oversight of resource expenditure, service delivery, and PFM through: (i) Open and Big Data Applicarion.lntegrating open data.

Big Data, and beneficiary feedback into PFM processes and service delivery operations.
This will be done through: (A) designing, piloting, and scaling up uses of Big Data for enhanced service delivery; N W -i0- (B) service delivery surveys and quality feedback mechanisms; (C) enhanced grievance redress mechanisms (CRMs) in service delivery opemtions of key sectors, including education, health.

land, and water; and (D) implementalion of ODRA recommendations, including: piloting the use of open data applications for improved govemment efficiency, supporl to Government's Open Data Portal.
developing sectoral data dashboards, incentivizing the public disclosure of existing govemment datasets.

sensitization campaigns around open data.

and introducing a provision for open data by default.

( ii) Access to Infonnatian.

Ensuring full and effective implementation of the Right to Access Information (RAI) Act.
including: (A) identifying and training RAI officers in MDAs; (B) promoting proactive disclosure ofinformation; (C) popularizing the RAI Act; (D) engaging in demand-side data and information trainings; (E) piloting and scaling up records management good practices within MDAs and related activities to improve data retention; and (F) harmonizing digital records management and related regulations with the RAI Act.

(iii) Support to Non-State ,4clors.
Developing lhe analytical and dissemination capacities of non-state actors ("NSAs") for advocacy with a view to promoting transparency and external accountability over PFM, through, ri?rer a/ia: (A) strengthening the instilutional and technical capacity ofthe NSA Seoetariat for coordination of NSA activities: (B) enhancing the technical and institutional capacities of NSAs for advocacy, oversight, and accountability; (C) facilitating access to and understanding of PFM documents and reports and citizen participation in budget discussions; and (D) provision ofsub-grants to NSAs ("NSA Sub- Grants") including joumaliss and media outlets for Subprojects designed to promote social accountability in PFM.
Part 3.

PFM Reform Coordination and Projcct Managcment (a) Strengthening the capacity of the Project Management Unit for Project implementation, coordination and oyersight, including, inter aliq, fiduciary (procurement and financial management) aspects, monitoring and evaluation and reporting arrangements, all through provision technical advisory services, non-consulting services, training, Operating Costs and acquisition ofgoods for the purpose.
(b) Strengthening the capacity of the PFMR Directorate for, among others, monitoring and evaluating overall PFM retbrrns.

all through the provision L ,{ fu.

-3t- of technical advisory services, non-consulting services, training, Operating Costs and acquisition ofgoods for the pLrrpose.

2 lmplementrtiorl Arrangements (a) The reference to Part 2(a)(i) ofthe Project in Section 1.A.4 ofSchedule 2 is replaced by a reference to Part I (b)(i).
(b) The reference to Pan 2(d) ofthe Project in Section I.A.5 ofSchedule 2 is replaced by a reference to Part 2(a)(ii).

(c) The references to Pafl 2(e)(iixD) of the Project in Section I.A.5 and Section l.D ofSchedule 2 is replaced by a reference to Part 2(bXiiiXD).

(d) The references to Part 2(d) ofthe Projecl in Section II.B.5 of Schedule 2 is replaced by a reference to Part 2(a)(ii).

withdrswals of the Proceeds of the Financing.
Section Iv.A.2 is amended to read as follows: The following table specifies the categories of Eligible Expenditures that may be financed out ofthe proceeds ofthe Financing ("Category"), the allocations ofthe amounts ofthe Financing to each Category, and the percenlage ofexpenditures to be financed for Eligible Expenditures in each Category: I Amount ofthe Financing Allocated (expressed in SDR) 7,400,000 I Category ( I) Coods, non-consulting services, consultants' services.
Training and Operating Costs under Parrs 1.2(a)(i) and (iii), (b)(i).
(ii) and (iii)(A), (B) and (C), and 3 ofthe Project (2) NSA Sub-Crants under Pan 2(bXiii)(D) of the Project 90,000 Percentage of Expenditures to be Financed (inclusive of Taxes) Such percentage of Annual Work Plan Expenditures as the Association may determine for each Fiscal Year and communicate to the Recipient Such percentage of Annual Work Plan Expenditures as the Association may detennine for each Fiscal Year and communicate to the Recipient I fs -32- 4I 0.000 (3) Goods, non-consulting services, consultants' services, Tmining and Operating Costs under Part 2(a)(ii) ofthe Project I Such percentage of Annual Work Plan Expenditures as the Association may determine for each Fiscal Year and communicate to the Recipient TOTAL AMOUNT 7,900,000 4 Closing Date.
Section IV.B.2 is amended to read as follorvs: "2.

The Closing Date is March 3 I, 2020."

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