제19502호                                      관               보               2019. 5. 15.(수요일)
2.   The Framework Arrangement between the Government of the Republic of Korea and the
Government       of   the    Islamic   Republic   of   Pakistan   concerning   Loans   from   the   Economic
Development Cooperation Fund for the Years 2015 through 2017, signed on October 2, 2015, shall
be terminated on the date of the entry into force of this Arrangement and be replaced by this
Arrangement.
3.   Either Party may terminate this Arrangement at any time by notification to the other Party
through diplomatic channels. The termination shall take effect six (6) months from the date of
the notification of termination to the other Party. Obligations outstanding at the time of such
termination shall nonetheless be completed in accordance with the provisions of this Arrangement,
unless otherwise agreed by the Korean Government.
     IN WITNESS WHEREOF, the undersigned, being duly authorized thereto by their respective
Governments, have signed this Arrangement.
     Done in duplicate at Islamabad, on the twenty-fourth day of April, 2019, in the Korean and
English languages, all texts being equally authentic.
FOR THE GOVERNMENT OF                                                 FOR THE GOVERNMENT OF
THE REPUBLIC OF KOREA                                     THE ISLAMIC REPUBLIC OF PAKISTAN
                                                       ANNEX
                              COMPACT LOAN FACILITY OF THE EDCF
     The utilization of EDCF Loans in amounts less than seven million US dollars (US$ 7,000,000)
(hereinafter referred to as “Compact Loans”) shall comply with the following procedures and
principles.


     1.   The total amount of Compact Loans shall account for a part of the maximum commitment
          amount specified in Article 1 of the Arrangement and may be adjusted with the consent of
          the Parties.
     2.   The Pakistan Government shall submit a list of projects to be financed by the Compact
          Loans to the Korean Government from time to time, and request the Korean Government,
          through diplomatic channels, to approve the Compact Loans for each individual project.
     3.   Should a Compact Loan be approved by the Korean Government, the Pakistan Government
          and the Bank shall execute a Loan Agreement containing the following terms:
          (a) the maximum interest rate shall be zero point one percent (0.1%) per annum;
          (b) the repayment period, including a grace period, shall be determined in a way that it
              maintains the concessionality level of the EDCF standard terms for the Islamic Republic
              of Pakistan;
          (c) the suppliers of the goods and services, including consulting services, necessary for the
              implementation of the project shall be selected from among small and medium-sized
              enterprises of the Republic of Korea that meet the criteria specified by the Bank on
              behalf of the Korean Government;
          (d) the terms and conditions of the Compact Loan shall be set out in the Compact Loan
              Agreement.

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