관             보
                       제15391호                                                             2003. 5. 9. (금요일)
                   Agreement or such other period as the             for the implementation of the Project shall be
                   Borrower and the Bank agree upon;                 selected through direct contracting with
                  (4)A service charge of one-tenth of one percent    Korean suppliers.
                   (0.1%)of the amount of each disbursement in     3. Details of the methods and procedures for
                   case of a direct payment procedure, or of the     procurement shall be stipulated in the Loan
                   amount specified in the letter of commitment      Agreement. 
                   in case of a commitment procedure, shall be                        Article 4
                   collected by the Bank. All banking charges        In the event the funds available from the
                   and/or costs for services rendered by proceeds of the Loan are insufficient for the full
                   commercial banks in connection with implementation of the Project, the Borrower
                   disbursements of the proceeds of the Loan,      shall promptly make arrangements to provide
                   repayment of principal or payment of interest   such funds as are needed. 
                   payable to the Bank under the Loan                                 Article 5
                   Agreement shall be governed by a banking          The proceeds of the Loan shall be disbursed
                   arrangement to be concluded between the         by the Bank to or on behalf of the Borrower in
                   concerned commercial banks of the two accordance with the progress of the Project, up
                   countries;                                      to the amount of the Loan, and within the
                                                                   disbursement period specified in the Loan
                  (5)In the event the Borrower fails to make
                                                                   Agreement and in accordance with the
                   payment of all or any portion of the principal
                                                                   disbursement procedure under the Loan
                   of the Loan or any other amount when due
                                                                   Agreement. 
                   under the Loan Agreement, the unpaid amount
                                                                                      Article 6
                   shall bear an overdue charge at the rate of two
                                                                     Other terms and conditions to be specified in
                   percent (2%)per annum above the interest rate
                                                                   the Loan Agreement shall be determined through
                   specified in the Loan Agreement; and 
                                                                   negotiations between the Borrower and the
                  (6)If the procurement of goods or services to be
                                                                   Bank. 
                   financed out of the proceeds of the Loan has
                                                                                      Article 7
                   not been carried out within eighteen
                                                                     This Arrangement shall enter into force on the
                   (18)months after the effective date of the Loan
                                                                   date of signature and shall remain effective,
                   Agreement, the Pledge for the Project issued
                                                                   unless otherwise agreed upon by the Contracting
                   by the Government of the Republic of Korea
                                                                   Parties, until the Borrower performs all the
                   shall be invalid.
                                                                   obligations under the Loan Agreement. 
                                     Article 3
                                                                     Done, in duplicate, at Quito, this 28th day of
                  1. The eligible source countries for the
                                                                   April 2003, in the Korean, Spanish, and English
                   procurement of goods and services required
                                                                   languages, all texts being equally authentic. In
                   for the Project shall be the Republic of Korea
                                                                   case of any divergence of interpretation, the
                   and the Republic of Ecuador. However, items
                                                                   English text shall prevail.
                   which are either impossible or uneconomical
                                                                   FOR THE                   FOR THE 
                   to purchase from the eligible source countries
                                                                   GOVERNMENT                GOVERNMENT
                   may be procured from any third country within
                                                                   OF THE REPUBLIC           OF THE REPUBLIC
                   fifteen million US dollars (US$ 15,000,000).
                                                                   OF KOREA                  OF ECUADOR
                  2. Suppliers of the goods and services necessary
                                                                 6