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CQ1VENIO DE PRESTAMO

SERVICOS RURALES DE SALUD

UAN AGREEMENT

RU AL HEALTH SERVICES

Alianza para el Progreso

Alliance for Progress

CONFORMED C02Y

GUATEMALA Agency for International Development Agencya para el Desarrollo Internacional

November 1 1-71 rdstamo 520-L-02) 13 de noviembre de 171 Loan 520-L-O20

CONVENI DE PRESTAMO

fechado el 19 de noviembre 6e 71 entre el Gobierno de la Repdblica de Guatemala (Prestatario) y los Estados Unidos 6e Am6rica actuando por medio de la AGENICiA PAPA EL DESA-RROLLO INTERNACIONAL (AIm)

ARTICULO I

El Prista o

SECCION 101 El Pr~stamo La AID conviene en otorgar al Gobierno de Guatemala (El Prestatario un pr~stamo dentro de los objetivos de la Alianza para el Progreso de acuerdo con el Acta de Ayuda al Exterior de61 y sus enmiendas por una cantidad que no excederd de Dos Millones Quinientos Mil D61ares de los Estados Unidos ($250000) (El Pr6stamo para ayudar al Prestatario a llevar a cabo el Proyecto referido en la Secci6n 102 (El Proyecto) El Pr6stamo sc usara exclusivamente par financiar los costos en moneda de los Estados Unidos (Cestos en D61ares) de las mercaderfas y servicios necesarios para el Proyecto y los costos en moneda local (QCostos on Moneda Local) de las mercadorfas y servicios nece-sarios para el royecto El monto agregaeo de descmbolsos dctro del pr6stamo se denominarA en adelante El Principal

SECCION 102 E1Proyect-o El pro-p6sito del proyecto es para mejorar el bicnestar del pueblo de Guatemala mejorando el sistema nacional de servicios de salud con 6nfasis nrin-cipal en aquellas zonas rurales que en la actualidad carecen de servicios minimos de salud El royecto consis-tir6 en la construcci6n equipo y

LOAN AGREEMENT

dated November 13 l71 between the Government of the Reptblic of Guatemala Borrower) and the United States of America acting through the AGENCY FOR INTERNATIONAL DEVELOPMENT (AID)

ARTICLE I

The Loan

SECTION 101 The Loan AID agrees to lend to the Borrower in furtherance of the Alliance for Progress and pursuant to the Foreign Assistance Act of 1)61 as amended an amount not to exceed two million fivc hunshydred thousand United States Dollars ($2500000) (Loan) to assist Borshyrower in carrying out the Project referred to in Section 10h (Pro ject) The Loan shall be used exclusively to finance the United States dollar costs (Dollar Costs) of goods and services required for the Project and local currency costs (Local Currency Costs) of goods and services required for the Proshyject The aggregate amount of disshybursements under the Loan is hereinshyafter referred to as Principal)

SECTION 102 The Protect The opurpose of the Project is to im

prove the well-being of the people of Guatemala by improving the nationshyal health care delivery system with primary emphasis on those rural areas currently lacking even minimal health coverage The Project shall conshysist of constructing equipping and operating Rural Health Posts throughout

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operaci6n de Puestos do Salud en toda Guatemala estableciendo y operando una escuela para adiostramionto en servicios do salud apoyando los es-fuerzos de planificaci6n do salud na-cinria[ y proporcionando adiestramiento y asistL-cia tdcnica

Guatemala establishing -and opershyating a health services training fa-cility supporting national health planning efforts and providing training and technical assistance

li c sto total del proyecto se estimn on el equivalente de Seis Millones Cuatrocientos Ochonta y Siete Mil D61ares do los Estados Unidos ($648700000)

El proyecto se describe rds amplia-mente on el Anexo I adjunto a este documento eI cual pidrd ser modificdo por uscrito por acuerdu de las partes dentro del alcancu do esto pr6stamo

ARTICULO II

Thrminos dol Prstamo

SECCION 201 Intereses El Presta-tario pagard a la AID on conccpt de intereses el dos por ciento (2) anual durante los diez afis siguientes a la fecha dcl primer desembolsu y sub-siguientementu una tisa del tres pDr cicntc (3) anual sobre el saldo pen-diente del Principal y sobrL cualquier suma adeudada por concepto do intere-ses vencidos Los intereses sobre salds pendientes se calcular~n desde la fecha de cada desembolso do confor-miAai c-n ID que so determina en la Socci6n 704 y so c)mputardn sobro la base do un afio de 365 d~fas Los into-roses dcbcrn pagarso semostralmente El primer pago duber Lfctuarse a mds tardar seis (6)moses Jespu~s del primer desembolso on la fecha que de-termine la AID

The total cost of the Project is estimated at the equivalent of six million four hundred eighty-seven thousand United States dollirs ($6487000)

The Project is more fully described in Annex 1 attached hereto which Annex may be modified in writing by agreement of the parties within the scope of this loan

ARTICLE II

Loan Terms

SECTION 201 Interest Borrower shall pay to AID interest which shall accrue at the rate of two pershycent (2) per annum for ten (10) years following the date of the first disbursement hereunder and at the rate of three per cent (3) per annum thereafter on the outstanding balance of Principal and on any due and unpaid interest Interest on the outstanding balance shll accrue from the date of each respective disbursement as such dte is defined in Section 704 and shll be cornshyputed on the basis of a 365-ay year Interest shall be payable semiannually The first payment of interest shall be due and payable no later than six (6) months after the first disbursement hereunder on a date to be specified by AID

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SECCION 202 Amortizaci)nes El SECTION 202 Repayment Borrower Prestatario cancelard a In AID ul sh-all repay to AID the Principal Principal en un t6rmino de cuarenta within forty (40) years from the (40) aftos lesputs de la fecha dei d7ate of the first disbursement primer esembols- un sescnta y un hereunder in sixty-one (61) approximshy(61) pages scmcstrales aproximadamente 7tely equri semiannual installments iguales que incluirdn ademls del of Frincipal and interest The principal 1)s intereses La primera first installment of Princical shall am rtizacin d Principal scr6 pagadera be payatble nine and one-halif (9k) nueve afi-s y mcdi despu~s de la fecha years after the date on which the on quc vcnza Ll primer pag (1c intcre- first interest p-ayment is due in sos Ac acuer- cjn In Seccin 2O1 accordance with Section 2 ol AID La AID pr-prcinarA ilPrestatario shall provide Borrower with an amorshyun calendari- lu amrtizaci-nes cal- tization schedule in accordance with culado dc acuor) con 1- ostipulad- this Section after the final disshyen esta Sccci6n despu-s de quo se haya bursement under the Loan verifica1 el cJsembolso final dIel Prtstam

SECCION 203 A_ic in Moned_y SECTION 203 Application Currency Lugar de Pago Tdos ls pagos and Place of Payment All payments

cJintoreses y Principal derivad)s o interest and Principal hereunder iuestc Pr6stam dcbcrdn haco-rse on shall be made in United States dolshy-dlares de ls Estaos Uni)s y serdn lars and shall be appli ed first to aplicaIcs primcr al pag do intere- the payment of interest due and then ses vencil s y lueg- a la amrtizacin to the repayment of Principal Exshydel Principal Excupt-) que in AID cept as ID may otherwise specify in indique tra cosa p)r escrit tods writing all such payments shall be 1s pags deberdn hacersE al Czntralor made to the Controller USAID Misshye la Misi6n de la AID en Guatemala sion to Guatemala at the address

en la direcci6n indicada en la Secciin set forth in Section 901 of this 901 de este Convenio kgreement

SECCION 204 Pages Anticipados Al SECTION 204 Prepayment Upon estar pagados t)dos los intcroses ven- payment of all ihterest nd refunds cid-s y rcemb-lsos pendientes el then due Borrower may prepay with-Prostatari p vlr6 pagar anticipadamente out penalty ill or any part of the sin sancii-)ncs t)d- o parte del Prin- Principal vny such prepyment cipal Cualquier page anticipalo ser shall bh applied to the installments aplicad a la amortiznciTn del Princi- of Principal in the inverse order pal en r)rden inverse a su vencimiento of their maturity

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SECCION 205 RenegociaciSn dc is SECTION 205 Renegotiation of the Tfrmin-s del Pr~sta) De conferrai-- Terms of the Loan In the light da con 1 s c-rnpromis-s ite 1s Estaics of the undertakings of the United Unidos 1c America y du los tr-s sig- States of America and the other nataris del Acta de Bg t4 y c la signatories of the Act of Bogot5 Carta -je Punta del Estc paro f rijr md the Charter of Punta del Este la Aiinza para ul Progrcs ol Pres- to forge -in lli ance for Progress tatari- co-nvicne cn ncgociar Cic mutu B rrower agres to negotiate with acucrY c n la AID en la fecha ) AID it such time or times as AID may fcchas en que licha Agencia l solici- request -an ccealeration of the tc un aelant- en las fechas e pago repayment -)f the Loan in the event 1-l Pr~starno en caso die que se pr-- that th---re is any significant improshyduzca un mj -ramiento significativo vemerit in the internal and external en la p sici~n y perspectivas finan- economic and financial position and cicras y cctnlmicas internas y externas prospects -f Guatemala taking into -1 Guatemala tmand en c)nsiicrciSn consideration the rel ative capital las necesidades de capital le Guate- requirements of Guatemala and of arn1a y le l~s tros signataris del other sianatories of the Act of Bo-Acta lc Bogoti y de la Carta de Punta got5 and the Charter of Punt7 del cel Este Este

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ARTICULO III ARTICLE III

Cndicines Prvias a los Dsembclss Conditions Precedent to Disbursement

SECCION 301 Cndicines Prcvias al SECTION 301 Conditions P-ece-DescmblsD Inicial Previ al prirmer dent to Initil Disbursement riordesenbllis a a la emisin dce In primera to the f-irst disbursement or i-o theCarta iu Comproriso el Prcstatario issuance of the first Letter cfKeber6 cxcept que ia AID convenga Commitment under the Ll)an Borshytrn csa pnr escritD prop rci nar rower shall except as -ID my othershya In AID en forma y sustancia satis- wise agree in writing furnish tofact ria AID in form and substance satisfacshy

a) Una c-nstancia extendiiJp pr el tory to AID -rocuraor General de Guatemala o por (a) An opinion of the Procurdor Geshyotr rgano aceptable a In AID de que neral da Gu-temala or cf other counshyestL Cnvuni ha side ebidamente sel acceptcable to IID that this Agreeshyut-rizado y ratificao ambas cosas ment has been duly authorized andora ia vcz y ejccutalo en representaci-5n rnitified by nnd executed on behalfJdAl 1restatari) y que el imisric cons- of Borrower and that it constitutestituy una bligacLn legal el Pres- a vnlid and legally binding bligashytatari) de acuerd) con t)s sus t6r- tion of Borrower in accordance withmins all of its terms

b) Las nombres de las pers)nas que (b) A statement of the names ofrLpres_-ntardn al Prestatari e C fcl-the

persons holding or acting in the officef~rmidad cltn la Secci6n 902 can la of Borrower specified in Sectionmucstra de sus respectivas firmas 902 and a specimen signature of

each person specified in such stateshyment

c) Un plan financier) incIuycnoJ un (c) A financial plan including acalnoarij de las contribucines ni schedule of contributions to thePrayecto pr el Prestataric durante el ject by Pro-

Borrower during the four-yeart~rmirin del Pr~ycct cuntransle Project term totalling not less thanpr un total n2men-r dle quivaientc the equivalent three millionof six -e Tres Millnc-s Seisciuntlts Mil D1ares hundred thousand United States dol-Iel(s Estalrs UniI)s ($3600000) in- lars ($3600000) including municipalcluyend contribuci nes municipales contributions but excluding anyper excluyend cualusquiera fndos funds contributed by the Borrower forc ntribuidos pur ci Prestatari para acquiring the Ouirigui site for theadquirir el local en Quirigud trainingpara in facilityescucla de adiestramient

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d) Pianos especificaciones dccumen- (d) Plans specifications bid doshyts delicitacin estimaci n del costo cuments cost estimates and time y calendarios para c-mplotar la renovs- schedules for completing renovation cin de la escucla de adiestramient of the training facility

e) Un ccntrat e construcci(Jn ejecutado (e) An executed construction conshycn un contratista aceptable para corn- tract with -an acceptable contractor pletar la ren~vaci~n Ae ia uscuela de to complete renovation of the trainshya ics traniontoD ing facility

f) Un plan de adrministracin para la (f) In administration plan for the escuela do adiestramiento trJning facility

g) Evicuncia qucerelament(is aecuads (g) Evidence that adequate regulashyestln en efect) parn asegurar que 1s tions ar- in effect to assure that graduad-s le In escuela ie aliestra- graduates _f the training facility mient cstartn al servici- de Ins will serve the health needs of rural neccsiaTes dL salud e las znas Guatemal ruralcs ]c Guatemala

SECCION 302 Condici-)nes ircvias SECTION 302 Conditions Precedent a ls Describolsos Adicionales Previo to Additional Disbursement Prior a cualquicr esemb)Is a la Lmisij n to any disbursement or to the isshy_ cualquier Carta de Cnmpr)is- en suance of any Letter of Commitment cl Pr(stam -ara cuilquier Puest de under the Loan for any Health Post Salud ol Prcstatari) AIcberA excepto Borrower shall except as AID may que In AID cunvcnga utra cosa vr otherwise agree in writing furnish escritt pr_prci nar laiAID en forma to AID in form 7and substance satisshyy sustancin satisfact-rias a la AID factory to ID

a) Evidoncia de un sitio auecuao (a) Evidence of a suitable site for para el Puesto e Salud the Health Post

b) Planos especificziciones drcuinen- (b) Plans specifications bid doshytos le licitaci6n si hubiere estima- cuments if any cost estimates and cin de 1s c st-s y calcn aris para time schodules for completing the

la cornpletaci6n del PuLcsto de Salud

c) Arrcglts para la construccin del Puesto JL Salud junt cn los contratos dec cunstruccin para la aprbacin de la AID si los hubiere

1) Evioluncia de que los Puestos de Salud tcndr~n personal y mantenimiento aiccuad) lespu6s le la construcciTn

SECCION 303 Fcchas Finales ira _CuJir cin las Cnn_Iiciones Pruvias al Descrbiso Si dntr le nvLnta (90)

a partir d fcha estc CinvLenir - en cualquier fucha postc-ri r que la AID cunvcnga p r cscrito n) sc ha cumpli1 c n las cclndiciones especificadas en la S~cciTn 301 la AID p-Ir dar p)r finalizaL oste Cun-vcni_ land 9 avis escrit al Fresta-tori Al ser cntrcgalIu este avis este cnvcnia y toflas las blignciones quo sc tiriven dcl raisn- quedar~n sin efuct

SECCION 304 Notificaci6n Sbre Cugmp1irient ls C-ndiciones Previas alDserbolsamp En su oprtunihi in AID nitificr6 al Prcstatario que se han cumplirl t~as Iis cun-lici-nes previas al dOcsemb-Jsu segin so especi-fica un Las Secciomes 301 y 202

Health Post

(c) shyrranqements for construction uf the Hiealth Post together with all construction contracts if any for AIDs approval

(d) Evidence that the Health Post will be adequately staffed and mainshytained after construction

SECTION 303 Terminal Dates for Meeting Co0nditions Precedent to Disshybursemcnt If al1 of the conditions spcifid in Section 301 shall not have been met within ninety (90) days from the date af this 1qrecment r such later date as ID may agree to in writing AID it its o ption may terminate this Agreement by givshying written notice to Borrower Upon the giving f such notice this greeshyment and all obligations of the parshyties hereunder shall terminate

SECTION 304 Nitification of Meetshying of Cnditions Precedent to Disshybursement AiD shall notity the Burshyrfwor upon determination by AID that the c-nditions precedent t disburseshyment specified in Section 301 and as the case may be 302 have been met

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ARTICULO IV ARTICLE IV

C nveniosy Garantias Gencrales G-nera) Cvcnants and Warranties

SECCION 401 n l Pryectk SECTION 4 l Execution of the Pro-El Prcstatari se compr retc ject

a) A llcvar a cab ol Prycct- cmn la (a) B-rrcwr shall carry out the Proshylabida diligoncia y cficiencia y de ject with due diligence and effishycnfrrida~ cfn las ricticas arecua- ciency and in conformity with sound as 2c ing_nicria cnstruccin finan- engineering construction financial cieras aministrativas y cc mrnicina administrative and medical practi-A este rcspcct cl Prestatnri cber4 ccs In this c_nnection Borrower mploar a c -nsultores a ccualraente shall emply suitably qu alified and calificad s y Ic expcriencia y cntra- experienced consultants and suitably tistas para efectuar la construccin qu7lificd and competent uonstrucshyacuadamentc calificad-s y cmipctcntes tion can tractors t) carry out the para llovar a cab cl pr ycct Prjuct

b) A que se lleve a cabo el Proyecto (b) B rroewr shall cause the Project de conformidad con los pianos cspeci- t-- be c-irried -ut in conformity with ficaciones contratos calendarios y ill A the plans specificatians otros arreglos y con todas las modifi- contracts schedules and -)ther arshycaciones a los mismos aprobados por ra-ngements and with all m dificashyla AID de conformidad con este Con- ti-ns therein approved by AID purshyvenio suant t this Agreement

SECCION 402 Fondos y Recursos que SECTION 402 Funds and Other Reshysernproyporcionadspor ei Prestatario sources t be Provided by Borrower En caso que no haya fondos suficientes Bxrrwer shall pr vide promptly as provenientes del Pr6stamo el Presta- needed all funds in addition to the tario proporcionar6 en forma inmediata L an arld all ther resources reshylas sumas adicionales y los servicios quired f-r the punctual and effecshyque scan necesarios para la puntual tive carryinT ot maintenance reshyy efectiva cjecuci6n mantenimiento p-ir and per-cti-n of the activities reparaci6n y operaci6n de las activi- of the Pr ject including but nt dades del Proyecto incluyendo pero limited to the amounts provided for no limit6ndose a las cantidades espe- in irticle V of this greement cificadas en el Artfculo V de cste Convenio

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SECCION 403 Consultorfa Continua El SECTION 403 Cc-ntinuing Consulta-Prestatario y la AID cooperar n mutua- ti n B)rr-)wer and AID shall c)shymente para que lob objetivos dc este operte fully to assure th-Lt the purshyPr~stamo scan logrados Con este fin pi-se f the Lltn will be acc mplished el Prestatario y la AID deberdn dc To this end B rrwcr and ID shall tiempo un tiempo a solicitud de cual- from time to time at the request quiera de las partes intercambiar feither party exchange views opiniones per media de sus rcpresentan- thrugh their representatives with tes con respecto al progreso del Iro- regrcd t the pr)gress -f the Prject yecto el cumplimiento par el Presta- the pcrferm-nce by Barr-wer f its tarit du sus -bligaciones en este bligtins under this Tkgreemont Conveni la actuaci6n de los consul- the perfmmnce f the co_ nsultants torus contratistas agencias y sumi- cntract)rs agencies and supplies nistros comprometidos en ei Proyecto eng-iged n the Project aind ther y otros asuntos relacionados con cl matters relating t) the Prject Proyecto

El cfecto dcl Proyectu sabre el The effect r-f thu F-oject upn the aibientu natural debcra t-m-rse en con- natural envir-nment shall be taken sideraci6n previo a y durante In eje- int c-)nsideratian pri-r to and durshycuci_n dc-l Proyectco y la AID y cl ing the implementation f the Pr)-Prestatario dcbLrn cooperar para ject and AID and B )rrcuwer shall co shyreducir al minima i-s efectos darlinos perata tc minimize any harmful efshysobre l 7IbientL natural fects upon the ntural envirnment

SECCION 404 Adinistraci6n El SECTION 404 Mnagement BFrrwer PrL-statario vclar6 pjrque el Proyecto shall prt-vide qualified and expeshys(a ciministrado por personas compe- rienced man-gement f r the Project tentes y con cxpcrioncin y adicstrard and it shall tr-ain such staff as may a todo i personal que sea nucesario be apprpriate fr the maintenance Para cl mantenimicnt) y operaci6n del and peratin f the Pr-ject Proye ct

SECCION 405 2peraci6ny Mantenimiento SECTION 405 Operation and Main-El Prctatario deberA operar mantcner tenance B rr)wer shall o)perate y reparar el Proyecto do c-nfrmidad ma-7Etn and repair the Prject in con las prActicas adecuadas dc ingenie- c nfrmity with sound engineering rfa financieras idministrntivas y financiil administrative and medicol de medicina y en tal manera que asegure practices and in such manner as t cl qgr continue y exitoso dce los insure the cntinuing and successful propsitcs del Proyecto achievement -f the purposes of the

Pr j ect

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SECCION 406 Ihpucstos Este Ccn-venio 01 Pt6stam) y cualquier prueba de endeudamiunto emitida on rclaci6n a este cocument) estardn libres y el Principal y ls intoreses carrcs-p)ndientos scrdn pagadcs sin duducci6n alguna y estardn libres de cualesquiera iripuostos -) grav~mencs iinpucsts por las loycs dc Guatemnala En caso dc quo (a) cualquier contratista incluyendc a cualquior firma co5nsul-t-ra cualquicr personal dL tal cntra-tista financiad-) baj-) este dcumrent) y cualesquiera bienos tratsicciones relativas a talcs cntratus y (b) cualesquicra transaccianes de compra de mercaderins financiadas en virtud de est locumento no est(n exneradas Ck iLpust )s tarifas derech-ts L cualcsquiera tros gravdmcnes idnti-ficables impuLstos per las lycs en vigr Ln Guatemala L- 1restatario debr dL acuerd c )n io prescrito en las Cartas do Ejecuci 5n pager o rcemrb]sar I -s rlisv-s bajo In Succi6n 402 de -stc Ccnvcnio con fnds que n prvrigan del Prfstamu

SECCION 407 Utilizacin de Mercadu-rfas y Servici)s

a) Las inercaderlas y servici s finan-cialhs c n oste Prstami dcberln usarsL cxclusivanente pare L1 Pr yect cx-ccpt- que catrni AID convenga on csa par escritc A la finalizaciln dcl pr)ycct2 )en cualquier trc tiemp) on el que lns articulos financindos bajj el Prustain- n puedan emploarse 6itilmonte pare el Pr yectw -I Presta-tari pcdr6 -- do ellasuser disp-ncr rc tel mantra que la AID cnvcnga pir escrit previ a tal us disp sici)n

SECTION 406 T axation This Lgreeshyment the Loan and any evidence l indebtedness issued in cnnectian herewith shall be free frrm and the Principal and interest shall be paid with ut deducti n for and free from a7ny t-ix- ti n r fees imposed under the la-ws in effect within Guatemala To the extent that (a) any contracshyt r including any consulting firm any personnel f such c-)ntractor fishyn-nced hereunder and any property

r tr-nsacti ns relating to such c ntr cts nd (b) any commodity proshycurement transacti n financed hereshyunder are nt exempt frrm identishyfi-able taxes tariffs uties and thel levies imposed under laws in effect in 16 shAllGuatemla Brwcr as and t the extent prescribed in and pursuant to Implemntlti-n Letshyters pay or reimburse the same under Sectin 402 f this Acreement with funds other than thse provided under the Loan

SECTION 407 Utilizati-n of Goods and Services

Cds srvices under tha L rish l be used cxclushysively f r the Pr-ject except as AID i-y theitwise agree in writing Up n c mpleti n f the Pr-ject x itsuch thcr ti as g ds financed under the 1 n c-n n longer usefully be empye f r the Pr ject Brr wer may use dispso f such g ds in such manner as AID may agree t in writing prir t) such use r disshyp siti n

( G) and finnced

b) Excepto que In AID convenga en otra cosa pcr escrito ninguna merca-deria - servicii de acuordc con este

Convenio de Pr6stanio dber usarse para pr)icvor c- ayudar a un proyecto de ayuda extranjura - actividad aso-ciada con o financiada par cualquier pais que no est( incluido en el C5digz 35 del Libro do C-digos Gcograficos la AID en efecto on la focha de tal utilizaci6n

SECCION 408 Informaci6n Sobro

Hechos o Circunstancias Matoriales El Prostatario hace constar y garanti-za que tAs las hochos y circuns-tancias sabrc ls cuales ha inf2rmacdo )ha hech_ que so inf-rmo a la AID

on cl curs) de In obtcncin de este

Pr6stam son cxactos y cmpletos y quo ha informad) con exactituo y corn-

pletamente sbrL to)s is hochos y circunstancias quo podrian afectar materialonte al Proycct y el cumpli-mient- 1c sus abligaciones baja este Cinvcnia El Prestataria informar6

prontamente a la AID de cualesquiera hechos y circunstancias que puedan surgir en adelante y que puedan afectar materialmente o que sea razonable creer que podrian afectar materialmente al Proyecto o el cumplimiento de las obligaciones del Prestatario dontro

de estc Convenio

(b) Except as ID may ltherwise agree in writing n) goo-ds or servshyices financed under the L7an shall be used t pr)mote Jr assist any f-reign aid project or ctivity asshys ciated with -r financed by any c_untry not included in C de 935 of the AID Gegraphic Cde Bak as in effect at the time f such use

SECTION 408 Disclosure (f Matshy

erial Facts and Circumstances B Irshyr-wcr represents and wirrants that all facts and circumstances that it has disclsed r caused to be disshycl sed t- ID in the course of bshy

tiining the Loan arc iccurate and c _mplete and thait it has discl sed t JD accurately and cmpletcly

all fcts and circumstances that might materiailly affect the Project and the discharge of its )bligations under this greement Borrower shall prAmtly inform AID of any facts and circumstances that may hereafter a-rise that might maiterialshyly affect or that it is reasnable t-) believe might materially affect the Pr-ject r ths dischairge f Bo-rshyr wers -biigatins under this 1greement

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SECCION 409 Comisiones Honorarios y 0tros Pagos

a) El Prestatario garantiza y conviene en que en relaci6n a In obtenci6n de estc Prdstamo o al tomar cualquir medida bajo Lstu Convcnio o con respecto -I misme no ha pagado no pagard ni convendr6 en pag ni dc acucrdo con su mcjar saber y entender ningtina otra persona o untidad ha pagado pagarA o convundrA un pagar comisiones honora-rios u otros -pagos de cutilquior clase _xcupt) la compensaci6n regular a los furici nrins y empliad)s dcl Frcstatario

ctmpcnsacin por survicios profe-

sinales t6cnicis ) scrvici-s compa-rnabics bona fide El Pr-statario in-f amprmar prontamLnte a la AID bobre cualquitr pag i c vunia de pagar talos scrvici s prfcsionalcs tdcnicos servici s comparblus buna fide de i s cuales es partL a ticnc conoci-miento (indicando si tal pag ha sido Lfoctuad se cfectuarr s)bre una base contingentuc y si cl monto dc tal pag( fuura considerndo pr la AID c mj irrazonabL2 el mism serd ajustd o forina a laen satisfactorii AID

b) El Prestatario gnranti7a v -conviene en quc ni 61 ni sus func arL-s an recibidn ni ricibir~n pago en rclaci6n a la adquisici6n du mercaderfas Y servicios financiados con esto Vrdstamo excepto los pagos de honrarios im-puests pagos similar( s icgaLhnte Cstahb]cidas (n Guatemala

SECTION 409 Commissio-ns Fees and Other Payments

(a) B rrwer warrants and cvenants that in (nnectin with obtaining the L an r taking any action unshydur f with respect t) this Aigreeshymet it has nit paid and will n)t pay r gree t pay nr to the best if its kn wlcdge has there been paid

r r will there be paid r agreed ti be paid by any thor pcrs ri r 7nshytity c -mnissins fees r ther payments f any kind cxcept as reshygulnr cimpnsati n t 3 rrwerlsfll time fficers and cml yees r as c m nsatin fr b ii- lice proshyfessinal technical r c Fprable services B rr wer shall pr mtlyreprt t ID any payment r greeshyment t pay fr such baa fide prshy

fcssi nal technical r c mrearbile services tL which it is a party -r

f which it has knowledge (indicatshying whether such payment has been mace r is t be maide -n a continshygent bsis) and if the am )unt f

ny such payment is deemed unreasunshyable by ID the same shall be adshyjusted in a manner satisfactory to J D

(b) B rrzw warrants and covenants that n payments hve been or will be received by Brrower r any )fshyficial f B rriwer in c nnecti n with the pr curement f g ds and services financed hereunder except fees talxes lr similar payments legally est ablished in Guatemaila

13

SECCION 410 Mantenimiento Audito-ia de Registros El Prestatario man-

Stondr6 o verd que se mantenga de a-cuerdo con pradcticas y principlios de contabilidad adecuados libros y re-gistrps relativos tanto al Proyecto como a este Convenio Tales libros y registros debern sin limitaci6n sb adecuados y demostrar

a) El recibo y uso de las mercaderias y servicios adquiridos con fondos ((a)erogados de acuerdo con este Conlvenio

b) La naturaleza y extensi6n de soli-citaci6n de probables proveedores de merctaderfas y servicios adquiridos

c) La base para la adjudicaci6n de contratos y pedidos a los oferentes ganadores Y

d) El progreso del Pruyecto

Tales libros y registros deberdn ser regularmente sometidos a auditoria de acuerdo con las practicas de auditoria adecuadas durante aquellos perfodos y a los intervalos que la AID requiera y deberdn mantenerse dnnte Jiao (5) afot despu-s 1e _i o deseynbolso efectuado por la AI o hasta que todas las-cantidades adeu-dadas a la AID de acuerdo con este Convenio hayan sido pagAampds ikThto ocurriera primero

SECCION 411 Informes El Prestata-rio dard a la AID aquella informaci6n e informes relativos al Pr~stamo y-al Proyecto que la AID solicite

SECTION 410 Maintenance and Audit of Records Borrower s7a1 mainTain cause to be maintainedor

in accordance with sound accounting principles and practices consistent_ ly applied books and records relatshying both to the Project and to this Agreement Such books and records shall without limitation be adeshyquate to show

The receipt and use made of goods and services acquired with funds disbursed pursuant to this Agreement

(b) The nature and extent of solicishytations of prospective suppliers of goods and services acquired

(c) The basis of the award of contracts and orders to successful bidders and

(d) The progress of the Project

Such books and records shall be regularly audited in accordance with sound auditing standards for such period and at such intervals as AID may require and shall be maintained for five (5) years after the date of the last disbursement by AID or until all sums due AID under this Agreement have been paidwhichever date shall first occur

SECTION 411 Reports Borrower shall furnish to AID uch informashytion and repbrts relating to the Loan and to the Project as ID may request

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SECCION 412 Inspecciones Los re- SECTION 412 Inspection The presentantes autorizados de la AID authorized representatives of AID tendrdn Iecrecho en todo tiempo razonable shall have the right at all reasonshyde inspecci onar el Proyecto In utili- ible times to inspect the Projectzacin de todas Ins morcaderfas y the utiliz7tion of all goods and servici s finnnciadss con el Pr6stamo services financed under the Loan y l s libris registros y tros docu- -and Borrower s books records and ments d1cl Prestntari) relacimnados con other documents relating to the Proshyel PrLyecto y el Pr6stamr El Pres- ject and the Loan Borrower shall tatario coperar con la AID para faci- cooperate with IJD to facilitate litar tales inspecciones y permitira such inspections and shall permit a los representantes de la AID visitar representatives Df ID to visit anycualquier parte de Guatemala para part of Guatemalq for any purposecualquicr prJp~sito relaciDnado con relating to the Loan el Pr6stam)

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ARTICULO V ARTICLE V

Convenios y Garantias Especiales Special Covenants nd Warranties

SECTION 501 Planning for Phase SECCION 501 Planificaci6n para II Borrower covenants to begin la Fase II El Prestatario conviene within a reasonable time the planshyen principiar dentro do un tiempo ning and development of the Second razcnable la planificaci6n y desarrollo Phase of the Rural Health Services de la Segunda Fase de su plan de delivery plan Servicios de Salud Rural

SECCION 502 Ayuda T6cnica El SECTION 502 Technical Assistance Prestataric deber6 contratar o pro- Borrower shall retain or otherwise prcinar do otra manera en forma y provide in form and substance sashysubstancia satisfactorias a la AID tisfactory to AID for the duration en el tiempo que dure el Proyecto of the Project such technical aquella ayuda tccnica quo sea necesa- assistance as may be necessary to ria para asegurar la cjecuci6n satis- ensure the satisfactory implementashyfact )ria del Proyecto tion of the Project

SECCION 503 Contribuci6n General SECTION 503 Borrower s General del Prestatario El Prestatario Contribution Borrower shall conshydeberd contribuir al Proyecto 2ortuna- tribute to the Project on a timely mente una cantidad no menor del equi- basis not less than the equivalentvalente de tres millones seiscientos of three million six hundred thoushymil d5lares de los Estados Unidos sand United States dollars ($3600($3600000) incluyendo contribuciD- 000) including municipal contrishynes municipales pero excluyendamp las butions but excluding amounts conshycantidades que el Prestatario haya tributed by Borrower for acquiring crntribuid- para la adquisiciSn del the quirigul site for the training local en QuiriguA para la escuela do facility adiostramiento

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ARTICULO VI

Comras

SECCION 601 Cmras ElogibIes Excepte que la AID convenga lo contra-ri- per escrito y exceptuando Ih quo se cnciona en la Sccci~n 608(c) en cuanto a scgur- maritim los lesembolsos efectuados de acuerdJ a la Scccin 701 deberdn usars exclusi-vamente para financiar la c rmpra de mcrcalerias y samprvicijs para el Pr-yect9 cuya fuente y origen sean los parses incluids un Ll C6ig- 941 del Libro Ac C60igis Geograficcs c In AID en cfecto al momento Idc efectuar las 6rdcncso pedid)s para dichas mrca-derfas o servicics cxcluycnd(o a los paises Ccntr)arierican)s (Mercaderias y Servicios Elcgibles) TxLo embarque maritime financiado bajo el Pristamo dubcrA tcner su fuente y jrigEn on 1 s paises inclufds un el

Clige J41 Acl Libro de C6dig-s Ge-grdficos de la AID cn cfocto al memento dcl cnibarque exceptuando a los paises Cntramoricanos

SECCION 602 Compras en Centr America Los desembisos efectuados de acuerbo con la Seccin 702 deberdn usarse exclusivamente para financiar la adquisicin de mercaderias y servicios necesariis para el Pr yecti cuya fuente y origen sean lo s paises centreanericanos

1RTICLE VI

Procurement

SECTION 601 Eligible Procurement Except as ID may otherwise agree in writing and except as provided in Section 608 (c) with respect to marine insurance disbursements made pursuant to Section 701 shall be used exclusively to fina7ince the procurement for the Project of goods and services hiving both their source and origin in countries included in Code 941 of the ID Gcographic Code Book as in effect at the time orders are placed or contracts are entered into for such goods and serviccs except for thu countries of entral -merica ( Eligible Goods and Services Alli ocean shipping financed under the Loan shall hove both its source and origin in countries included in Code 941 of the ID Geographic Cdc Luok as in effect at the time of shipment except for the countries of Central imerica

SECTION 602 Procurement from Central America Disbursements madc pursuant to Section 702 shall be used exclusively to finance the procurement for the Project of goods and services having both their source and origin in the countries of (critral merica

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SECCION 603 Fecha de Elegibilidad Excepto quc la AID autorice otra cosa pcr escrito no deber6 financiarse con el Prstamr ninguna mercaderia ni ser-vicio que sean adquiridos de acuerdo cofn peidos r) cntratos furmalmente efoctuados o ejecutads antes de la fccha de este Convenio

SECCION 604 Mercaderfas Y Servicic)s _ue no scan Financiados con el Pr~stamc

Las mrcaderias y servici s adquiridos con mtiw dcl C-nveni quo nD scan financiados c n estc Pr~stam deberdn ser d origcn c paises incluidos en el C5dig- 935 dcl Libro de C6iigos Gcogrdficc-s Je la AID que est6 en vigor un la fecha en que so envien ics -pe dii s para tales mercaderfas y sershyvicios

SECCION 605 Implantaci6n do los Requisitos de Com 2 ar Las definiciones aplicables a los requisites de elegibi-lidad de las Secciones 601 602 y 604 Ieberln ser establecidos on deta-lle en Cartas de Ejecuci~n

SECCION 606 Pianos EscLificaciones Contratos

a) Excepto que la AID convenga itra co)sa pur escrito el Prestatari- debe-rA proporcionar a la AID inmediatamente despu6s de su preparaci n todos los planos especificaciincs calendarius dc construccihn ocumontDs d licita-ci6n y cntratos relacionadcs con el Proyacto y cualquier o]ificaci6n dc ics mismos ya sea que las mnerca-

SECTION 603 Eligibility Date Except as ID may otherwise agree in writing no goods or services may be financed under the Loan which are procured pursuant to orders or contracts firmly placed or entered into prior to the date of this Agreeshymont

SECTION 604 Goods and Services Not Financed Under L)an Goods and services procured tor the Proshyject but not financed under the Loan shall have their source and origin in countries included in Code 935 of the AID Geographic Cde Book as in effect at the time orders are placed for such goods and services

SECTION 605 Implementation of Procurement Requirements MThe definitions applicable to the elishygibility requirements of Sections 601 602 and 604 will b2 set forth in detail in Implementation

Ltters

SECTION 606 Plans Specifications and Contracts

(a) Except as AID may otherwise agree in writing Borrower shall

furnish to AID promptly upon proshyparttion all plans specifications construction schedulos bid docushyments and contrncts relating to the Project and any modifications thereshy

in whether or not the g)ods and services to which they relate are

zerfas y servicios a los cuales se relaciLnen scan financiados con el Pr~stam o no_

b) Excepto que la AID convenga otra cosa pr escrito todcs los plans espccificacines y calendarios dO c-nstrucciSn proporcionados de acuerdo a la sub-secciln (a) anterior debcrn ser aprobados por escrito por la AID

c) Tolos los documentos do licitacin relacinados con la alquisici6n de mer-caderias y servicis financiads den-tr c oestc Ccnvenic de Prdstamc deberin sor aprobads por la AID pLr oscrito antes de su cmisi6n Tdos is plan-s especificaciones y otros cumeont-s relatives a mercadLrias y servicis financiaos con fondos provenientes de este Prestarfo deber5n frmularse de acuerdo c n las nrmas y medikas usadas en los Estados Unidos except- que la AID aceptu 1o contrario p-r escrito

d) Los cntrat-s siguientes financia-dcs con el Pr6sta iobcrdn ser aproba-s por la AID pi)r escrit prAvio a su ciccuci6n

(i) contratos p-r servicis Ju inge-niorfa y -)trs servicis profcsi-nales

(ii) contrats pr scrvicio-)s de canstruccijn

(iii) cntratos para aquellis rtr)sservicics que la AID puoda especificar Y

(iv contratos por equip y natc-rialos except que la AID espccifique tra cosa

financed under the Loan

(b) Except as AID may otherwise agree in writing all of the plans specifications and construction schedules furnished pursuant to subshysection (a) above shall be approved by AID in writing

(c) Alli bid documents and documents related tuthe solicitation of proshyposals relating to goods and servshyices financed under the L an shall be apprved by AID in writing prior to their issu-ince dl plans sposhycifications and other documents relating to goods and services fin2nced under the Lan shill be7 in terms of United States stand- rds and measurements except as AID may otherwise agree in writing

(d) The following contracts financed under the Loan shall be approved by[ID in writing prior to their exeshycution

(i) contracts for engineering and iother professional services

(ii) contracts for construction services

(iii) contracts for such other services as kID may specify and

(iv) contracts for equipment and materials except as AID may otherwise specify

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En el caso de cualquiera do ls con- In the case of any of the above tratos de los servicii~s indicavls contracts for services AID shall arriba la AID debtr tambi~n aprbar alsO approve in writing the contshyA)r escrito al cintratista y al per- ractor and such contractor personshysonal Jel contratista segSn lo espe- nel as lID may specify Material cifique la AID Mjdificacicnes mate- modificati-ns in any )f such contshyriales en cualquiera io tales ccntra- racts and changes in any f such tos y cambios en el personal Jeberdn personnel shill also be approved by ser aprobalos tambi~n p-r la AID par AID in vriting prior to their beshyescrit antes do que entrun en vigor coming effective

a) Las firmas consultures quo el Pres- (e) Consulting firms used by B rshytataric utilice para el Proyectf per rower for the Project but not que n sean financiadas con el Fr~sta- financed under the Llan the scope mr el alcance de sus servici-s y du of their services and such of their su porsnal asignad- al PruyectL segcin persunnel assigned to the Project as I specifique la AID y los contra- JD may specify and construction tistas constructires utilizados por el contractors used by Bmrower for Prestatarto para el Proyect per que the Project but not financed under no sean financiados con el Pr6stamo the Li-an shall be acceptable to deberdn ser aceptablcs a la AID AID

SECCION 607 Precio Razonable No SECTION 607 Reasonable Price deberdn pagarse precios mayores que N) more than reasonable prices shall lc-s razinables por la adquisici~n be paid for any goods or services ccmpra ce cualesquiera mercaderias financed in whole or in part under servicios financiadios en su totalidad the Loan Such items shall be proshy

en parte con este Pr~stanm Los cured n a fair and except for proshyismus deberdn ser aiquiridos exceptuando fessional services on a competitive scrvicits profesionales a base de basis in acc )rdance with procedures c inptencia do acuerdo con los theref)r prescribed in Implementashyprocedimientus prescritos en las tin Letters Cartas e Ejecuci~n

SECCION 608 Embarqe ySugur SECTION 608 Shipping and Insurshyanc e

a) Las mercaderfas elegibles crmpradas y financiadas con ol rstam deber6n (a) Eligible G -ds financed under the ser transportaudas a Guatemalan on L an shall be transported to Guatemashynaves que ostenten banderas de cual- la n flag carriers f any cluntry quier pais incluidc en el Ccdigc 9335 included in Code 935 of the AID Geoshydel Libro de Ctdigos Geogrlficis do la graphic Code Book as in effect at AID que est6 en efecte en la fecha de the time f shipment embarquu

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b) Pr ic men-s un cincuenta por cien-to (50) del tonelaje total de todas las mercaderfas elegibles y financia-das cn el rLstam (comutan s eparaainent e el transpmrte global de carta seca rybulk carriers - rry car liners - tanques) que deban ser trcnspirtaias p)r vfa marftima dcbe-rd emLbarcarst- en barcos comerciales priva s c)n bandera Je los Estados Unilols a icnoS que la AID determine quc tales barcos nj estn dis-pnibles a preci_-s justos y razunablus do acuerdo c1n los uses cmerciales Ielos Estados Unidos Ninguna mercaIria debcr trinsportarsu en barc)s naves areas que la AID (i) en nitificacifnal Prestataric haya dcsignad ccm i elegibles para transprtar mercaderfas financialas pr el Pr~stam - (ii) quo hayan sidel fletads para llevar mercaerias financiadas p r la AID a menss que cl contratj de flete hayasid apr-ba p)r dicha Agncia

c) El seguro maritim de las mercade-rfas elegibles pucde ser financiado con fondos lel Pr~stam c-fectuand los aesemblss 1e acuerl-a ilo que esta-blece la Seccin 701 702 siempre y cuand (i) dichj suEuro so obtiene al preci ros baj disp-nible en cualquier pais inclufd en el Cdig)

41 el Libr- c CIdi os Gcogr-ficos le la AID on vigcr al mrnento de seguri)en un pais ccntro-btencr el acrican y (ii) ta rcclamacin

quo se erive -e este segur ser5 paga-era en )neda f~cilmentc crnvertible

Si en rolaci~n a la tnciLn ltic seiure maritino para embarques finan-ciaos e acuerr con la leislacin

Sls Estas Unicios se autriza la ayuda a atras naci-nes Guatemala prestatuti docret- acuerdo rejlainen-t favwrece a cualquier cwpafifa de

(b) t least fifty percent (50) of the gro)ss tonnage f ill Elishygible Gds financed under the Loan (c mputed separately for drybulk carriers dry cargo liners and tankers) which shall be transported on ocean vessels shall be transhysportcd on privately wned United States flag commercial vessels unshyless JD shall determine that such vessels aro nit available at fir and reoasnable rates for United States flag co)mmercial vessels N such g -ds rny be transp rted n any cean vessel ( r aircraft) (i) which 7ID in -a notice t- B rshyrwer ha s designated as ineligible to carry ID-financed goids r (ii)which has been chartered fr the carriaige 4 JiID-financed go ds unshyless such charter has been approDvedby AID

(0 Marine insurance -n EligibleGds may be financed under the L-an with disbursements made pursuant to Section 701 -r 702 prvided (i)such insurance is placed at the lowest available competitive rate in a cuntry included in Cde 941 f the D Gegraphic 2de Book as in effect at the time f shipshyaient r in a c untry in Central mmcrica and (ii) clims thereunder are pay-able in a froely c~nvertible currency If in cgtnnection with the placement if mrine insurance or shipments financed under United States legislatin auth rizing asshysistance t- ther nati-s Guatemashy1 by statutu decree rule r reshygulation favors any marine insurshyance c mpany r any cuntry ver any marine insurance company

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seguro maritimn de cualquier pals en authorized to do business in any contra do cualquier cmpafiia do seguro state of the United States of Ameshymarftimn autorizado para trabajar en rica Eligible Goods financed cualquier estado do los Estados Unidos under the Loan shall during the dc America las mercaderias elegibles continuance of such discrimination financiadas con el Prdstam) debcrdn be insured against marine risk in durante la cmntinuacin de tal liscri- the United States of America with minacifn asegurarse contra riesgo a company or companies authorized maritimo en los Estados Unidos de to do a marine insurance business Am6rica con una companfa o- compafias in any state of the United States autorizadas para efectuar transacciones of America do scguros maritimDs en cualquier ustado dc los Estados Unidos de America

d) El Prestatario nsejurar6 - vela- (d) Borrower shall insure or cause fa pr que so asqguren to-Jas las to be insured all Eligible Goods mercaderias elegihles financiadas baja financed under the Loan against el rcstam c-ntra toW rieso psible risks incident to their transit to iuranto el trdnsito al lugar do the point of their use in the Proshyutilizaci6n en ei royectc Diche ject Such insurance shall be isshysegur- surA cnitid_ le acuero a tar- sued upon terms and conditions conshymins y condiciones usadas en la prfc- sistent with sound commercial pracshytica cimercial y ascgurar6n el tices shall insure the full value valo)r total de las mercaderfas y of the goods and shall be payable serA recinbOlsable en la moneda en que in the currency in which such goods fuera financiadia la compra de las mor- were financed or in any freely conshycaderfas o en cualquiur mrnneda fdcil- vertible currency ny indemnifishymente convertible Cualquier indemni- cation received by the Borrower zaciln recibida pr cl Prestatario under such insurance shall be used prveniente del s(guro srA utilizada to replace or repair any material po)r el Pr~statario para reem1lazar damage or any loss of the goods

reparar la p6riida o into naterial insured or shall be used to reimshyde las mercaderias aseguradas burse Borrower for the replacement ser utilizado para reembolsar a or repair of such goods Any such Prestatari por ei rcemplazu c rcpa- replacements shall havve their sourshyracin de dichas mercalerias Cual- ce and origin in the countries of quier reonplazo tendr- su fuente y Cwntrol mcrica or in countries

-igen en paises ccntroamericans included in Code 941 of the AID -n paises incluidus en cl C digm Geographic Book as in effect at

pound41 dcl Libro e Codigs Geograficos the time orders are placed or contshy1eli AID en vigor al xomcntc de emitir racts are antered into for such

ei oedido Ie suscribir cl contrato replacements and shall be othershyde compra para dich-)s reeoplazms wise subject to the provisions of y estardn en to mmento sujetas this Agreement a las especificaci~nes do este C )nvni

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SECCION 609 Notificacin a Proveedo- SECTION 609 Nctification to res ctencialcs Con el fin de que Potential Suppliers In order that todas las firmas de is Estados Unidos all United States Tirms shall have tengan oporturidad de participar en the opportunity to participate in la venta Ic mercaderfas y servicios furnishing goods and services to be a ser financiados el eicon erlstamn financed under the Loan Borrower Prestatari proporcibnard a la AID la shall furnish to AID such informashyinfoirnacin rospectiva en las 6pocas y tion with regard thereto and at fechas quo so letorminc en las Cartas such times as AID may request in le Ejccucin Implementation Letters

SECCION 610 Bienes Excedentes Porte- SECTION 610 United States Governshy

necientes al Gobierno de Ls Estados ment-owned Excess Property BorshyUnids El Prestatario)deberd utilizar rower shall utilize with respect con respecto a las morcriderfas finan- to goods financed under the Loan

ciadas cn el Pr~stam que pasen a ser to which Brrower takes title at the p ropiedad Ael Prestatari en a fecha time of procurement such recondishyde su c~mpra aquolics Biunes Excuden- tioned United States Governmentshytcs ic1ropieda -] del G)Licrno d(- los owned Excess Property as may be con-Estacics Unidos que hayan sid ruacon- sistent with the requirements of the icinados que se cnformen a 1is Project and as may be avail7ble

requerimientos del Proyect y que within a reasonable period of time est~n disponiblos dentro le un porfodo Borrower shall seek assistance from de tiemp2 razonable El restatario AID and AID will assist Brrower buscar6 la ayuia de la AID y la AID in ascertaining the availbilityayuiard c Prestatari pare detorminar of and in obtaining such Excess Ia isp nibilidad y btenci6n de tales Property ID will make arrangements Biones Excedentcs La AID hard los for any necessary inspection of such arregls para cualquier inspocciIn property by Borrower or its represhyquo so haa necsaria dI talces bienes sentative The costs of inspection p_)r parte (el Frestataria -de sus and of acquisition and all charges reprosentantes Los cost s dc ins- incident to the transfer to Borshypcccin y aquisicin y tods los rower of such Excess Property may cargos incintos al traspas de tales be financed under the Loan Prior Bienus Excoeentos al Prestatarij pdran to the procurement of any goods sur financiadis cn cl Prdstani- other than Excess Property financed Antes ie la aquisiciTn financiada under the Loan and after hving cmn f ondos dcl Prdstamo do cualquier sought such AID assistance Borrower bien qu2 n) sen propiel1a excedente shall indicate to AID in writing y ispucs de haber stlicitad la ayuda on the basis of information thendo ic AID -Prestatari cbr1 indi- available to it either that such car a la inisma pr escrit c)n base goods cannot be made available from en la infrinaci~n disp)niblc pare ese reconditioned United States Governshyefect ya sea que dichs hicnes n ment-owned Excess Property on a pueden ser adquiridos cn un Periodo de timely basis or that the goods that

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tiempo adecuado de los Bienes Excedentes can be made available are not tech-Reacondicionados del Gobierno de ls nically suitable for use in the Estados Unidos o que los bienus no son Project t6cnicamente adecuados a ser utilizados en este Proyecto

SECCION 611 Informaci n y Marcas SECTION 611 Information and El Prestataria dard publicidad al Marking Borrower shall give Prdstav) y al Proyoct) come un programa publcity to the Loan and the ayudn de les Estados Unilos efec- Project as a program of United tuad dentr e los objetivs do la States aid (in furtherance of the Alianza para el PrI2rcs- ilentificard Alliance for Progress) identify el lugar dcl poundCroyect y marcar las the Project site and marl- goods mercacrlas financiadas cn el Prdstamo financed under the Lan as presshy2e acucrdo con 1 prescrito en las cribed in Implementation Letters Cartas de Ejecucin

SECCION 612 Empleo le NacinaIes de SECTION 612 Employment of Non-Paises no Eleqibles para Ccntratos do Eligible Nationals under Construc-Construcciin El vmpleD de personal tion Contracts The employment ot para relizar los servici s do los personnel to perform services unshyciJntrats 1 c-nstruccin financiados der any construction contract cn fn)s dcl 0rstamo -lebr6ncstar financed under the Loan shall be sujet s a ciert)s requisit s referentes subject to certain requirements with al mple c nacimals quo n suan do respect to nationals of countries paises centrDanuricans y le parses other than the countries of Central inclulds en el C6digo 941 dcl Libro America and countries included in de Codigjs Geograficos de la AID n (Code 941 of the AID Geographic Code viw-r al mnmento dc suscribir el cron- Bo as in effect at the time the trat ara iich)s servici)s Estos onstruction contract is entered requisites so detaiian on las Cartas into These requirements will be Je Ejecuci6n prescribed in Implementation Letshy

ters

ARTICULO VII 24- ARTICLE VII

poundesembolsos Disbursements

SECCION 701 Desembolsos para cubrir Costos en D61ares de los Estados Uni-dos Cartas de Compromiso para Bancos de los Estados Unidos Tan luego se

hayan-Ilenado-los-requisitospre-eios-el Prestatario podrA solicitar a la AID que emita Cartas de Compromiso por cantidades especfficas contra uno o mAs bancos de los Estados Unidos (satisfactomrios a la AID) en las quela AID se comprometa a reembolsar a tales bancos por los pagos en doldres que hagan por medio de Cartas de Cr4-dito u otros documentos a los contra-tistas o proveedores de mercaderlas o servicios adquiridos para el Proyec-to de acuerdo con los tdrminos y con-diciones de este Convenio

El pago a un contra-tista o proveedor por el banco 0 porlos bancos serA efectuado contra la presentaci6n de los comprobantes quela AID determine en las Cartas de Com-promiso y en las Cartas de Ejecuci6n Los cargos bancarios en relaci6n a las Cartas de Compromiso y a las Car-tas de Crddito seran por cuenta del Prestatario y se podrcn financiar con fondos del Prdstamo

SECCION 702 Desembolsos para Costos en Moneda Local Al estar satistechas las condiciones previas el Prestata-rio podrd oportunamente solicitar un desembolso de la AID de moneda lo-cal para cubrir los costos en moneda local de mercaderfas y servicios ad-quiridos para el Proyecto de acuerdo con los t~rminos de este convenio presentando a la AID aquellos compro-bantes que 4sta prescriba en las Car-tas de Ejecuci6n La AID podrA efec-tuar desembolsos de moneda local per-tenecientes al Gobierno de los Esta shydos Unidos y obtenida por la AID con ddlares de los Estados Unidos El equivalente demoneda local en d6lares

de los Estados Unidos disponible poreste medio serA la suma de dolgres de Estados Unidos que la AID necesitar6 para obtener la cifra en moneda local

SECTION 701 Disbursement for Unishyted States Dollar Costs -Letters of Commitment to United States Banks Upon satisfaction of conditions ]preshycedeant Borrower may from time to time request AID to issue Letters of Commitment for specified amounts to one or more United States bankssatisfactory to AID committing AID to reimburse such bank or banks for payments made by them to contractors or suppliers through the use of Letters of Credit or otherwisefor Dollar Costs of goods and servishyces procured for the Project in acshycordance with the terms and condishytions of this Agreement Payment by a bank to a contractor or supplier

will be made by the bank upon presenshytation of such supporting documentashytion as AID may prescribe in Letters of Commitment and Implementashytion Letters Banking charges incurshyred in connection with Letters of Commitment and Letters of Credit shall be for the account of Borrower and may be financed under the Loan

SECTION 702 Disbursement for Local Currency Costs Upon satisfaction of conditions precedent Borrower mayfrom time to time request disburseshyment by AID of local currency for Local Currency Costs of goods and sershyvices procured for the Project in accordance with the terms and condishytions of this Agreement by submitting to AID such supporting documentashytion as AID may prescribe in Imshyplementation Letters AID shall make such disbursements from local currency owned by the United States Government and that obtained byAIDwith United States dollars The Unishyted States dollar equivalent of local currency disbursements made available hereunder will be the amount of Unishyted States dollars required by AID to obtain Uie local currency

0

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SECCION 703 Otras Formas de Desem- I SECTION 703 Other Forms of Disburshybolso Para los efectos del Prsta-mo sement Disbursements of the loan tambiln podrln hacerse desembolsos may also be made through such other por otros medios qua el Prestataria means as Borrower and AID may y la AID convengan por escrito agree to in writing

SECCION 704 Fecha do Desembolsos SECTION 764 Date of Disbursement Los desembolsos se considerarn coma Disbursements by A1D shall be deshy

especificados en la Secci6n 701 disbursements pursuant to Section tom~ndose como fecha el dia en que la 701 on the date on which AID AID haga un desembolso a favor del makes a disbursement to Borrower Prestatario do su designado o de una its designeeo or a banking institushyinstituci6n bancaria do conformidad tion pursuant to a Letter of Commitshycon una Carta de Compromiso y b) en ment and (b) in the case of disburshylos casos de desembolsos contemcentlados sements pursuant to Section 702 on en la Seccin 702 cn la fecha en quo the date on which AID disburses la AID entregue moneda local a favor the local currency to Borrower or its del Prestatario o de su designado designee

SECCION 705 Fecha Final para Desem- SECTION 705 Terminal Date for Disshybolsos Excepto que la AID convenga bursement Except as AID may lo contrario por escrito no deberg otherwise agree in writing no Letter emitirse ninguna Carta do Compromiso of Commitment or other commitment doshyni documentos que persigan ese fin cuments which may be called for by de acuerdo con la Secci6n 703 o sus another form of disbursement under enmiondas por solicitudes hechas des- Section 703 or amendment thereto pu~s del 31 do mayo de 1975 ni tampo- shall be issued in response to reshyco podrA efectuarso ningdn desembolso quests received by AID after May contra documentacin recibida por la 31 1975 and no disbursement shall AID o cualquier banco de acuerdo con be made against documentation receishy1o estipulado en la Secci6n 701des- ved by AID or any bank described pu~s del 30 de noviembre de 1975 La in Section 701 after November 30 AID podrA en cualquier momento des- 1975 AID at its option mayjat pu6s del 30 do noviembre do 1975 de- any time or times after November 30 jar sin efecto el Pr~stamo en todo o 1975 reduce the Loan by all or any en parte si en esta fecha no ha reci- part thereof for which documentation bido solicitudes o documentaci6n qu- was not received by such date impliquen desembolsos

AJRTICULO VIII ARTICLE VIII

Cancelaci6n y Suspensi6n Cancellation and Suspension

SECCION 801 Cancelaci6n por Parte SECTION 801 Cancellation by Borrowshydel Prestatario U1 Prestatario po- cr Borrower may with the prior drA previo consentimionto por escri- written consent of ATD by written to de la AID dar por terminada cual- notice to AID cancel any part of quier partc del Pfestamo quo (i)pre- the Loan (i)which prior to the gishyviamente a la notificaci6n la AID no ving of such notice AID has not se haya comprometido a desembolsar o disbursed or committed itself to disshy(ii)no haya sido utilizado por medio burse or (ii)which has not then de la emisi6n de Cartas de Credit0 been utilized through the issuance irrevocables o por medio de pagos of irrevocable Letters of Credit or

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bancarios aunque los mismos no se hayan efectuado por medio de Cartas de Cr6-dito

SECCION 802 Casos de Incumplimiento Aceleraci6n La AID podrA notificar al Prcstatario que todo o parte del Prin-cipal pendiente de pago se considera vencido y pagadero sesenta dias despu~s si ocurre cualesquiern de los siguienshytes casos de incumplimiunto

a) Si l Prestatario dejare de pagar a su vencimiento cualquier inter6s o dejare de cfectuar cualquier amortiza-ci6n del Principal

b) Si el Prestatario dejare de cumplir con cualquier otra obligacion derivada de este Convenio incluyendo la obliga-cidn do llevar a cabo el Proyecto con la diligencia y eficiencia debidas

c) Si el Prestatario dejare de pagar a su vencimiento los intereses o amor-tizaciones de cualquier otro pago que no sea el Principal y que su deriven do este Convenio o de cualquier otro convenio (do garantia o de otra natu-raleza) celebrado entre el Prestatario o sus instituciones y la AID o cual-quiera dL sus Agencins antocesoras

A menos que el caso de incumplimiento sea remediado dentro de los sesenta (60) dias relacionados (i) el Princi-pal pendientu du pago y los intereses acumulados stbre el mismo sc conside-rardn vcncidos y pagaderos inmediata-mente y (ii) cl monto cualquier otro desembolso adicional hecho de confor-midad con las Cartas de Cr6dito irre-

through bank payments made other than under irrevocable Letters of Credit

SECTION 802 Events of Default Acceleration It any one or more of the following events (Events of Default) shall occur

(a) Borrower shall have failed to pay when due any interest or insshytallment of Principal required under this TAgreement

(b) Borrower shall have failed to comply with -anyother provision of this Agreement including but without limitation the obligation tO carry out the Project with due diligence and efficiency

(c) Borrower shall have failed to pay when due any interest or any installment of Principal or any other payment required under any other loan agreement any (guaranty agreement or any other agreement between Borrower or at-Ly of its aTenshycies and AID or any of its preshydecessor agencies then AID may at its cption give the Borrower notice that all or any p-irt of the unrepaid Principal shall be due and payable sixty (60) days thereafter and unless the Event of Default is cured within such sixty (60 days (i) such unrepaid Principal and any accrued interest hereunder shall be due and payable immediately and (ii) the amount of any further disbursements made under then outshy

- 27

v)cablos )de tros document-js so st1n[n irrevucble etters of considcrardn vencidos y pagader-Da tan (ccdit or otherwise shll ecome pronto como sean efectuads due 7nd -yles soo n is made

SECCION 333 Suspensi6n de Desemb 4lscs 3]CTION10 03 uspensibn -f is-La AID podrd tomar las medids relaci)- bursoment n the event--t- at nadlias si se dhere cualquiera de los nyCiie siguiuntes hechos

a) So ha acurrido un caso e incum- (2) n I-nt )-f Default has cshylimiento currcd

ocurre caso In I1Db) Si un que la AID deter- (b) event occurs that deshymine c m) una situacin cxtrardinaria termines ti be -in extraordinary que tga imprnbrble que se l)gre ei situ tion that mnkes it imonsssible propJsit del 2r6stamo i quo cl 7res- either that the purpose of the Loan tatari) pueda cumplir con las obliga- will be attained or that Porrower ci- ncs que se Joriven le este C nvenio will be J)le to perform its oblishy

gations under this T5greement or

c) Si se efectia cualquier esomb)iso (c) iny disbursement by AID would c ntraviniendo ls reglamentos do la be in viol-ition of the legisltion AID coveraninrr ID

Si el Prestatario ha dejado de (d) Borr~wer shall have filed to efectuar a su vencimient) cualquier pay when due any interest or any Dag- r concepto le intereses y installment of Principil or any principal o cualquier _tro pago re- other payment required under any quoridD nor cualquiur otro c)nvonio do other loan agreement any guaranty r6stamlt conveniu de garantia cual- -Ureement or any other agieement quier itro convenio entre cl Prestatari- between B)rrower or any of its o cualquiera de sus instituciines y ajencies and the Government of the el G)biern) de los Estad1s Unidos o Unitcd States or any of its agenshycualesquiera de sus igencias cies

La AID podrA a su opci6n Then ID may at its option

i Suspender o diejar sin efect los (i) Suspend or cancel outstanding doAtcument)s de compromiso pendientes has- commitment documents to the extent ta ()nde los mismos n- hayan sido uti- that they have not been utilized lizau)s por medi- de la emisi~n de thruugh the issuance of irrevcable Cartas de Crampiit irrevocabls -)por Letters f or through bank)-redit meoco Ae pags ancarios payments urnde other than under

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ii Ncgarse a efectuar desembis-s irrevocable Letters of Credit lifcrentes a los incluidos en )cumen- in which event ID shall give noshyt~s de c-mprnmiso vigentes tice to Borrower promptly thereshy

a7fter

iii Negarse a emitir documentos adi- (ii) Decline to m-ke disbursements cionales de compromis) other than under outstandincq comshy

mitment documents

iv Gstionar p r su cuenta que el (iii) Decline to issue aidditional titul de pr)piedalt de las mercaderias commitment documents financiaias cn el Prestam sea trasshypasad a i ID si las mismas provie- (iv) t IDs expense direct that nen fuentes fuern e Guatemala y title to goods financed under the si se encuentran en estadi ic ser ntre- Loan shall be transferred to AID if gains y n) han sidc iescargarlas en the cgoods re frnm a source outside pucrt s e entrega dc Guatemala En Gutemala aire in deliverable state estc cns cualquicr desemb is -ue and havc not been offloa-ided in ports qnya CfiLCtUaA pnrn cl traspasJ Ue of entry uf Guatemala ny disburshytales morcaderfas serdi deducid1 -el sement made r to be made under the Princioal Loan with respect to such transshy

ferred gods shall be deducted from Principal

SECCION 04 Cancelacin )p-rParte SECTION 8 )4 Cancellation by A1ID e In1 ID_ Despu~s do cuniquicr sus- Followinc ny suspension ot disburshypcnsiTn de lesembAsos e c)nrmidad sements pursu-nt to Section 803 cn in Secci6n 3 si Ia causa if the cause or causes for such susshycauscs e tal suspensi6n n han sido pension of disbursements shall not climinadas ) corregidas dcntro c 1is have been eliminated or corrected sesenta (6)) dias Jespu6s do la fecha within sixty (60) days from the r e suspensi6n la AID po]rA o su dte of such suspension AIE may

~cin en cualquier moment dar por at its option at any time or times cancclada in ttaiidaf In parte del thereafter cancel all or any prt r stam) quo no haya sidj desembAsada of the Loan that is not then either

compr~metid por neiidi J Cartas de disbursed or subject to irrevocble Cramp-itj irrevocables Letters of Creodit

SECCI)N J5 YigencinaContinuadadel SECTION 805 Continued EffectiveshyC-nvcni- N bstantu cualquier ness of meement lTotithsUCa-fig r scisian suspensinn do dosembls o any canclltn- susoension of disshyaculeraciln de pag las clisp_siciones bursement or ccelertion of payshyIe oste Cnvenio continuardn on plena ment the orovisions of this reeshyvif encia y efecto hasta el pag totai mont shall continue in full force de t--a el Principal y de cualesquiera and effect until the payment in interescs devcngad-s por el mismo full of all 2Principnl and any

accrued interest hereunder

29-

SECCION G06 Roembolss

a) En caso de que se efect6v un de sembolso qae no est6 respaldado por documentaci6n vdlida o si no se efec-tia o utiliza do conformidad con los t6rminus de oste Convenio la AID pdrA requerir al Prestatario que le reembDlso la cantidad respectiva en D6lares do lus Estados Unidos dentro do los treinta (30) dias siguientes al rocib do la solicitud respectiva Est9i sin perjuicio de cualquior otro derecho que so derive de este Conveni9 a favor de la AID Dicha cantidad do-bern scr aplicada a cubrir cl costo -I las mercaderias y servicios adquiri-dbs para al Proyocto siempre quo est6 justificado y el resto si 1L hubiere serd aplicado a amgrtizar el Principal on orien inverso a su vencimiento En este caso el derecho de la AID de requerir el reembolso con preferencia a cualquier desembolso efectuado con fondos del pr6stamo cstard vigente durante cinco aflos despu6s de la fecha del desembolso quo lo origin6

b) En caso de que la AID L)erciba algdn reembolso de cualquier contratista pro-veedor institaci5n bancaria o de cualquier otra persona relacionada con el Pr~stamo con respecto a mercaderias o servicios financiados con el mismo y que ral reembolso se relacione con el ctbro de precis irrazonables por mercaderfas yo servicios a la venta o de mercaderias que no llenaron las especificaciones del caso u quo los servicios resultaron inadecuados la AID aplicard los fondos del reembolso para cubrir primero el costIo de mercaderfas y servicios adquirids para el Proyecto siempre que est6 justifi-

bull cado y el resto aplicarA a las am)rtizaciones del Principal en )rden inverso a su vencimiento El monto del Pr6stamo en todo caso serd roiucido al saldo

SECTION 806 Refunds

(a) In the case of any disturseshyment not supported by valid do- N

cumentation in accordance with the terms of this greement or of any disburse~nentnot made or used in accordance with the terms of this greement AID notwithstandshying the availability or exercise of any of the other remedies proshyvided for under this AVreement may require Borrower to refund such amount in United States dolshylars to AkID within thirty (30) days after receipt of a request therefor Such amount shall be made available first for the cost of goods and services procured for the Project hereunder to the exshytent justified the remainder if any shall be applied to the inshystallments of Principal in the inverse order of their maturity and the amount-of the Loan shall be reduce b-the amount of such remainder Notwithstanding any other provision in this gteement AIDs right to require a refund with respect to any disbursement under the Loan shall continue for five (5) years following the date of such disbursement

(b) In the event that ID receives a refund from any contractor supshyplier or banking institution or from any other third party connected with the Loan with respect to goods or services financed under the Loan and such refund relates to an unreashysonable price forgoods or services or to goods that did not conform to specifications or to services that were inadequate AID shall first make such refund available for the cost of goods and services procured for the Project hereunder to the extent justified-the remainder to be apshyplied to the installments of Prinshycipal in the inverse order of their smturity rdnd the amount of the Loan shall be reduced by the amount of such remainder

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SECCION )7 Gastos de Cobro Todos S]]CTIt4 807 Expenses of Colshylos gastos re zonables en que incurra lection iAll reasonable c-sts la AID que no sean sueldos de su per- incurred by iJD other th-Ln sonal en relaci6n con el cobro de salarxies of its staff in connecshycualquier reembolso o relacionado con tioot with the collection of any ls cantidades que se le adQuden con refund Jr in connection with amounts base en los casos especificados en la due ID by re-ason nf the occur-Secci6n 332 ser(n cargados al pros- rence of any of the events speshytatario y reembolsados a la AID en forma cified in Iection 802 may be que 6sta determine chargfed to B rrower and reimJursed

to 2ID in such manner as ID may specify

SECCION PO0 Viiencia do Derechos Ninguna demora en ejercer a omis6n de SECTION 0)8 4onwaiver of e-ercer cualquier derecho p)oder o Remedies dely in Lercsin

remedio que tenga la AID de acuer lo con or )mission to exercise any righteste Convenio serd considerada como -mto D r- emedy accruinq o Ana renuncia de cualquiera de tales under this gTreement shall be derechos poderes o remedios cnstrued as a waiver of any of

such oihts power )r remedies

31 -

ARTICUL) IX ARTICLE IX

Misceldneos Miscellaneous

SECCI3N pound ) Comunicaciones Cual- SECTIDN ) Communications Any quier notificaci6n solicitud comu- notice request document or ether nicaci5n (iada hecha o enviadla )or el communication given made or sent by -restatari a la AID de acuerdo con Borrower or AID pursuant to this AgreeshyestQ Convenio deberd hacerse en merit shall be in writing or by teleshyingls por escrito por telegrama gram cable or radiogram and shall be cable o radiograma y deberA conside- deemed to have been duly given made rarse coma bien hecho cuando la misma or sent to the party to which it is sea entrcgad en las siguientes direcciJ- addressed when it siiall be delivered to nes such party by hand or by mail teleshy

gram cable or rndiogrnm at the AL PRESTATARIO following addresses

Direcci6n Postal TO BORRWER

Ministcrio de Hacienda y Cr~dito Publico Mail Address Falncio Nacional Gwatemcla CA Ministerio de Hacienda y Cr~dito Pcblico

Palacio Nacional Direcci6n Cablegrdfica Guatemala CA

MINiHACIENDA Cable Address Guatcmaln CA

MINHACIENDA A LA AID Guatemala CA

Direcci6n PostaL TO AID

USAID Mission to Guatemala Mail Address a c Embajada Americana United States AID Mission to Guatemala Guatemala Guatemala CA co American Embassy

Guatemala City Guatemala CA Direccin Cablegr6fica

Cable Address USAID USAID AMEMBAS S Y AMFiBAS SY Gjatemala CA Guatemala City Guatemala CA

Las direcciones indicadas podrin sus- Othcr addresses may be substituted for tituirse por otras dando aviso a in the above upon the giving of notice otrc parte Excepto que In AID con- All notices requests coimunicntions venga otra cosa por escrito todas las and oocuments submitted to AID hereunder notificaciones solicitudes comunica- shall be in English excpt as AID

32

ciones y documentos presentados a la AI relacionadns con este Convenio deshyburdn hacerse en Ingls

SECCIdegI R L escntantes rara todo i relacionado con este Convenio L-i Prcstatario stir-1 rcorcsentado por el Ministro de H1acienda y Crdclito P6-blico o oor el Encargado del Despacho y la AID ostarA representaa por cl Director ic la Misi6n en Gwatcmla o por eI Dirictor Intcrino Estis personas tcalrln In facultad (Iedclegar su represeutoci6n previa notificaci5n hecv )r escrito a la otr prrte En caso 6c sustituci6n o designaci5n de otro rcprescntnte el rcstitario indicarl el nmbre y enviar6 -1n muestra 4e in firma dc tal representante en fcormr satisfactoria a In AID En todo caso le sustituci6n o designpci6n de otro reoresentante surtir6 efcctos a partir de la respectivn notificaci6n

SECCI N 3 Carts de Ejecuci6n e--ri6dicamente la AID cmitira Cartas

de Eecuci6n que contendr~n el proce-imient a seguir en In ejecucin de este Convenio

ECCI Notas de Pafio En ia 6pca - cpocas en que la AID lo soli-cit el irestntario debera emitir notas de pgo o cualquier otra evidencia

ri endeudamiento dcrivado eel frestamo en la forma razonable requerida pr In AID

may otherwise agree in writing

SECTION )2 Rqcprcsentativess For all purposes relative to this Agrecshyment Borrower will be represented by the individual holding or acting in the office of Minister of Finance and Public Credit and AID will be reprecshyscnted by the individual holding or acting in the Office of the Director USAID Guatemala Such irnividuals shall have the authority to designate addi tional representatives by written notice In the event of any replace ment or other designation of a represhyscntative hiureunder Borrower shall submit a statcment of the representashytives name and specimen signature in form and substance satisfactory to AID Until receipt by AID of written notice of revocation of the authirity of any

of the duly authorized representatives of Borrower designated pursuant to this Section it may accept the signature of an any such representative or rupresentatishyves n any instrument as conclusive evidence that any action cffcctived by such instrumen is duly authorized

SECTION 5)3 mjplemnttion Ltters AID shall from time to time issue Implemetatirn Letters that will presshycribe the procedures applicable hereshyunder in connections with the implemenshytation of this Agreement

SECTION ]4 P-romissory Notes At such time or times as AID may request

Borrower shall issue promissory notes or such other evidences of indebtedness -ith respect to the Loan in suchform containing such terms and supp-)rted by such legal opinions as AID may reasonably request

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SECCION 905 Idioma Este Convenio SECCION 905 Language This ser6 ejecutado en ambos idionas Agreement is signed in both Englishingl6s y espafol En caso de ambi- and Spanish versions In case of guedad entre las versiones inglesa ambiguity between the English and y ospahola a versi6n inglesa pro- the Spanish version the Englishvalecer6 version shall prevail

SECCION 906 Terminaci6n al Efec- SECTI6N 906 Termination Upon tuarse el Pago Total Al estar to- Full Payment Upon payment in full talmente pagado el Principal y los otiie Principal and of any accrued intereses este Convenio y todas interest this Agreement and all las obligaciones del Prestatario obligations of 3orrower and AID que se deriven del mismo se tendr~n under this Loan Agreement shall por teriinadas terminate

EN FE DE LO CUAL los Gobiernos de IN WITNESS WHEREOF Borrower and Guatemala y de los Estados Unidos the United States of America each de Amrrica actuando por medio de acting through its respective duly sus respectivos representantes de- authorized representatives have bidamente autorizados celebran caused this Agreement to be signed este Convenio lo firman y autorizan in their names and delivered as of en la fecha arriba indicada the day and year first above written

REPUBLICA DE GUATEMALA UNITED STATES OF AMERICA

JLR WG

Lic Jorge Lamport Rodil William G Bowdler Ministro de Hacignda y Cr~dito Pfblico Ambassador

JTUR REC

1r Jos4 Trinidad Jcl~s R Robert E Culbertson Ministro de Salud Pblico y Asistencia Director USAID Mission to Guatemala

Social

AbEXO I ANNEX I

E-Poet nly acntuc6-TePoet equipo y personal de un total de 161 Puestos de Salud en toda el Area rural do la Repiblica y el mejoramiento de la Unidad de Planeamiento Evaluaci6n y Estadistica del Ministerio de Salud Pbulica

ara proporcionar el personal m6dico adecuado en los Puestos do Salud se reclutard y adiestrard un nuevo tipo de trabajador en el campo de salud el Tcnico en Salud Rural Para propor-cionar servicios de mantenimiento de equil mddico oquipo de radiocomunica-

ciones y vehiculos a ser usados en los uestos do Salud se contratard y adies-trard un grupo de Tdcnicos de Manteni-miento

Este adiestramiento sera ofrecido en la escuela situada en Quirigud De-partamento de Izabal la cual serd renovada y equipada durante la etapa inicial del Proyecto

La renovaci6n o construcci6n de Puestos de Salud sera responsabilidad del Gobierno de Guatemala y de los muni-

cipios que resulten beneficiados El Prdstamo financiard los articulos de construcci6n que no esten dispnibles en ls nunicipis y equipo m~dic9 para ls Puestos de Salud Ademds el Prcstano financiard los vehiculos y la red do transmisi6n (radio) para permitir supervisi6n adecuada de las actividades del Puesto de Salud por parte de los Centros de Salud Regionales

nlds-te construcz-shytion equipping and staffing of up to 161 Health Posts throughout rural Guatemala and the strengthening of the HealthPlanning Evaluation and Statistical Unit within the Ministry of Health

To provide adequate medical manpower at the Health Posts a new category f health worker the Rural Health Techshynician will be recruited and trained To provide servicing and maintenance of medical equipment radio-communications equipment and vehicles to be ursed at the Health Posts a group of Medical Maintenance Technicians will be recruited and trained

This training will be offered at a school located at Quirigu Department of Izabal which will be renovated and equipped during the initial stage of the Project

The renovation or construction of Health Posts will be the responsibility of the Government of Guatemala and the

municipios benefitting The Loan will finance construction items not availshyable in the municipios and medical equipment for the Health Posts In addition the Loan will finance vehicles and a radio net to allow for proper supervision of Health Post actIvities by regional Heal th Centers

ara mcj rar le Unidad de Planea- T strengthen the Planaing Unit iirt -1 Pr~lstamo finarciur aquipc Cie Loan will finnce equipriient data

darie - p ngrPa tie ipnt -training-inshy-e participantes diestadieptj en el a-vice training and technical assistshytrabajo y asistencia t~cnica cn el Area ant- in the planning area ie planoamiento

CONVENI DE PRESTAMO

fechado el 19 de noviembre 6e 71 entre el Gobierno de la Repdblica de Guatemala (Prestatario) y los Estados Unidos 6e Am6rica actuando por medio de la AGENICiA PAPA EL DESA-RROLLO INTERNACIONAL (AIm)

ARTICULO I

El Prista o

SECCION 101 El Pr~stamo La AID conviene en otorgar al Gobierno de Guatemala (El Prestatario un pr~stamo dentro de los objetivos de la Alianza para el Progreso de acuerdo con el Acta de Ayuda al Exterior de61 y sus enmiendas por una cantidad que no excederd de Dos Millones Quinientos Mil D61ares de los Estados Unidos ($250000) (El Pr6stamo para ayudar al Prestatario a llevar a cabo el Proyecto referido en la Secci6n 102 (El Proyecto) El Pr6stamo sc usara exclusivamente par financiar los costos en moneda de los Estados Unidos (Cestos en D61ares) de las mercaderfas y servicios necesarios para el Proyecto y los costos en moneda local (QCostos on Moneda Local) de las mercadorfas y servicios nece-sarios para el royecto El monto agregaeo de descmbolsos dctro del pr6stamo se denominarA en adelante El Principal

SECCION 102 E1Proyect-o El pro-p6sito del proyecto es para mejorar el bicnestar del pueblo de Guatemala mejorando el sistema nacional de servicios de salud con 6nfasis nrin-cipal en aquellas zonas rurales que en la actualidad carecen de servicios minimos de salud El royecto consis-tir6 en la construcci6n equipo y

LOAN AGREEMENT

dated November 13 l71 between the Government of the Reptblic of Guatemala Borrower) and the United States of America acting through the AGENCY FOR INTERNATIONAL DEVELOPMENT (AID)

ARTICLE I

The Loan

SECTION 101 The Loan AID agrees to lend to the Borrower in furtherance of the Alliance for Progress and pursuant to the Foreign Assistance Act of 1)61 as amended an amount not to exceed two million fivc hunshydred thousand United States Dollars ($2500000) (Loan) to assist Borshyrower in carrying out the Project referred to in Section 10h (Pro ject) The Loan shall be used exclusively to finance the United States dollar costs (Dollar Costs) of goods and services required for the Project and local currency costs (Local Currency Costs) of goods and services required for the Proshyject The aggregate amount of disshybursements under the Loan is hereinshyafter referred to as Principal)

SECTION 102 The Protect The opurpose of the Project is to im

prove the well-being of the people of Guatemala by improving the nationshyal health care delivery system with primary emphasis on those rural areas currently lacking even minimal health coverage The Project shall conshysist of constructing equipping and operating Rural Health Posts throughout

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