INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT

SeCl"169-541

FRO}! : The Secre tary December 12, 1969

PEARSON COMMISSION REOO}n~DATIONS

Attached hereto for information is a copy of a summary analysis

of the kinds of join t financing arrangements in which the Bank or

IDA has been involved through 1968. This document is referred to in

the President's memorandum of December lIon Recommendation no. 16

distributed under report no. H69-232.

Distribution:

Executive Directors and Alternates President President's Council Executive Vice President, IFC Vice President, !Fe D3partment Heads, Bank and IFC

Pub

lic D

iscl

osur

e A

utho

rized

Pub

lic D

iscl

osur

e A

utho

rized

Pub

lic D

iscl

osur

e A

utho

rized

Pub

lic D

iscl

osur

e A

utho

rized

Pub

lic D

iscl

osur

e A

utho

rized

Pub

lic D

iscl

osur

e A

utho

rized

Pub

lic D

iscl

osur

e A

utho

rized

Pub

lic D

iscl

osur

e A

utho

rized

wb406484Typewritten Text 71757

1'5 UP' PROJECT • ,« S;'lBltr OA TE 7'O'rkL COST rcREIml SICflAllOB COHPOIIIKT 1lAJIIVII». - U'JAN/CRIDIT

BORROWER OU.t.RANTOR

(i)

~RroDi OF JOIlfT I'!IWICIHO

. IlIRD/IDl JOm P'IHANCDlO OPIiRATIONS WITH U. S. DL?/AIJ) :1:/ (Millions U3$ l'lquiTolent)

JOINT lnAN TIRKS AltD CONDITIONS AIID aI'HBR I'DWIr,DlG ARRAJ{Cl9iF.M'l'S

SPECIAL l'llOVllHONS nl LOA!f/Cltt:lJl'!' D0 ~. ~ ,\1'[(1 '1 INTBR··A!1ENCY AOREDIIDITS I1E'l'HDr crt' rnor.u!!EME~n·

---.----~-------------... -~'~- ... -- ""--.---... ~ ~ .... --~.& _-y. ... -~ .... ~~~

IBRD Loan 114 PB QuiJ:'os -I'iurs Irri,&100

April 5, 1955

$26.6 $18.0

Dank Loan: $18.0 For 25 years, 1nc1ud1ng 4 yrs. grace at 4.3/4 pereent interest

RePlblic of PIIMl

U.S. partiCipation vas a result of nonu.l. U.S. operationll in Peru and Government's requeat frr assistance towards local currencT financing of project.

U.S.A. PL-480 P'unds Wlder Mutu!l.l Secttl"it". Act: $2.6 for 20 ;yrs. inc1uct1.ng 4 yre . grace at Jl!a percent ~tert!tst to r.OVAl" loceJ currencT COllt.a of "farmer 8ett1_ant" p!It'"'' of program. Rep.:ymeo.t vas 50% in doll,u:e, 50:& in local currenc;r.

GoVC'Dlllllnt provided r

U.S.A. DLl't $5.3 (untied) diviasd by 1nd!lt.""~ lainatll amount!! into Loan A and n-Loan A: Dollar purch""~ of sucre8 frca Cent cru. i'!aiik7or 16 ;yearll, including 1 yr. (;"'>lC~ at Jl!a perca!lt interest. DLF opdon to cali eor repqment in dollars up to 21st 1nstaLlmoo t, on principal, othervbe rep81!!l8lt was 1n S 'l } i 9x.3ndarc1 provts10DS of IBRD/Dl .l"-Aill ItemcnID.dUl!! of U"(),,r~r< ~-,"" y . (cf" IBilD Lo!!n 2'59 III, below).

Procuramwt of Bank/ DlJP finEillced goods 2l1d 90n"1""" ~ll 1,~,,' bulB of j.nternati!>nsl CClII¥l'tii.1,rCliq,u and locrd (,I) " .r~"c:: ~::o ' .. ~ respectively,

_ .. _----------------------------------------------------------------... ---------------------_." ... -...... --- ... _--....... -..... --.. ,-------............... ----------.. - -.--, . .,." ....... .' .. ~ .. -.. _ ... _-- -.~.~.-- .. , IBRD Loan 2lJO IRlf r~dt~stl't.u Ilev81oJ!ll8'lt Project

~o'1GllIb9ll' 23, 1959

$2J. 7 $10.b at 1eut, vitb actual UIOUIlt to be dstera1ned lUI :oamI lOt's into opsrstion.

rBRO ~8lI1 $5.2 for 15 yrs., including 5 yrs. grac .. at various int'-Slit rates to be dlttermined &II t.hII loan is drawn fOI: variOlUl projt'ctll 1Jap1~ted b;y !1mB I. Blink Loan to CO'f'8l' 00.11' foreign rutchance coat!! of trullle p-ojecte.

Industrial and Kin1n& Deve10JB8nt Bank of Iran (nmBI)

Joint financ1n& a ruult of Bank'l! e8r1;r role as adviaor to the Goyern-~t and print. U.S. sponsor. on t.be establ1.luuDt of lHIIII aDd rs-quest of GoftrllMnt to DLF tor a6:l1t1onal foreign currcCT f1nan-c1ns.

U.S.A. DLFI $5.2 far 15 ;yra., including 3 yr~ .. grace at 5.3/4 p81'cent intl!l1'8l1t. DLF fuoola t", be UIIed for fcreign exchange coat.e of projectoll.

Shars capital: ";.3 of which $3.2 Ir8ll1aJ1; $2.1 foreign. (U.S., U.I., French, 09rVl.8ll, Italian, Belgian, Dutch inYeBtorll.)

OOYernDlnt Advancsl $6.0

a) llUbordinated to other dflbt in the event of liquidation;

~~ ~-:;::t~;~:~~ ~~~5 ~~al; 1nstal~t!! to begin 15 ;rears .uta" disbursement.

!I DMfllopllleht, Loan ftuld until RoY-.ber 31, 1961, thereafter Agsnc;y tor Intsmational Ileve1oplllllnt. , Subseqll8nt to Oc~ober 20, 1959 US foreign aSllilltance hall bun tied to procurement in the USA or in the barrower/grante"

- 2 -

ImlD/IDl JOIllT OPmATIOHS IIITH O.S. DLF/AID !/ (MillioDII US$ ~uiY&lent)

TYPE 0' PIll.,JEC'l' AGRlIiHKNT DATE TOTAL creT PORlllHf EICIWIOB OOKPONBIIT ~/IDA - LO.llf/CREDIT

BalROIIIR OU.llWl'1'at ORmIJI 0' .rODIT 'IJW(CDIQ

IBRD Lo&n 259 HI Dqr.a Hacional. de Lus 7 PU .. a Rio TuII:a H;ydroeleetric Project. (1lIU')

JUDe 22, 1960 Oaaraatorl Republic ot Nicaracua

$20.6 Borrover aoucht additional. local $14.5 curr~c7 t1DaDc1Dc troa DLP.

IBRD Loanl $12.5 tar 2S ~a., 1nclw:t1Dc 5 TrS. grac .. at 6 percent 1nt.er.t..

JOIlIT LCWf TBRHS .lHD OOHDITIONS .lIID ClfHER 'WI«: ING ARlWfGDIl!lfTS

U.S.A. DLF: $?5 (t1ecl) tor 20 7f'S., 1nclucling 1 Tr. grace at. ~ percent 1ntereat.. Repa,ylllellt. in local currency.

Govt. of Nicaragua: $1.6 !lfLF: $4.0

SPECIAL PROHBIONS IN LOAN/CF.E::::T D('ClJ"MEN?A'!ICh IHTER-AG~CY AGRE»lENT3 KETHOQ O~ PROCUREMENT

Documentation as in IBRD Loan 1.,.C; HO, but \011'1 t.h t',:.i·l ... _· ... , D"~. ~" :...tLF Memorandum of Understanding, apl'rovec tJy L;;" rk."r';"ST, "" :., included: a) general descript.ion of fLla.:1C :...ng '1J""rJ.i.J:f.9.!tlt'.1~>-,1 " :)j~("t b) agreement that as a reBult of oadl &gerl':','r' _1 ';:""1. ,~'~id;-' ~~J "I,F ''''~i

the Barr-over, lIapproval o!" both i:'3 requ.! .... -~d.. ,.:: :':l t,r, certain actions and cioc'"",enL, p".-taoning te- t/,,,

c) the rlght of both instLtL'.Lo1l3 tu recslv3t..r-lct,L0n.:' l,e(:t.:l-;.ar to the use 0 fit:; h.i.!!:.ls f1: e no ~-, a~;pl .. c.:tr.,: ~ t~) i.:,r .. n.r~ fll"oC-:'JI'%(tm t..

NOTE: ThJ.$ M'Sl!1o ran· hl."1 uf (I;L~~r::.tanaLng tiM ~ (i;.)ftr.:'fl nIter ~,he !_Il)'.qn Agreement was 3ihne

- 3 -

IllRD/tDA .' OJWT OPmATION3 WITH U,S, DLP'/;. rn V (Millions t13$ &p.li.o.lent)

: 'E 0 P' PROSECT .. JRE:~ DATE TOTAL COST POREION EXCfWlGE COMPOWEHT BAl'i1{/ IDA • WllN/ CREDIT

m1Ul Loen 288 AR Road roconstruction and 1JnprOTS-DlO'lt

June 30, 1961

$1i§inAl r1nB.l .0 Ibr.>

$ /,6.5' $32.0

ilW.D Loall: ini U .. Uy $/,8.5 and net of cancellations: $31.0 Cor 16 :fl""'. inducting 4 yrs. grace at 5.3/ 4 percent intereet.

Cancellat.ions: July 26, 1965 •• $16.5 AUF;Ust 28, 1968 .• $ 1.0

IBRD Loan 299 CR IDA Credit 10 CR Road construction and lIIAintenance project

October 13, 1961

$13.2 $11.0

IBRD LoIJD: $S.5 tor 15 yre. , inclu-ding 5.3/4 pereent inter6llt.

IDA Cra actice.

~·trl8.1'atG:I nO;""Ri.al lo.gnj~·od:t.t. dc c'-\lI\(·; rl'';.,j~·,).Gn 't" ! ;,'~ .H·~ ' .:.~H,,--, . 'j',hc Dorrot.~o!" 2 9pc1!"8te loan dUC'.1lIlflnt. t. t iolJ ;-' , 1 ~ :1!·' ~\' 'T h·~l., tl'! ~l(} ' ;r~)':! :, ,,,,,,con(H tiona ot 3Clect1.11$fle::ls r ! ci.. ·.i ·j,\ G1.~n~d \'~n t;il ,lv2.y- 23 r 1.963",

Ho H(\r=!:'i.~:;·lld'.l'g~ of VnrioS.~s":,ar.i.liJ...n.~: t)ui~ ~~:...jS3 S':. "} ·."i~ . ~ -. [lru:~; 'll,d AID.

nonJlE.l B.f).rur/.81\ ~t~ · {j (' ~ lrfi;:m:

PW, f, ',' • .nt. and dl."b\U'8 ooant of Banl tie1.1.on '>f Lh BOil', >."", Solrce of AID funds is pI' , a.rr~ ~ tockhoJ.de):" !3 of COO are oooo .:'ttlor.s of Gr f':!~-:'\. :t,, ~!~· , . : u ::.;,.--: '; _ ~ F...nd the B2nk 'ti;o\.lj.d }avr-; the right to ::n.lspendj- G~J'''.; IJ.'. t'l.. ( - . f ~ { :~'", ; •• :" : circur. ... ' tmces premature t.he l oan if U)e 1nstr';t!T:1-:u t·fl: ;~r'(~ ,:''- ';-.· e :.'iv ,' [l_rfe.;r~1ng tile PYojact Here modlfied wi thout Lh.nk i;.tpP'\·'1 " -c6r~itl ether deSignated ~.-vel!t[, ilere tv occur.. T: ·~,J.d : ,': borl~lIier W'f1re to J%"EIt:S y an,' ~.rt -of it3 1ndzbt{;o:H:: '" i l l:i.:,",· .... h... ~' ". ! .OE'.n aznt!lll~nt.,it wnu~d si.multaneQ\181y prepr::l.y ii F:"("~) 'J rtt oJ !.'.;. t,~,! ·)f ti·.~ R

flPB 0' l'!I(lJKC'r .lORZIMDIT I'll TI TOTAL COST POJlIIQ1I taclWIOl CCIIPONEKI' BA1'lI/II'll - LQAN/CJI!I)lT

lIOBIOlIIIl QU.UWI'!'(It

(11)

- 4 -

IBRD/Illl JOm l"IIfAliCIliG OPERATIONS WITH U.S. lW'OKl'-D!PORT BANK (MUlions US$ equivalent)

CIlmm 0' JOm rDWICDf(} Jom LOAN 1'BRMS liD CONDITIONS AlID O'l'fIIR Jl'DWlCDIO AJUWlGfJlENTS

SPECIAL PROVISIONS III lriAli/CRJ-:['17 OOCllMEN'l'ATWN IlITER-AGENGY AGREDlEN1'S fo!ETHOD OF PROCUREMENT

-------------------------------------------------.. ------.---.~---~ ..... --. IBRD LoCI 334 PI RaUvq RehabUiwtlon

March 13, 1963

$21.3 (Tot«! COilt ot prograM which begCl Jul,y 1, 1961.)

IBRD Lo.1I $13.25 tor 16 ;rrs., inclwUng Ih 1l'. Vace at ~ percent intereet. LoCI subject to redu.ct.1on correepond1nc to the IIIIIOunt the Corporat1on CCI gener-ate in oxe .. e of ita work:in« cap1-talr~ts.

~;!;:t1c:~rrat1on L1BI1 ted

Oual'antorl 8epabllc ot Peru

Joint t1nClc1ng a re.eult ot Oovern-lIeIlt requeet to both the B&nIc md Bx:IJIbank tor tinancin« ot the tor-e1p uchlmce COIlpoaent ot it.ll t_-:rear raUv...,. reMbUitetion proVaM.

U.S. Blt1IIIbank. t4.7S tor 7 yra. (no grace

rf.~~:~:.!":=c~ ~:e"!i' c~t which supported tiret :rear ot tour 7&ar progrlllll.

Corporation coatrlb1lt1onl $1.8.

NormaJ. loan doc~entlttion 'Jet-ween t.!1I! BerJ... and between ExilllbMl< linc' of eftecUvenes, and del:;.ult. required .. ..curi t.y of repa;rmen~ [.: ~nd; or in torm of Mort-gage Agreement on ~_C 7l:.flle: P.IJ'] L."'I"l2""'l rablt:. property ot Corporat.lon .JUlle b~ t.Witer! G~l"'rY'j ation, Industrial Bank of anc p81"lOr, or an t1 ty not.ed as "rellr .",.", Lat. i ve" (Bank Agreem""t: "''lC. XIr, C.)

Int.er.agency Agreement 31gned Mal 6, Eximbank .. egarding ad/lll.n~dtration and Qnf·." .. ··Am.~n'. noting that, a) the nRepresentat1 ve" lmdar tr,e Mortiage liCit!

upon 'the 1.na truCUOll!:l ('1' tne IBR.D; b) t.he lllRD will give t.o the Represt,.,tanv" appropr!ate

1ruJtructioM in respect. of the HOl"'tgap;e requ0;9tel1 'l-r; Eximbank;

c) agreement that IBRD W'~ll c"j::sult. E:....:"ltanl\ any .,ct.ion related t.he :-\o,..tgage ;u,,; to "onsu1t with ">lch other on flI8.tt·E'rs

:3uppleooontary Agr'""ment (jal.ed J,,:.r 116S) , bet.,,,,,,, ':0,., proration, IBRIJ, ~J(Uobar!.k; and Goverl1.D1.ellt~ at.i·· lization .;1" fun sale or iDnovab le propert~i t R;J 1"'~1\J i_re .. t

Bank procuremenl on the baai" 0[' intern'lti.:mai bidding. 8Jlcluding apecifted ran" ami locOllOtiv .... , which "'''re :·0 be purcha3ed in of speed _d star.dar.U" ... t :00.

D1eburst!llllent &gainst separate 1 tsta ., f i!:"""" e:r aa.'ll! b:imbank resp#.lct; vety. W". tn ElCi.mbanJ< 'iillbUl'"" .... "ont: a) dtrecU.)" to " co ..... wd ... t if; tne 1I.S., design.H.,,,!

by tne Corp..;r" ~ ton, to lne expend j Lur .... l1I&de by

b) to reimburse' tures "lade It under a le-ttar of ('redi:. reque" t by Corporati on) ;

c) directly ~uppl!"r".

l.n fact, Jo:x1mbany. nas never reimburs...-.l the t.or'001·"":' G ....... "'.r method (a) "cove,

Jl'or addit.1OD&l IBRD/IDl joint tinClCin« arrans-nta wit.h U.S. !x.1InbanJc se. all!Io under: "IBRD/II'll Joint F1nancin« Operat.ions witb Two or MOTe Co~tl!.tlcterl!:" 3100Hj 548PAj(.

TrPE at PROJECT AGRElM!N1 Dl'I'E TarAL cn>1 YOREIQIf lUCHlIIGE CCfIP(IfIiJlT BA"(/! m - LCU/CREllrT

lBRD LoCI 161 III Air-India Project

March S. 19S7

*,,).0 $?2.0

IIlIUl Loan: .S.6 for .bout 10,.,.n includillC 6 ;ye.,. grace at S.l/2 percent tnt. reet.

s -(Hi) IBRD Jom P'DU.NCIlIG O'f'ElU.TIONS WITH U.S. C

'l.'YP1 QlI PROJBCT AORmiKiN'f DAD TOTAL COST FOOIUOfl ZICIWfQE CCIIPOK1!BT BANK/IDA - LOAN/CREDIT

IBRD Loan 2)0 lI'R Kanc-" Project June .30, 1959

$81.9 No torelp exd\anp COIIIpOI)8nt upreased, but b;y natur. ot project lIOat cos\8 are tore18n uclWlge ooat.a.

IBRD Loanl $)S.O 1.\)1' lS Tn., including b 7l'. mea at. 6 per-cent lntereat tor Idne IIIId waehing plat, cablew;r. 1'1111-road, port aDd geMral aemcea.

IBRD Lom 249 MAU I:ron Ore Project

MaIeb 17, 1960

$151.)

Jfo toretsn _banp COIIpOIleIlt. upreea..s, 'bIlt b;y nature ot project _at coata _re tore1cn ~ooata.

IB8D Loan. $66.0 tor 1S 7T'I., ino1l1dU1a 91 p. grace at 6 percent 1ntereat tor 1II1ne. n11-vq IIIId port.

- 6 -

IBRD/lDA JODl1' FDlAIICl1IO OPEtlATIOliS VITH l"RENCH AODfCI~ (Killione 03$ equ.i:ralent)

BOIUIOWIIl ClUAIWmJIl ORlOlH OF JODIT FDlAIICIJIO

OIIaranton I BepabUc ot Freee RepubUc ot Gabon RepabUe ot Conco (BrasAYUle)

Joint t1n&rJctDc a reault ot DOr-aal French operatl. 0IIII in Congo UId J'tICP.-t. b7 CCMILOO to tile Baak tor additional t1.nenc::lng ot project.

10IIIT LOA)! '1'1RMS A)!D cammOlis AlCD OTHER FDfA)!CDIQ AlUWIlI!MEJItS

Caiallll Centrale de 1& Fran.::e d' OUtre-Mer, $7.1 tor 30 Tn., 1ncl\1ding 6 7l'. grace at ) percent interest.

MYate Sb&reholdera' Loane, $31.6

Share capital I $4.2

cash generated tq initial operat.1one: $4,0

Societe ADaII;pE dea lI1J:I,ea de Caisee Centrale de Cooperation EoODCltique: "1' de Hault.Jn1e (MIFIRKA) $10.1 tor JO Tn., including 6 p. grace at 3 percent s.nterast.

OIIarantora. RepubUc ot PraDce ~ Islad.o IiepabUc Share capitall tS3.9 ot Maur1 taD1.

French Trean.J7 Loanl $21.) tor lS Tn., Joint finaMing a rallllt ot MIFlllMl including .) p. grace at 8 peJ'CllIlt intereat. racpeat to the Boulk tor ~e 1n t1D.mctDc the project. and DOI'IIal acope ot French intereat in the area.

SPlil:!AL PROVISIONS IN LOtJl/CllEIlI'l' DOCUMDrrAT10N INTER-AGDICT AG.REEl1ENTS I'fmfOD OF PROCURDfEliT

Nol'lllal, separate !OVl documentuti,'" between "lle B8Ilk Md Ilorrover/Qusl"an!;ors, and bet_en til'il ·olJ.tral" 1Il'.d Borro1lllr, includ.tng croSt!-conditiC!J5 'lr~',,, ti·~"ne"!3 ".'1d detault.

~randW1l of J\{!;reeJ!ICnt. toetwer. Gc"",,, Cent.rale "nd Bank proViding tor, a) excha.'1ge of 1nf"nnati or. on d1~aurse;rents .uadeJ b) agreement thst the Cais$~ Centrale 1riOuld .... lYe its

nonaal requireMent of of: ore c0ntrll.cts as "ecurlty on its loan 10811 "Bt! repaid, except in the "ase

c) agreement to c{)tulul t one another declaring \.r .. , l\crrov'lr in default,

d) Barlk 8re""""nt that accelerated repa;yment of annu~,: iruttal1111ents of to"! .. Caiss" Centrale loan under ~ cl"U3~ alloving such prepayment.,. tn antic1.pat.ion of an expec-ted tall in t,he Bul'Tover I" turnover 1n the tV'lll."" months without pro-,-aUl pr"pe.y!Oflgn exchange costs oC Importtld Imd ser'll'ices arrl 11l!1l tad to ancunts "qual t.o ,""""tints ceired from GI»!TI,QG shar-aholdere t-oget.her with wj ~tl

FE JF PROJEl'T .. OREEXEN'l' :lATE TOTAL COST Jl';)RErCBI EXCHANGE: C::I!POIfDIT BAHIVIDA - LOAN/CRIDIT

IDA Gndl t l

nPE OF PROJreT AGREEMENT DATE TOTAL COST P'OREION EICHAJfGE COMPONM BANIVIDA ~ LOAII/CREDIT

Proposed rSRO LoaI'l/IDA Credit Acr1cultural Credit Project in Senegal

Awatt1ng signature.

$24. IS $ 7.0

IBlID Loan: $).5 tor JO yrs., including 10 yr. grace at the current rate ot interest 1Iten the Loan is drawn down. Bank !.olin not to be drawn dolln until IDA Credit is tu.ll7 dralln or cOllllll1tted.

IDA Cred1t1 $6.0 on normal. IDA terma.

') -tBRD/IDA JOINT FINANCING ;}P£RATIONS wrTH FREl CONDITIONS AND OTHIiR FINAliCIHG ARRAInIlMENTS

GovemlllElnt contribution: $2.lLaro

;Jl PR!)·JECT ,/!:Mill! 1)I.TE

InA CredIt: $13.0 on normal IDA

- -; -

IBRIVTllA JCmFr FINANCING OPr'llAT!()l'IS WiTH OERMANY Y (Killion" uS$ "'luival."nt)

B~1RR::WER

GUARANTOR JRH TN 0F ; ('leNT FrNANCIlD

Jom LOAN TI!R/f; AND OONDITl3, 1964

1:>\ Credit, $J.' on normal IDA terms.

Kingm of AfghanistAn

Joint financing ar08e frolll lINfSCO participation in appraisal 111ssion and Oemany' 15 existing interest in providing technical assistance to Afghanistan •

Kfli: Loan dat.e1 lJecember 20, 1963 for DM 11.0 million (e!pivalent) $2.75 for 15 years, grace per iOO not knoVl, at 5% interest. I:bmestic and foreign (U.S .. Germany, Japan, U.K.) shareholders: $0.9 increased by $).6 m11110n to ~.5 m111ion equivalent as a result of opera tion.

tl!IICEF/UNESCO technic"l assistlllH'e in the equivalent of $0.9

KfW grant: $1.8

Normal,

M ... orallduLlll of Understanding be\;ween the J3.

'fiP! OJ' PROJBC'l' .lORII!:IlIIfTDATli: TOTAL COST FORlllOll IlCIWIQE COHPOlIIIft lWIX/lDA - lOAN/CREDIt

IDA Credit 6) PAl il'ooclgl'"ain storage Project

F.bruary 10, 1966

$)9.0 $24.0

IIll Creditl $19.2 on norw.l IDA tel'lllB.

IDA Credit 106 P.u: Lahore Water Supple, S8'II'erage and Oratnage Project

May 12, 1967

$5.8 $2.6

IDA. Creditl $1.7S on noNal IDA t.erIIIII.

- 10 -

(vi) IBRO/IDA. JOIKT FINAIICllf(l OPUA'J'IONS VI'1'I! SWlmEH (K1111oml uS$ equift1 1~h~ w1"?h ltOu~d ap}Jol.'-t10n the """ount so req''''5te,,:

B(ll: l:JA 20'$ S"",der,

c} approval or di:!lburslllll;! nt und",' the '; '1\ notil'ie ~he 3verif,f's Rtkabal1:', s":'"'' which would then disburse 1t~ portion ""c'octh"i': t,-, tr;" S"",d1sh :::redi ~ Agr-ee.mt'nt;

d) each lender ~.o :-etain 1 t,,s reR'ft:cl-!~/~ 11~t.j~r".;f1ilent right.a of d("l;ci;\icn &\d &!t:.:.

"'Tl"! OF PRi)JlCT ':I!:IfItiT 1lA.1'I L oo5T

,,'t&I!JII UCIUJ'IJ! OOMPOI&If!' l'.IoUIJ:/IIll - LIlU/CRlnIT

IIRJ:) .LoItA T1m1e1a VatM 9applJ' Project

Necot!atl.one OOlllPlet.d, but no ronal acre_nt an tanIa.

$)).2 $17.1

Propolled IURD .LoItA. 115.0 POl' 25 Tra. 1Del.ud1ac SIt Tr. l1"ace at ~ ptt:r'Clmt inteHet •

BORIlllW'IR GU4IWI'!Ol ORIGIN OF JOIII'f P'DWICIJIQ

Societe' Nat10nale d'b;p10itation et de D1atribat.1on dee leu (SOIIII8)

Quarantor. Republ1c or 'l'lude1a

Th. OoYe~ t or 'l'Im1e1a approacbed the aoYem.Dt ot Sweden and U. BuIIr ... arlT &6 1966 with a requeet tor local and rore~ c'lll'TtlllCT t1naDcilll tor a lIIIjor atM d .... ~t prOV-.

- 11 -

Millions ot USI equivalent

.10M LOAN TERMS 4JfD OOMDlTI0If5 AID 0'ftDIR rIlAIICIIIO l.IUWIIOIM£lfTS

s-dIm. Propoeed $S.O (untied) an IIll tel'lU.

Sweden would lend direetlT to tbrJ Republic ot 'l'lude1a tor on·1ending to SOIfKIlE on IDl teru.

SOIJlEIIh To provide balance ot local CUl:'MlIICT ax:pend1tllr'.' $1).2

SPlCUL PROVISIOIJIS Df LOlN/CRlIDIT DOC'IIMIIIfTA 1'I 0Jf IJITIIl-ACII'oIfCY AOUIIBIfTS JIITfIlD at PIIOCIJIIIIIII'

Doc_tat101l (draft) _ .. tor IIll Credit. 106 PAX e:ax:ept.. a) proe~nt on the bailie ot interDat.101lol.1 ctwllpetl-

t1v. b1dd1na 'td.th lSI prer.rence tor locally pro-duced lOOde, or lID _t eq1l&l. to th. actual cue-~ duties paid, 1Ibleba ... r is lower,

b) Percentap di.bGr_nt, 751 IBR.D 251 Sweden

....... -... -- .... _--------------_ ... _----------............. _------_ ...... _------------... _--.. _-------..... _----...... _--_ ... -----_ ... _--------- ... _---_ ...... _----_ ..... _--------..... _-----------_ ..... --------_ ... ----... _- ............ _- ... --

CurrentlT UIlder cone:l.deration.

$)'.1.0 '2I;:.il

Financ1ng etill 1III.dV' consider-ation, but project "PPeare IN1table tor external tinancing up to 80$ ot total coat. 1.e •• $)0.0. Due to lIll rep1enh'-t probl_. proposed lIll credit l.1a1t.d to ~.O with Bank loan of $7.0 •

Republic ot Tanunia

Swden expreeeed "o.n intereet in participating in tinanc1nc thb pro-ject jointlT vith IIll" during the nonu.l exebaacell ot Bank/Swden pro-Ject possibilit1es all eariT .. Karch 1968, and betore the rep1en1~t prob1eJ1 bec_' acute, but due to this probl.. IIll alllO souaht addt tional rore1p and local ourrtmcy tlnaming.

s.den, PJ'opoe.d $7., (untied) 011 llll terlllll, p1u a "auppt-nt.1u7 intel'ia cCIltrlbutl.on" ot up to $7.S 8Ilbject to IIll Ixecutlve Directors' approval In prlnclple ot lDl retin&!lcing Swedisb suppl-t.1u7 credit to Tansan1a it and when IIll rep1enlsllllleat ill achieved.

Oo .. er~t ot Tan.ania! $8.0.

No doc_taticm TIlt anilable, but melT to tollow rsonu.l proceduree noted in IIll credit 106 PAX • Execut1ve Directors approved 111 P,Z'iDc1ple ot propoeal for ret1zanci:nc vb1cb v1l1 be requ .. ~ in the Pr881dent'a Report.

.. _-------------_ .... _------... _-------------------_ ... _---........ ------------------------.. _------------- ... --------------_ .... _-------------------------.. _-----_ .. _-----------------_ .. _--------_ ......... __ ... Propoa ed IBRD Loan Ethiopia Fourth Telee..-uniclltl.ona Project

Ready for Loan eo-1ttee cons ider at10n

$25.0 $l6.0

Proposed IBRD Loan: $4.5 " ro yr". inc1 udirw 4 yrs.

at ~ percent int ... est.

IJIperlal Board or Teleoolllun1catl.ons of Ethiop1a (IBTE)

Guarantor: ~1r ... of Eth10pia

Joint financ1ng result of re

TYPE OF PRO.1 tx:T AGRmmlT DATE TOTAL COST FOREIGN EXCHANGE r::OMPONIi:NT BANK/IDA. LOAN/CREDIT

June 21, 1956

Total Cost of entire Kariba Progralll: $322.0

Total co .. t (Bank Project: Dall. Power plant, t,rllll8lll1.lIsion lines) $226.0

Foreign exchange component not lIPeoifilld, but Bank Loan to be need for financing only foreign eIohenge cOstll.

IBRD Loan, $80.0 for 25 yr"., including 6 17'. grace at 5 per-cent intereet.

IBRD I.oen 210 MA Cameron llighlend Projeot

September 22, 1958

$51.2 $35.6

IBRD J.can. $.35.6 for 25 :rrs., including S yr. grace at 5.3/4 percent 1ntereet, for Stage 1 of C8IIIel"OCl Highlands Scheme.

ISRD Loan .303 KE Lande Settlement and Developnent Project.

Noverd;,j .. 29 s 1961

IBRD Loan (1961): $8.4 for 20 yrll. including 4 yr. grace at. various interest rates to he notified to the BOITOWlllr as loan dra..m down.

Revised Project (1964) $16.0 $ 4.6

IBRIl Supple:llontal Agre8lllent (1964) to orig:1:nal Loan Agreement:

$8.4 c&l'lCeUat1on: ~.8 Actual Loan, .6 for 17 17'11., inclu-

ding 4 yr. grace at various interest rates to be noti-fied to Borrower lUI loan drawn down.

- j,: -

(vii) IBRD/IDA JOINT FINANCING OPERATIONS IoII'l'!l THE trnITED KINGOOM AND ITS Ll'lIDI'NG AGENCIgsl/

BORROWER QUARAII'l'OR ORIGIN OF JOINT FINANCING

Original Borrowr: Federal" Power Board (FP8).

Cluarantar: 'lbe United KiIl!dcm until 1964, the Federation of ilbodellb and Nyallala.nd. Borrower under the Loan MlIWIIPtion Agre_nt dated December )0, 1\163: the Central African Power Corpcration (CAPC).

After lat January 196t. additanal guarantors, Tbe Territory ot Northern Rhodesial '1'be Colony of Sauthem Rhodee1a;

Joint finliU'lCing a result of requests by the U.K. end the Government of the Federation for aSllistance in financing the project.

Central tnectric1t)' Board (Cm) of the Federation of Malaysia.

Ouarantor: Jl'edera.t.1on of Malay-sia.

Joint finanoi.ng a rewlt of Govern-ment req1elllt for asl!listance in f1.-nancing the foreign exchange compo-nent of the project and nomal CDC and CDFC operations in Ma.lay!lia.

Initial Borrowerl Colony and Pr0-tectorate of Kenya.

OI!.arantorl United Kingdolll

Final Borrower under SUpplelllental Agre_nt I Ke.qya

Ouarantor: United Kingdoa

Joint financing a rewl t of re-quellt by the U.K. and the Govem-ment to the CDC end the genk: for assistance in f1nan(:1ng the pro-ject.

(r-tilliona IJ'3$ equiValent)

JOINT LOAN TERMS AND CONDITIONS AND OTHl!Jl FnlOlCING ARRANGEXENTS

CDC, $42.0 (;mtied) for ;frs. for each tranche, dat1ng from March 25 of year the inBtalllllent II'8S advanced, including yr. grace at interest rates averaging 7 percent per atlIl\lJll.

COFC: $6.1, (untied) for 25 yr9., including 6 yr. grace at 6 percent interest ..

Various '~opl'er Mining Interests: $56.0 to tile Governt1\er.t for 2817's., including 1 yr. grace "t 4~ percent 1ntert'st.

Dr1t19h South Africa Company (!lSAl, $11.2 to the Oovernment in four tranches tor 20 yrs. from date each tranche (II1th no gra~e period) was rece1 ved by tho l'7'1l : ,~Af'C:) at 5 p"rcent interest.

banks: Barkla,Y's D.C.n. and Standard 3.1ulh Africa: $5.6 each to Oovernment for

yrs., including 5 yr. grace-at 5 percent in~ t.erest with grace period beginning frolll time last ins to 1 lm"m t of each loan p"id out. indi vidually.

OoveMlInen l contributl on: .~l". for approximateLY 20 lirs. Iii th va'7lng grace from 0 to :2 :ITs. ,,~ Ull average or 5 per"

ffifl. Of' AO!t,:~T

TOTAL COST F(JREIOH r.xCIlAI¥lE COMPONENT RANlV!OA - WAN/CREDIT

rBRD LOAn .\3, (,Y r"ver Pl"oject

April 17, 1903

IBRD Loan: $21.0 to r 20 yrs., includilli 4 yr. grace at 5l.:i percant interest, but wbject to cancellation depending on how IllUch of U.K. Credit _II atil1zed. Cancellation UIOunted to SS.7)2, due IIIainlJ' to read,1ustment and savillie on prc.l!!!ct.

HlA Credit 64 ICE Kenya TeA oevelopnllll'lt Project

August 17, 1964

$8.96 (includes tield sector and .fact.ory sect..lr)

$2.64

IDA Credit, $2.1:1 on normal IDA lemll, to tinance both foreign end local eurrencT COl'ts in the .field lIector o.f the project.

LOA. Credit 109 00 Uganda Tea Growers Corpora tion Project

September IS, 1967

Total Cost (entire tea developMlftt progr8lll): $ll.u, 1n::lud1lll! .field and approxl.llate cost o.f factory sector

Tot.al Cost (Bank Project): $6.4 (Field lIector) $1.2 (Core1gn exchange component)

lOA. Cradi t: $).4 repa;yable on normal lOA termll.

IDA Credit 1JO UG Beet Ranching Develo~t Project

October 5, 1966

$5.1 $3.0

IDA Credit" $3.0 on noma! IDA tenDS.

1/ mRD/IDA JOINT FINANCINJ ')p~.h.UlnliS W!1'!-1 THE t/NIT:'!' KrNGrJO~ AA1J rr;.; LOOlING AGENCIES""

(~i1l1onll W';l eQIJ1v"lent)

B..'1JntoWFJ' r,UARAN1\lI! (mH1JN .'OINT FTNANrING

Oee tric1 ty Au t.hority o.f Gyp:!"!" (MC')

:iuarantor: lU>pub lic o.f i)'pru"

.foint financing a re!!Ult o.f Govern-ment r.'!cpest for assiatance in .fi-nancing part of the foreign eltChange component o.f the project.

lU>publ1 c of Kenya

Joint financing n result of Govern-ment request .for IDA assistance in .financilli .foreign am local COelta of second stag" o.f tea d..velop"'ent project begun with the assistance of CDC and Kreditanstal t l\ter Wiederautbau (KfW) in the late 195'O's.

,1('INT LOAN TF.RI15 AND CONDITIONS AN'D ,'TilER FTNAN·~ING ARRANO~m;N'l'S

I1.K. EXport CN' Bank and t.h~ U.K.

Bank procurement and disbursemnt accordi ng to nOI","",l procedures.

Normal, separate loan documentation behm

TIP! OF PROJEX:T AQRED4EN'!' DATE TOTAL COOT lIQREIOII EXCHANGE CC»IPON!HT BANK/IDA - LOAN/CREDIT

- 14 -

IBRD/IDA JOm!' l'DIAHCDItl OPERATIONS WITfi 1IfE WIT!» KDIOOOM AM!) ITS LDlDIMG AGEHCI~ (Mi1l1ona US$ eq!l1Talent)

BOJIROW'IR auAlWlTOR ORIOIll 0' JOINT FINANCING

JOINT WAN TIIIM" AND CONDITtONS AND OTHER nNANCIfIl AIUWiG!MEHI'S

SPIOCIAL PROVISIONS It< LOAN/CI1ELiIT OOCUKENTA1'!ON UiTER-AGfil>Cr AGREEl'!1N1

TTl'S 0.. I'ROJSCT AORDMI!:HT DATI TOTAL COST P'OUIOR UClWIlB COKPOIIIIIT lWIK/lDA - LOoUI /ClllDI T

IDA Credi t 1 III Western Highva,y IIttention

May 12, 1961

$lJ.S • 8.0

IDA Credit. '9.0 on norul IDA terma.

IDA Credi t 61 BO DlDI Power Project

J~ 2b, 196"

'15.1 $11.1

IDA Credit. $10.0 on nonsal IDA te:nu.

ll111D Loan 1100 II> IDA Credit 71 II) Borth Road Project

'ebl-uar7 2, 1965

'2).6) includ1nc '0.6 tor prevloWlly '1.4.0) cOlllPleted engineering studies

ll111D Loan. $6.0 tor 2S 71'a., inelu-dine 6 71'" grace at !>It percent. in-tere.t.

IIll Creditl 'JoS on nonu.l IDA teraa.

- 15 -

("i11) IllllD/IDA JODIT FlNAHCllIG OPERAll OMS VITH THE DI'I'IR-AMIIlICd DBV'ItOPt!!IIIT B.lXK

BORROWER OUAlWi'roR ORIGIM OF JOII'!' p'nWICIIll

Republic ot Hondurall

Borrovar requested IDB help in financing it.s ahare ot tbe pro-Ject costs under separate arrange-_nts •

Republic of Bolivia

Jo!nt. 'inmc!ng a result ot Govern-llent initht.1ve taken to obtain

IItd1tlonal local and foreign currenc1' financing to ct8lpl_nt Bank contri-bution.

Republic of Hondurall

In vi_ ot lIorTovElr I" fiscal .it.uation, the Benk conaider-ed _ternal financ1nc ot up to ~ of total co.t of the project ju.titied, but was un-willing to contrIbute the full __ ant and. llought additional local and tordgn _change fi-nanc1ns tr_ IDB.

(Million.. US$ Equivalent)

JOIJIT LQAH TIRMS A.lID COIIDITIOHS AND Onm.tl. P'IlANCIlIl AIlJWI)EKlIfTS

IDS Loan: $2.25 for 2071's., including " 71'11. grace at. " percent intere.t trOIll PSO re.ource.I.( wi th local currenc1' ceil-ing of $0.75.-

Gove~t contribution: $2.25.

IDB Loanl $).1 to Ooverl1lMnt vith lID!preea Nacional de llectric1dad (DID!) as exeeu-tins agenc1' (DID! repa:rs principal and interest) Cor 2571's. includins 5 yr. grace at " percent interest trOlll PSO resourceS wit.h a local currency ceiling of $0.".

floverlllllQl'\t of Bolivia: $2.0

Original o .. ra11 project divided tnree -1's, (1) Bolivia I'ovar COIllp&n;)' project financed

b1' IDA Credi t b2BO tor $

d) IDS acceptance of IDA leadership; including IDA re-view of mattllrs of cOJlllllOn interesL "with a viell to sugge.ting appropriate action in such matters as approval ot con.u1tants, award of contracts, md-ull" inepection" and other matters, subject to the inde-pendent right of each lender to receive reports, inspect the project and make decisions;

e) procur_nt and disbursement procedures.

2. Procurement was on the basis of internat.ional competl-tiTe bidding.

3. Dillbur~t Willi against a joint list of goodll on the following percentages I

76,. IDA 21.,. IDB

Bonul loan/credit doclllll!!llltation and standard M8lIIOrand1.llll of Under.tanding bet_en the Bank and IDB a.a in IDA Credit 61 00, except I

1. IDB inllistance on including 1n its Loan Agreement certain "Condi tion. Precedent to First Disburs_nt" "hich de-la;yed eft.ctivenetlll of the Bank/lDA-Loan/Credit Agree-_ntll. These conditions included !luhllli"sion to IDB toy the GOVen'llll8llt of plans for improvins and modern! zi ns the highva;y coet accountins eystaJII, the Planning Uni t of tho> Ministry of eo-unications, and specified items in the highva:r progr8111 ae well as proof of the allocation of Gove~nt funds for highva;y _intenance, evidence of prior acqu1r_nt.of rightll of "8:1 for specific road sec-tion., 8%clueion of i:mports for the project frOll! tue .. and duties, and a dgned MeIIIorandUIII ot Understanding ba-tween the Benk/IDA and IDB approved b;y the Borrow"r. SOllIe ot treee conditions cou1d have benn included !l9 covenant. in the IDB loan agre9lllent, since they were not necessary precondition. tor etficient technical axe'Outi"n of the project.

Disbur_nt against. " joint list of goods far the Bank/JDR in the following percentages I

1.01 IB!ID/lDA 401 IDB 20J Governlllltnt.

1/ IDB "ordinar;y capital" re.ourcell, until Januar;y I, 1968, __ e available for procur_t on the baeh of unrestricted international cOlllpetit1ve biddins, except t.hat, the u.se of the local - currency CQlaPOtl8llt of the paid-in portion (there ill a "callllble" portion ae well) could be 11Jaited. lit the option of the contributor, to do_stic procur_nt. In practice only Guatemala

and Mexico 1n'f'Oked their right. under thill option. Until JC\uar;y 1, 1968, ISO reeources were partial1,. tied and partial17 untied, the portion of tied resources increasing vi th successi"~ replenill'-nte in local currenc:r (particularl1' in t.he c&lle ot U.S. contribution.). B7 the end of 1967, the untied portion va. virtually ezhauet.ed.

'1'rPI or I'ROJICT AGlI.DUIllTDlTl 'l'O!AL CC6T JIalIIOIf I'lCHtJllI

"JPI'; OF PROJECT AGREl!H.!2fr D.tTP. TarAL C:OS'!" FOOEIGii EXCIWIOE COMPOIlmiT iloUfIVIl». - UQ/CRBmT

,;]A CrecU t 69 I'IAU Rood Pro led

DecSlber 26. 1964

$10.0 $7.0

1l0RRCWEll. OUARABTtJi

(ix)

ORIGDI O~' ,10IKT I"lHA.NCOO

Ialud c Rel'ubl1c

- 18 -

(x) IBR.O/IDA JOIHT FI1WIcrNO OfBUTIONS WITH TilE EUROPEAN INVe:sTX~T IWIl(

TYPE OJ' FftOJ?CT AOR!~ Do\'l'E TOTAL COST P'ORlIDN EXCHANGE InIPOHINT 1WfI(/ IDA - LOt..~lCRBD rr

Il!aD Loan 224 IT Southern rt.l:T DeY1tlo~t

BOlIROWBR QUAIWfTOIl CIlIOm OP' JOM P'DWfCIHQ

ea... per U /{eszog1OMlO (C .... ) ProjltCta - 1959 Durantorl Repabl1c of Ital,y

AprU 21, 1959 Joint t1nancinc .... cc.pted by the Bank in new Otl

$90.0 (approldAate17) a) lIB upr ... ed inter .. t in Nk1nc No t

(xi) IBRD/IDA J,)rNT !>rNAHCJ]lG .'FERATI::lNS WITH NO OR MORE CO-IENDF.'lS

"1'l'E OT PROJIC'l' .GREI!M!II'T llA T!

"'roUI.. COST !'OREIClN EI(]IANOE OOMPOtl9IT BAHIU:I:llA - LOAH 'CREDIT

IBM Loan 266 I'AK Indu!o Basin Pro ject

Septlllllbar 19, 1960

:I:llA Credit 60 PAX Indua Buin Project

Ju17 21, 1964

Initial eatllllllted total cost of proJe"t'~ Initial ut1llll\ted foreign exehange cost, $4~

Revilled 1964 ellt1.lUted total cosl of projeC't, $rmteiCluding Tarbela) Revilled .. tlJuted toreien exchange C01!t, $7~d1ng Tarbela)

rBRD Loan: $90.0 of which $60.0 was for the project and $10.0 tor Inter-est and cOStitlumt charge. on the loan. Rep&;yable over 30 yrll., in-cluding 10 yr. grace at inter .. t rat .. to be deteMlined u the loan i.

TtpE OF PIlOJl!'C1' AORElOlENT DA. Tlt TOTAL COST FORBIOH EXCIWiOE OOHPOllDT BJXI/II'.Il ~ WJ.N/CREIHT

llIRD Loan 379 11:: II'.Il Cred1 t 51 XC Second Highlla;r Project

May 26, 19611

$63.9 $21.6

IBRD Loan: a?~ 0 repqable over 2571's., including 5 yr •• grace at 5'l:! percent intereat.

II'.Il Credit: $6.0 repaTable on normal IDA te1'lllll.

-20 -

llIRD/IDl JOINT FINANCING OPEaA.TIONS WrrH 'NO OR MORE CO-l.ENllEllS (Millions I1S$ equivalent)

BOR.IiOW!R QfJA.RANTOR aamDi 0' JOINT P'DWfCINQ

a.pu.blic ot Bcuador

Project proepared with joint finan-cing in view prlaarllT to co-ordinate leDCle:r '. pol1ciell and ensure adequate standarckl of sector investment plan-ning, project financing and general fiacal performance.

JOINT L04N TE11K3 AND COHDITIDHS AND O1.'IiER f"IJUNClHO ARIWlGEI1ENTS

U.S.A. UD Loan «1.6.0 (tied) for bO yrs., tncllldlng 10 .)Ta. grace at 3/1; of 1 percent interest during the grace period and at :2 percent thereafter. To cover approximately $10.7 in local currency costs, but with no limit:! specified. Alliance for ProgrAs3

~dslo:~3~'!,~ Bi&e21;ef~4.1, 1963 and lIlB Loan: $6.0 froll! Ordinary, Capital "&laur-ces for 25 .)Ts., including 4~ yrs. grace at 5.314 perc en t 1nt8l'ut vi th local currency celling: $0.6.

Government of Ecu&dor contrtbution: $2i.,.9.

.3I'ECIll PRJilISlON5 rn WAN, '~!iEIE7 OOClfMENTA1'roN !NTER-AGE/iCI AGREEMENT'; Ke:THOD OF PilOClJREXENT

b) agrettfntHlt U1at U.] .. A. AID wO'...I,L:t :Jr-cli.d:: equipment of origin, tut aft-B .. t In''e,.r,,,L,on petit1,.,e

c) furttlcr ""ct.,an!!:" eng1.oe er1'lf in ,','3e utLi.ized for equi!_nt, f!.nan,'" cot"l'eeponding

Common investment and allc>catlon

J' PIIJJECT ACl:o(iDlD'l' III TE TClTAL coS'!' roR.!rCltl IICHA.'IGI IlJMPONINT BAHKlIDA - !.DAN/CREDIT

!lIRD Loan 569 'I'U Iteban TraneJUssion Lines Project

October Jl, 1966

Total Project 'IiJO.O $1)0.0

Bank Project (traneJUssion 11n8ll, substations and acceesories) $35.9 $:>2.7

TBRD Loan! $2~ • 0 for 25 yr9., inc1udinp: 4 yr. grace at 6-1/2 percent interest.

- 21 -

rBRD'II» J0INT FINANClN..; ,JPKRA'!'ION3 WITH NO OR HORE CO-18olDER.'3 (Hill ions US$ equJvAlmt)

1lO~"M:R au ARAIlTO R ORmDl 0' JOINT ,DW/ClNIJ

Republic of !urkey

Joint financing was result. of Govern-ment request to OECD Consortium for Turkey for assistance in financing the overall project and subsequent fonnation of a Syndicate of Lenders under the Chairmanship of the World Bank. Due to restriction of bidding to menbers of the Syndicate, the total project was subdivided between the Syndicate members on the one hand, and the Bank (TBRD) on the other. Dirter-ences of opinion between the Bank and EIB on the method of exercising respon-sibility for management of pro.lect led to complete separation of projects, with EIB primarily responstble for supel"Vis ion of the C 1 vil works arld power "tatinn project, and wi th the Bank retaining responsit>1li ty for sup-ervision of the transmission lines project, in accordance with its normal procedures.

JOINT LOAN TERKS A.ND CONDITIONS .uro OTHBR 'INANCDIO ARRANGl!:MEHTS

The ceilings on tied offers froJII part.icipating co-landers vere:

USA $40.0 France 10.0 Germany 20.0 Italy 10.0 EIB 30.0

The Syndicate agreed on the folloving financing principles: a) terms of lendIng to be not harder than 15

yrs., including 5 yr. grace at 11 percent interest, except for the World Bank loan;

b) contributions from each bilateral lender to be used for financing an initial $5.0 of local currency expenditures; and there-after for financing the foreign exchl!illge cost of purchases in the respective con-tributing countries up to the ceilings specified. Any residual funds were to be avallable for local expenditures up to one-third of the amounts used for foreign ex-change financtng •

SPECIAL PROVISIONS IN LOA.N/CREDIT OOCUMENTAT ION INTER-AGINCY AQRElH:NTS MlTIllD 0' PfI)CIJRIMINT

Normal separate Bank loan doCWllentation, including croS8-conditions of default with ,'espect to arrangements mad .. , or to be made, for Syndicate financing.

l.oan Agre_nt provided that local currency withdrawals shall not exceed the equivalent of 65 percent of the amounte paid under contracta or the cost of goods payable in local currency, and the aggregate amount of Withdrawals in local cuzr,'ency shall not exceed fn MlOWlt equivalent to one-thin: of t.he amounts which the Borrower shall have withdrawn, or on the basis of signed contracts C&1\ reasonably be expp.ctbd

. to Withdraw, from the Loan "'ccount in foreign exchange.

Bank procurement L'ld disbursement according to normal pro-cedures against a separate list of goods.

No Memorandum of Understanding between the Syndi cate :lIld the Bank, but Syndicate acreement on financing prinCiples Project provided opportunity for Em to press for the princl.ple of co-lftanagenmt of the project and for a .'0 int. lllRO/EIB "Syndicate aecretariat." The Bank regarded both ideas as impracticable.

• ) !IS cOIItributiClll to be uaed to tinance purehaaes.in !It: countri.a, wbich, in the cue ot EEC llleJlber countri .. participat1nc in the SJnd1cata, 1I011l.d be on a SO percent match!nc bu1s; or otherviae 100 pereent,

d) cOlllpeti ti ve bidding to be reat.ricted to participat1nc countries conllilltent vi th arrang_ts vi th (b) and (c) above; e) World Bank participation lIOUld caM7 atandard lend1nc tang and be used for procureJllent on buis of full intenl8tional cOlllpetitive bidd1ncJ r) cantincency reller"'a 1ftIre to ba set 8IIide equivalent to 10 percent of foreign exchange requi~nts ot each contract; g) an iJIportant acre_t proVided that the prime civil worka contractol'll could finlOllce parch8llell of materials, equi,.ent and serv1c" from any and all of the partiCipating countries

up to certain lllI1ta to be apeeifted on the buh of the bid analysis of COStll.

ll.S .... m Loan: $40.0 (tied) _15 for 40 yr., including 10 yr. grace at 1 percent interest during the grace period and 2l, percent. thereal'ter fl'Olll development loan rellources.

P'rance: $10.0 total, ot vtUch: $6.0 export credit for 10 yr., with no grace period at 6 percent interelltJ ani $4.0 French Treasury Loan for 15 yr. including 5 yr. grace at 1 percent. int.ereat for the first five yr. and at ) percent thereaf'ter.

It~1 $10.0 for 15 yr. at 4 percent interellt. Grace period not known.

Genun;y. $20.0 for 25 yr., including 7 yr. grace at ) percent interellt.

Era. $)0.0 for 30 yr. includinc 7 yr. grace at ) percent interest. The favorable tenus of EIB lending result from use of special fund (t.otalling $175.0) appropriated for the use of Turlce;y, u an "'sllOciate M8IIIber of tt\e EEI:, and resened for financing of qualif'.y1ng industrial projects at 4~ percent interest (at leut )0 percent of the total must be used for this : 'e) and for financing qaallf'.y1ng infraatructure projects at) percent interest (up to 70 percent of the total may be used for this purpose). Repa;yment may take up to )0 yr.

1 nmds so l8llt.. The epecial fund agreement expires Dec8lllber 1, 1969.

Total contribur1ona for Keban DUI Project. Syndicate Co-lenders: $110.0; Government: $265 (or more).

Total cont.ributions for Bank TranBlllission Lines Project: Bank: $25.0; Govemment: $10.9 with on-lending of Bank Loan, on 1I~'tems, to ETIBA.NK (or TEX, thE! Turkish Electric "'uthorit,y, when it cOlllee into ex:istance).

Cost On~ on Du Project Due to increase in cost, inabi11ty to utilize tully the U.S. and German offers, and expenditures in France and It~ in excess of ceilingS, project cost exceeded bOth avllliabie ana usable fundll. Financing of the shortfall of funds not yet decided pending revision of cost est1JDates. ------------------------------------------------------------------------------------------------------------------------------------------------------------Propolled IBRD Loanll for an oil palJll and coconut proJect in the Ivory Coast.

Under consideration.

$79.4 (total coat Bank project) $17 . 0 (foreign exchange cost of

BIrl k proj ect )

IBRD Loans totalUIII $17.1 for 71 years including 6 year grace At 6-1/2 perclKlt interest to the following agencies in the amounts specified:

~.6 to P"'IJmIIlU5TRIE, for one oil mill; $9.0 to SOIEP ... UI, for oil palm and coconut outgr01lers and coconut plantations; $3.) to SOlEP"'UI, for oil palm pbntations .

Borrowers: Socio!ite pour Ie oeveloppement et l'Exploitation du Palmier a Huile (SODEP ... UI) P ... U\lNDUSTR IE , an associate comp&n;r of SODEPAU1

Guarantor: Republic of tne Ivory Coast

NOrE. P ... LMIVOffiE will be established as a management, CODIpArty to operate the above property holding companies. The three c01llp8nies will be linlcad in an ""'ssociation en participaLion" a profit-shirkg partnership.

Joint financing a result of Government request to the Bank for assistance in financing (a) a modest expansion of an ambitious

on-going 011 palm developnl!n t progr8JII (primarily financed by fED grants) and a s_ll prograJII for coconut developlll!!llt, and

(b) the establis hmen t of the ne cessary industrial processing fadli ties. In view of the predominant role of FED in plantation develop_nt. and the rol" of EIB in the development of the processing indusLry. the cooperation of co-lenders in establishing satisfactory s ector organization and managanent became essential. T\le GavernlllBnt request to CCCE was orig ina lly for assistance to the Oavernlllnt in meeting the balance of the financing needs.

CCCE Loans: $5.6 total for 21 years including 6 years grace at 4-1/2 percent interest and di vided as follows.

$1. 7 to SOIEP ... U1 for oil palm plantations; $4.1 to SODEP ... U1 for 011 palm and coconut outgrowerll.

Government contribution I $).7 to SOOEP ... UI for oil palm outgrowers and coconut programs.

Goverrunent and other shareholders. $1..4 to P ... UlINDUSTRIE for one oil 1111.11.

Outgrowers: $1. 4 for oil palJll and coconut progrllJll8.

Parallel pro ject of 5 011 III1.lls costing about $24.0 total to be financed by loans to P ... LKJNDIlSTRIE by Cai sse Cent rale (CCCE) and EIB in a joint operation providing $).0 and $9.0 respectively, CCCE at 6 percent repayable over 21 years including 6 years grace. EIB Itt 6-718 percent repayable over 16-1/2 years including 4-1/2 years grace, and wi th the balance to be provided by Government capital contributions in cash and kind, the Ivory Coast Caisse "'uLonome d''''mortissement. foreign suppliers' credi ts and cash gene ra t ion.

Normal, separate loan docwrentation between the Bank and Borrower, between CCCE and Borrower, including cross-conditions of effectiveness and default is envisaged. Bank loan effectiveness also to depend on the effecti veneSS of the joint CCCE/EIB loans for the pRrallel oil mill pro ;~.·t Bank viII preswnably require certain guarantees and assurances from p ... LMIVOlRE and its shareholders with regarci to the maintenance of the ..... ssociation en Participation" (a form of joint venture) between the executing agenc1es of the project, SOIEP"'UI, p"'OOVOffiE and P ... LMINOIETRIE.

No M_orandum of Understanding between the Bank and co-lenders, but all have agreed to coordinate their efforts. and the Government has taken great care to clear the progrlllll and pro.ject proposals with all potential sources of external finance.

Procurmnent for the Bank project is expe(!ted to be on the bas! s 0 f international cOllpllt.i ii ve bidding.

Disbursements of Bank loans would be againat a cOlllllon list. of go0d8 for. 100~ of the costs of all iDlported itelM; 10a~ of the cash credi ts made to oil palm and coconut out growers ; 100~ of the costs of land clearing, civil works, and consu 1 tancy contracts.

Joint disburselllent vi th CCCE for remaining items, field development and local costs, is expected Lo be on a percentage basis yet to be detemined between the Bank Md CCCE.

------------------------ --- ---- ----- ------- ------------ --- ---- --- ---- -- ---- ----- --- -- -- --- ---- ----- -- ---- --- -- ------ --- ---- -- --;.. --- ---- ~-- -_ .. ---- ---- ... ---------- -- -- -- -- -- -- -- -- -- --- ----- ----

.• 22 -

(xii) mRD/IDA JOINT FINANCmG OPERATIONS INVOLVING EXPORT FINANCDJG INSTITUT IONS

1. Origin of ~oint financing. Following a series of exploratory dis Gussl()i1;-: Bank st.arr with 0 ficials of various governments concerned with financing ~5S to developing c01.Ultries and with representatives of private financing institut during the course of 1964 and 1965 agreement was reached on a mechanism thrclJ.gh \,/1':1. private financing institutions, using bilateral export credits, could ~Jith

· .'

- 21 -

;i !'" ipant s in the October 1 ()G'( discussions eX'fjressed the strong feelinr-[1 :. th(~rt) ::::huuld be the greatest possible degree of prior agreement on the terms ~,J' .i in L financing operation before any effective action was taken to implement it und ~ "n the cost.-sharing formula; both participating countries and ~he Bank empha;.lized tha ~tcc:epLance cf the formula should not be taken to imply a commitment to the formul2. for ('he futnre ..

( • CT

- 24 -

The joint financing arrangements of October 196', did not provide for the alloc.at i (.:n of responsibility for proViding credit in such cases. It has since emerg~>j that the export credit institutions of some countries are prohibited by their stat"llGCS frGP.l providing credit in respect of goods procured outside the home countr'.{ or ,)f goods ~.r:Lth a significant import content. Some countries of sub-contractors are alse' r~luctan' to provide eredi t in respect or sub-contracts where the prime contracL::r i.::: of . :~(r(' country.

8. The role of the Bank: The Bank is responsible for establishing agreem~:nt. i ~ ~ principle with goverrunents and private ,financial institutions on (a) the desirabi.Jity in principle of a jOint financing arrangement of a particular country or countr'i es; (b) identification of projects considered suitable; (c) the general formula for joi.nt. fjnancing; and (d) the major issues involved. The Bank is also responsible fer appraisal of the project in accordance with its customary procedures and, in due COtU'~,>' ~ for the execution of a loan ~reement to cover its share of the f:inancing of import,~d . goods J in accordance with the a.greed fornru.la, as well as the finance of dther i tern;:; in the project. Joint lenders are advised by the Bank from time to "':,ime (;n thr; nf'ogr':'~f..'lS of its project appraisal, on the status of procurement and the award of eontl'act:::: fOI' the projects concerned.

9. The Bank is responsible for ens.uring adherence to Bank guidelines .for ;-,hf~ prequalification, bidding and award of contracts. In carrying out this role, the project and administering its own lo,an, the Bank necessarily provides an' Bqu.bra}'Jnt service to joint lenders. The Bank is not responsible for the disbursement of joint loans (I However, at the request of three cOWltries, arrangements have been made lmdr:~r which certification of the Borrower's withdrawal application and accompanying dGcumentr~';n as acceptable for Bank reimbursement is also accepted for disbursement under the joi.nt loans of the countries in question.

10. The Bank included in its loan ag~eem.ent provisions: (a) requlrlng the Bcrrcwer and the Guarantor to use their best efforts to secure other loans (under the joint financing arrangements) for the project; (b) entitling the Bank to reduce i.t.s loan by any amount in excess of the foreign exchange amount of the project after taking into account the joint arrangements made (in -,tbe case of the Colombian projects); (c) peruu.t adjustment within prescribed limits, of the amortization schedule of its loan to the f.lC'hedule of joint loans, once these are established, so that the total armua]. ti.tllortization payments required of the Borrower would be reasonably approximate to tho se which the Borrower would have made if the entire amount had been provided by the B.mk; (d) providing for the Bank loan to become effective under certain conditions, in advance of the effectiveness of joint loans if this were to be justified by the circumstanC:E~s uf the case; (e) stipulating that prematurlng of a joint loan because of a default hy t.Le Borrower would be an event of default under the Bank loan.

11" Role of other lenders: The joint lenders agreed to enter into loan nego t ,1.:J. ticn[: with the relevant borrowers in Colombia and Mexico promptly upon receipt of noti from the Bank. In the case of the Colombian projects, the joint lenders were notifj ('ct at the time of the Bank's own negotiations, when the award of contracts \faS known f:·r over 50% of imported goods; in the case of the Mexican project the award of contr~cts extends over a period of time and joint loans need to be negotiated 1r;11en there o.rt.; indications that countries' suppliers are receiving contracts in amoun.ts eligibl~ for joint financing.

- 2S -

1.'. l/lt ;;j8.3 also agreed that, if a joint lender f01md it necessary to place a ce ~.lirig (n .he a:m.OUJlt of the financing to be made available , it would consider seriousl:.' "he possibility of increasing this amount in the event that the flow of orders W'.1S such that its share of their financing under the joint financing formula vvc:uld otherwise have exceeded the ceiling. The Bank was rnade responsible for cons the effect of any such ceiling and for advising, after consultation with interested joint lenders, as to whether the ceiling w':mld, in the Bank l s judgment, be adequate in relation to the orders likely to be obtained.. Ceilings were imposed by most countrie~:; but there has been no necessity as yet to seek any increase in the limits prescribed ..

13.. Joint loans are normally to be niade directly by the export financing institutions t the borrowing agencies in Colombia and Mexico, and not to the governments ~

l)J.. The joint lending institutions -' that is the export finance institutions (E!)F. Ie ) and the appropriate borrowers, were requested to ag:cee with the Bank on a letter providing for coordination of the Bank and joint loans, defining the specific joint loans and swnmarizing the understandings between the Bank, the financing institutions B.ne:! the borrowers. These understandings are to cover the following subjects: (a) terminology and definitions; (b) notification of award of contra.cts to suppliers; (c) payment of goods and services and subsequent claims for reimbursement by the Bank and i.ndivlduaJ.. export finance institutions in the appropriate cost sharing percentage; (d) in t.he of any refusal to disburse, notification by the lender in question of all other parties concerned, (e) supply to the Bank of information regardjng the utilization of the proceeds of' the loan together with the appropriate amortization schedule; (f) r.ooperation and exchange of views and information on operation of such loans and performance of obligations thereunder; and (g) prior warning of any conditions likely to interfere with the performance of the agency's obligations or the execution of the project" The Bank and E.F.I. will also agree not to premature, terminate or substantially amend the appropriate loan agreement, or suspend or cancel disbursements without prior consultation~

J.5. Role of the Borrower and Guarantor: The Borrower and Guarantor are required to use their best efforts to secure other loans under the joint financing arrangements for the project and are responsible for financing the full local currency costs of the project and, in addition, any possible short-fall of foreign exchange requirements that may arise due to inability to obtain or utilize joint loans to the full. They are also responsible for the conduct of negotiations on the detailed terms and conditions of loans from the joint lenders and for dealing with the many new problems of a legal, administrative and financial nature arising from the need to deal with several lenders in association wi th the same project; at the request of both the Borrower and the EoF lOI .. the Bank has been represented during some of these negotiations.

16" Further details of individual projects are given overleaf.

17 Ceilings were imposed as follows :-Belgium France Germany Italy Japan Sweden U.K .. USA

Colombia -5

10 10 10 10 4

10 10

Mexico 10 10 10 10 10 4

10 8

No ceilings were impo sed by Canada, Netherlands, Spain and S""ri tzerland ..

- 26 -

Ill.RD/ lIlA JOIBT FnU~CING OP&MTIOIIS INVOLVr}j!} EXPORT nmNC!NlI I1.:;nl' J"!' IONS (Hi 1Uons US$ eq'.li valBll t )

TYPE OF PiDJECT AO.'1EDlENT DATE roru GOOT FOREIGN lUClWlGI COMPONENT BANK/Wi - !.OAlJ/CR!DIT

IBRD Lo&n 106 KE Pow .. Sectrir

Decaaber 15, 1.965

$309" $l4S enC'..a /1.Jancillg proPOlled

li4nk lOGI $llO - $93.4 at S.1I2 percent and $16.6 at 6 percent, rtlpa.;yabla over :?O year. vlUl 4 yeare gracel amount detA.m1ned ill upectatiOD that Mewo wouJ.d obtain relCli1nder of ext.ern&l f1llancing, $35 trom cOUDt...-tee which would be _jor iluppl1era.

lBRD Lean SJ6 CO Boeota Water Supp~

June 3, 1968

BJRlWWER GUA.IWft'OR OlUGru OF JOIHl n ;if.ll'; !}((l

Coadllion Fedaral de Electr1cidad and Hae1anal Financ1era S.A.

'or origin of joint financing 6,,5 "Introduct,,,rcent F ' «'; .:/4 o! l$ p .