Uredba o ratifikaciji Pisma o sporazumu med Republiko Slovenijo in Mednarodno banko za obnovo in razvoj o posojilu za pripravo predlaganega slovenskega namakalnega projekta

Dear Mr. Minister:

RE: Advance for Preparation of Proposed

Slovenia Irrigation Project

Agreement Letter P290-0 SLO

I am writing on behalf of the International Bank for Reconstruction and Development (IBRD) to indicate IBRD’s agreement to extend to the Republic of Slovenia (the Recipient) an Advance in an amount not exceeding US $ 1 million (the Advance). The purpose of the Advance is to finance certain expenditures required for the preparation of a project, which would include: (a) reforming policies in the irrigation sub-sector; (b) developing legal framework; (c) constructing selected new irrigation schemes; and (d) technical assistance, for the carrying out, of which the Recipient has requested, the financial assistance of IBRD.
    The Advance is granted for the purposes and on the terms and conditions set forth in Attachments I-II hereto; the Recipient hereby represents, by confirming its agreement hereunder, that it is authorized to contract, withdraw, and repay the Advance for the said purposes and on the said terms and conditions.
    The amounts of the Advance withdrawn shall carry interest according to paragraph five of Attachment II to the Letter of Agreement: Financial Provisions Applicable to Advances for Project Preparation.
    The grant of this Advance does not constitute or imply any commitment on the part of IBRD to assist in the financing of the project for the preparation of which the Advance is granted.
    Please confirm your agreement with the foregoing, on behalf of Republic of Slovenia, by signing, dating, and returning to us the enclosed copy of this letter. This agreement will become effective on the date hereof upon receipt of your countersigned copy by the Bank.
    Sincerely,

Date: 26. 9. 1996
    cc: Mr. Walter Rill (EDS10)
    Attachment

H. E. Mr. Mitja Gaspari                       September 16, 1996

Attachment I to Letter of Agreement:

Purposes, Terms, and Conditions of Advance

1. The activities required to complete the preparation of the project for which the Advance is granted are as follows:
    (a) preparation of the project preparation report which include: brief assessment for: (i) the economic setting for the agriculture sector and irrigation sub-sector; (ii) basic resources such as land, water, forestry and livestock; and (iii) comparative advantage of the country’s agricultural production and viability of the irrigation sub-sector.
    b) detailed project preparation including a feasibility study, environmental impact assessment, social assessment, and detailed design for selected sub-schemes.
    2. Expenditures to be financed with the Advance are:

-----------------------------------------------------------------
                            Amount of the       % of Expenditures
Category                   Advance (US $)       to be Financed
-----------------------------------------------------------------
(1) Consultants’ services         900,000       100%
(2) Goods                          10,000       100% of foreign
                                                expenditures
                                                and 100% of local
                                                expenditures
                                                (ex-factory cost)
                                                and 75% of
                                                expenditures for
                                                other items
                                                procured locally.
(3) Unallocated                    90,000
-----------------------------------------------------------------
TOTAL                           1,000,000
-----------------------------------------------------------------

3. The Recipient shall carry out the project preparation activities outlined above with due diligence and efficiency; promptly provide the funds, facilities, services, and other resources required for the purpose; furnish to IBRD all information covering such activities and the use of the proceeds of the Advance as IBRD shall reasonably request; and from time to time exchange views with IBRD’s representatives on the progress and results of such activities.
    4. Consultants acceptable to IBRD shall be employed by the Recipient on terms and conditions satisfactory to IBRD for the study for the project preparation as per details in para. 1 at an estimated cost of US $ 900,000 based on a short list of firms. The consultants shall be selected in accordance with the World Bank, Guidelines: Use of Consultants by World Bank Borrowers and by The World Bank as Executing Agency (Washington, D. C., August 1981), and all contract documentation shall be subject to prior review by the IBRD. No substitution of such consultants or modification of the terms and conditions of their employment shall be made except with the prior approval of IBRD. Goods, if any, may be procured on the basis of comparison of price quotations solicited from a list of at least three suppliers from at least three different Bank-member countries, in accordance with procedures described in the World Bank, Guidelines: Procurement Under IBRD Loans and IDA Credits (Washington, D. C. January 1995, revised January and August 1996).
    5. Withdrawal, use, and repayment of the Advance shall be made in accordance with the Financial Provisions Applicable to Advances for Project Preparation (the Financial Provisions) set forth in Attachment II.
    6. The Advance shall carry a service charge as provided in paragraph 5 of the Financial Provisions.
    7. The date October 31, 1997, is hereby specified for the purposes of paragraph 6 of the Financial Provisions. No withdrawals of the Advance shall be made after said date, and any amount of the Advance then remaining unwithdrawn shall be cancelled unless IBRD shall establish a later date for the purposes of paragraph 6.
    8. Withdrawal applications for the Advance shall be signed on behalf of the Recipient by the Minister of Finance or any person designated in writing by the Minister of Finance. Authenticated specimen signatures of the designated persons shall be provided with the first application.

Attachment II to Letter of Agreement:

Financial Provisions Applicable to Advances for

Project Preparation

1. In these Provisions, the term “World Bank” means (a) the International Bank for Reconstruction and Development (IBRD), or (b) the International Development Association (the Association).
    2. The World Bank shall disburse funds to the Recipient (a member country) of a project preparation advance (the Advance) to meet expenditures specified in the agreement letter for the Advance. The Recipient should submit a written application for withdrawal in the form specified by the World Bank. The application is (a) signed by an authorized representative of the Recipient, and (b) accompanied by evidence of the expenditures made or, if the World Bank shall so agree, to be made.
    3. The Advance shall be disbursed in U.S. dollars; the Recipient, however, may request any other currency required to meet an expenditure to be financed by the Advance. In this case, the World Bank will purchase that currency with U.S. dollars.
    4. Withdrawals shall be made only for expenditures for services supplied from, or goods produced in, countries eligible under the World Bank, Guidelines: Procurement under IBRD Loans and IDA Credits (Washington, D.C., January 1995, revised in January and August 1996).
    5. As specified by the World Bank in the agreement letter for the Advance, the amounts of the Advance withdrawn and not repaid shall carry (a) a service charge at the rate of 3/4 of 1 percent per annum, or (b) interest at a rate calculated and charged as follows:
    (a) Interest shall accrue on the principal amount of the Advance withdrawn and outstanding, at a rate for each Interest Period equal to the Cost of Qualified Borrowings, based on the preceding Semester plus one-half of one percent (1/2 of 1%).
    (b) As soon as practicable after the end of each Semester, the World Bank shall notify the Recipient of the Cost of Qualified Borrowings for that Semester.
    (c) For the purpose hereof:
    (i) “Interest Period” means a six-month period ending on December 31 and June 30, beginning with the Interest Period in which the Advance is granted by the World Bank.
    (ii) “Cost of Qualified Borrowings” means the cost, as reasonable determined by the World Bank and expressed as a percentage per annum, of the outstanding borrowings of the World Bank drawn down after June 30, 1982. The cost excludes such borrowings or portions thereof as the World Bank has allocated to fund (a) World Bank investments; and (b) loans made by the World Bank after July 1, 1999, bearing interest rates that are determined differently from paragraph (a) above.
    (iii) “Semester” means the first six months or the second six months of the calendar year.
    (d) On such date as the World Bank may specify, but no less than six months notice to the Recipient, paragraph 5 (a), (b) and (c) (iii) shall be amended as follows:
    “(a) Interest shall accrue on the principal amount of the Advance withdrawn and outstanding from time to time, at a rate of each Quarter equal to the Cost of qualified Borrowings determined in respect of the preceding Quarter, plus onehalf of one percent (1/2 of 1%).”
    “(b) As soon as practicable after the end of each Quarter, the World Bank shall notify the Recipient of the Cost of Qualified Borrowings determined for that Quarter.”
    “(c)(iii) Quarter means a three-month period commencing on January 1, April 1, July 1, or October 1, in a calendar year.”
    6. The amount of the Advance withdrawn, together with the service charge or interest accrued thereon, shall be repaid by the Recipient to the World Bank as follows:
    (a) If by or before the date agreed upon for this purpose by the Recipient and the World Bank in the agreement letter for the Advance, a loan shall have been granted by the IBRD, or a development credit shall have been granted by the Association, for the purpose of assisting in the financing of the project for the preparation of which the Advance was made, then the full amount of the Advance withdrawn and outstanding shall be repaid to the World Bank. Such payment shall include the accrued service charge or interest on the Advance to the date of repayment. The repayment shall be made by means of a withdrawal of the proceeds of such loan or development credit in accordance with the provisions of the agreement providing therefor, as soon as such agreement shall have become effective.
    (b) If by the date referred to in paragraph (a) above, no such loan or development credit shall have been granted, or if by such date or at any time thereafter, the agreement providing for such loan or development credit shall have been terminated without becoming effective, then
     (i) if the amount of the Advance withdrawn does not exceed US$50,000, such amount shall be repaid by the Recipient to the World Bank, together with the accrued interest or service charge thereon to the date of repayment, on such date as the World Bank shall specify in a notice to the Recipient; such date shall in no event be earlier than 60 days following the date of dispatch of such notice; and
     (ii) if the amount of the Advance withdrawn shall exceed US$50,000, the aggregate of such amount shall be paid by the Recipient to the World Bank in ten approximately equal semiannual installments of principal, together with service charges accrued on such aggregate outstanding amount from time to time in the amounts and on the dates specified by the World Bank in a notice to the Recipient; in no event shall the first installment date be earlier than 60 days following the date of dispatch of such notice.
    7. All payments to the World Bank shall be made in U.S. dollars at such places and with such depositories as the World Bank shall specify.
    8. The World Bank may, by notice to the Recipient, suspend at any time further withdrawals of the Advance if any of the following events of suspension shall have occurred: (a) funds withdrawn have not been used for the purpose agreed between the Recipient and the World Bank; (b) the preparation activities are not carried out in accordance with the standards or methods agreed between the Recipient and the World Bank; or (c) the right of the Recipient, or any other entity to which the Bank has granted a loan with the guarantee of the Recipient, to make withdrawals under any loan agreement with the Bank or any development credit agreement with the Association shall have been suspended.
    9. At any time after withdrawals of the Advance shall have been suspended pursuant to these provisions, the World Bank may, by notice to the Recipient, cancel any amount of the Advance remaining unwithdrawn.