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1 Public Dicloure Authorized OFFICIAL 4' ' t -~ A DOCUMENTS The World Bank 1818 H Street N.W. (202) INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT Wahington, D.C Cable Addre: INTBAFRAD INTERNATIONAL DEVELOPMENT ASSOCIATION U.S.A. Cable Addre: INDEVAS a,2014 Public Dicloure Authorized Public Dicloure Authorized Mr. Samir Sharifov Miniter of Finance Minitry of Finance Republic of Azerbaijan Mr. Sharifov: Re: Republic of Azerbaijan: Additional Financing for the Second Highway Project (Loan 7516-AZ) Extenion of Loan Cloing Date and Amendment to Supplemental Letter No. 2 We refer to the Loan Agreement between the Republic of Azerbaijan (the Borrower) and the International Bank for Recontruction and Development (the Bank), dated December 16, 2008 (Loan No AZ) and to the letter from Government of Azerbaijan dated Augut 15, 2013, requeting the Bank to extend the Cloing Date and exclude Section IC and 2 of M3 Alat- Maalli Highway from the cope of the Project. We are pleaed to inform you that, after due conideration, the Bank ha acceded to your requet. Conequently, the Loan Agreement and the related Supplemental Letter No. 2 are hereby amended a follow: A. Loan Agreement: Public Dicloure Authorized 1. Section IV.B.2 under Schedule 2 to the Loan Agreement hall be amended to read a follow: "2. The Cloing Date i December 31, 2014." B. Supplemental Letter No. 2: Performance Monitoring Indicator: With reference to the proviion of Section II.A of Schedule 2 to the Loan Agreement, the performance monitoring indicator hall be amended a et out in the modified Supplemental Letter No. 2, attached to thi amendment letter.
2 Pleae confirm your agreement to the foregoing by counterigning both copie of thi amendment letter and returning one of the counterigned copie to u. Upon receipt by the Bank of the copy of thi amendment letter counterigned by you, thi amendment letter will become effective a of the date of your counterignature. Sincerely your, Henry G. Kerali Country Director South Caucau Country Unit Europe and Central Aia Region CONFIRMED: By: Date: J nwe 0S 9j&I Authorized pre ntative Name: ioth'l 0o0 Title: / c( Y1Vit( Attachment: Supplemental Letter No. 2 2
3 Amendment to Supplemental Letter No. 2 to Loan Agreement &4V If/, 2014 International Bank for Recontruction and Development 1818 H Street, N.W. Wahington, D.C United State of America Re: Loan No AZ (Additional Financing for the Second Highway Project) Performance Monitoring Indicator Dear Sir and Medame: Referring to the proviion of Section II.A of Schedule 2 to the Loan Agreement between the Republic of Azerbaijan (the Borrower) and the International Bank for Recontruction and Development (the Bank) for the above-captioned Project, the Borrower hereby confirm to the Bank that the amended indicator et out in the attachment to thi letter hall erve a a bai for the Borrower to monitor and evaluate the progre of the Project and the achievement of the objective thereof. Very truly your, By: Authorized ree ative Attachment 3
4 Attachment to Supplement Letter No.2 to Loan Agreement PERFORMANCE MONITORING INDICATORS Project Development Objective (PDO): To reduce road tranport cot and improve acce, tranit and road afety by upgrading and rehabilitating elected ection of the exiting Eat-Wet (M4) and North-South (M3) corridor and the Hajigabul-Bahramtapa Highway (M6) Revied Project Development Objective (PDO): No change Cumulative Target Value PDO Level Reult Unit of Baeline Frequency Data Source/ Data Indicator* Meaure Methodology Collection Tranit time from Alat to Minute Every year Technical Yenikend Report and ARS and Vehicle operating cot from % Road Data PIU Alat to Yenikend Bank Tranit time from Baku to Minute Shamakhi Vehicle operating cot from % Baku to Shamakhi Tranit time from Kurdamir Minute to Ujar Vehicle operating cot from % Kurdamir to Ujar Tranit time from Tagiyev Minute to Sahil Vehicle operating cot from % TBD TBD Tagiyev to Sahil Tranit time from Hajigabul Minute to Bahramtapa Vehicle operating cot from % Hajigabul to Bahramtapa Decline in the percentage of % Road afety road accident in the project data bank road Increaed travel frequencie % Beneficiary for villager in the urvey Hajigabul - Bahramtapa region
5 Average increae in % Beneficiary farmgate price of key urvey commoditie in Hajigabul - Bahraitapa region Intermediate Outcome Indicator (Component One) Number of km upgraded for km Every 6 Project ARS and Alat-Yenikend month Monitoring PIU Number of km rehabilitated km report for Baku-Shamakhi Number of km rehabilitated km for Kurdamir - Ujar Number of km rehabilitated km for Tagiyev - Sahil Number of km rehabilitated km for Hajigabul-Bahramtapa Number of km rehabilitated km for connecting road Road rehabilitated, non- km rural Road rehabilitated, rural km Intermediate Outcome Indicator (Component Two) Preparation of the revied Ye/No No Ye Every 6 Project ARS and Road law month Monitoring PIU Number of km of road data km report introduced in the RDB Number of people trained in Peron 3 10 it ue Development of Road Ye/No No Ye Safety Strategy Development of Road Ye/No No Ye Mater Plan
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