PLURIN ATIONAL STATE OF BOLIVIA 2014 International Development Association 1818 H Street, N.W. Washington, D.C. 20433 United States of America Re: IDA Credit No. 5461-BO (Improv:ng Employability and Labor Income of Youth Project) Section ..01 of the General Conditions Financial and Economic Data Dear Sirs and Mesdames: In connection with the Financiag Agreement (Financing Agreement) of this date between Plurinational State of Bolivia (Member Country) and International Development Association (Association) providing financing (Financing) for the above-captioned Project, and the General Ccnditions (General Conditions) made applicable to the Financing Agreement, I am Vriting on behalf of the Member Country to set forth the following: 1. We understand and agree that, for purposes of Section 5.01 of the General Conditions, the Member Couatry is required by the Association to report "long-term external debt" (as defined in the World Bank's Debtor Reporting System Manual, dated January 2000 (DRSM)), in accordance with the DRSM, and in particular, to notify the Association of new "loan com:nitments" (as defined in the DRSM) not later than 30 days after the end of the quarter during which the debt is incurred, and to notify the Association of transactions un der loans (as defined in the DRSM) once a year, not later than March 31 of the year follc wing the year covered by the report. 2. We represent that no defaults exist in respect of any external debt (as defined in the DRSM). It is our understanding that, in making the Financing, the Association may rely on the representations set 1orth or referred to in this letter. -2- 3. Please confirm your a,reement to the foregoing by having a duly authorized representative of the Association sign in the space provided below. Very truly yours, PLURINhATIONAL STATE OF BOLIVIA By Authorized Representative AGREED: INTERNATIONAL DEVELPMENT ASSOCIATION By hW Authorized Representaiive