OfFFICAL
DOCUMENTS
THE                                            Level 19, 14 Martin Place
CML Building
SWORLD                                            SYDNEY NSW 2000
BANK                                                     AUSTRALIA
O            THE                                           Telephone (61-2) 9223 7773
Fax (61-2) 9235 6593
February 19, 2013
Hon. Don Polye
Minister of Treasury
Ministry of Treasury
P.O. Box 542
Waigani N.C.D.
PAPUA NEW GUINEA
Papua New Guinea: Rural Communications Project (Credit No. 4791-PG)
Amendment to the Financing Agreement
Honorable Minister,
We refer to the Financing Agreement (the "Agreement") for the Papua New Guinea: Rural
Communications Project (the "Project") dated August 9, 2010, between the Independent State of
Papua New Guinea (the "Recipient") and the International Development Association (the
"Association"). We refer also to your letter dated August 29, 2012 requesting the Association to
make changes to the Agreement so as to reflect changes to the administration of the Recipient's
revenue laws.
We are pleased to inform you that the Association concurs with your request. Accordingly,
Section IV A.3 of Schedule 2 to the Agreement is amended to read as follows:
"3.    Pursuant to the Loans and Assistance (International Agencies) Act, Chapter No. 132 of
the Revised Laws of Papua New Guinea (the "Act"), and by this Agreement with the
Association, the Recipient confirms that any persons, income, matter or thing that is
directly engaged in and directly forms part of this Agreement with the Association, is
exempt from any tax, duty, or imposition under the revenue laws administered by the
Commissioner General of the Internal Revenue Commission and the Commissioner of
the Customs Department. If any change is made to the Act that will affect this
exemption from tax, duty or imposition under the project, the Recipient shall notify the
Association in writing."
Unless the context otherwise requires and except where otherwise defined in this
amendment letter, all capitalized terms contained herein shall have the meanings assigned to them
in the Agreement.
All terms of the Agreement not hereby amended shall remain in full force and effect.


Hon. Don Polye                           2                         February 19, 2013
Please confirm the Recipient's agreement to the foregoing by having an authorized
official of the Recipient sign and date the enclosed copy of this amendment letter, and returning
it to the Association.
This amendment letter shall become effective on the date of the Recipient's
countersignature.
Sincerely,
Franz R. Drees-Gross
Country Director
Timor-Leste, Papua New Guinea and
Pacific Islands
East Asia and Pacific Region
AGREED:
INDEPEND     T    ATE     PAPUA NEW GUINEA
By _                   7
AuthorizedtPepresentative
Name..
Title
Date     _    _    _      _


Hon. Don Polye                           -3-                 February 19, 2013
Cc:
Hon. Charles Abel, Minister for National Planning and District Development
Hon. James Marape, Minister for Finance
Dr. Peter Ga'allah Kora, Secretary for Department of National Planning and
Monitoring
Mr. Simon Tosali, Secretary for Treasury
Mr. Stephen Gibson, Secretary for Finance
Mr. Manasupe Zurenuoc, Chief Secretary to Government
Mr. Reichert Thanda, Acting First Assistant Secretary, Foreign Aid Division
Mrs. Linda Taman-Ako, Acting Assistant Secretary, Multilateral Branch
Mr. Martin Pomat, Senior Aid Coordinator, World Bank Desk
Mr. John Uware, FAS, Financial Management Division, Department of Treasury
Mr. Damien Horiambe, Assistant Secretary, Loans Execution Division, FMD,
Ms. Roselyn Irum, Acting Assistant Secretary, Accounting and Settlements, FMD
Ms. Lia Kenehe, Senior Financial Analyst- World Bank, FMD
Cleared with and bcc: Marjorie Mpundu, Country Lawyer, LEGES; TACT