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9                        LlL      -E
OAApril 2, 2013
Ref.: WB/CD/1 13/04/01/2013         DOCUMENTS
H.E. Ato Sufian Ahmed
Minister
Ministry of Finance and Economic Development
Addis Ababa
Dear Ato Sufian,
ETHIOPIA: Tana & Beles Integrated Water
Resources Development Project
Amendment No. 2 to the Financing Agreement (Credit No. 4457-ET)
We refer to the Financing Agreement (the Agreement) for the above-mentioned
Project, dated June 13, 2008, between the Federal Democratic Republic of Ethiopia (the
Recipient) and the International Development Association (the Association) and to the first
amendment to the Agreement dated November 9, 2011, (the Amendment No. 1). We also
refer to your letter dated November 30, 2012, requesting specific amendments to the
Agreement.
The Association accedes to your request and proposes to amend the Agreement as
set forth in this amendment letter (the Amendment).
1.    Schedule 1 to the Agreement is amended as follows:
(a) The Project development objective is amended to read as follows:
"The objective of the Project is to develop enabling institutions and
investments for integrated planning, management, and development in the
Tana and Beles Sub-basins."
(b) Part C of the Project Description is amended to read as follows:
"Part C:     Growth-Oriented Investment Preparation
Support the development of the growth zone of the Tana and Beles Sub-
basins through technical assistance, surveys, studies and associated
analytical works, provision of equipment, and training."
2.     The higher level result indicators of Section II A. 1.b of Schedule 2 to the
Agreement as revised in Amendment no.1 are deleted and shall read as follows:
"(i)   Tana and Beles Sub basin organizations are sufficiently equipped with
knowledge base and analytical tools for integrated water resources planning
and management TaSBO and BeSBO have been established and are fully
operational.


H.E. Ato Suflan Ahmed                 2                         April 2, 2013
(ii)  Direct project beneficiaries (number) of which female (percentage).
(iii)  Initial integrated basin management plans for Tana and Beles sub-basins
developed and discussed by key stakeholders (regional bureaus and
authorities, Basin organizations, civil society organizations and community
representatives).
(iv)  At least 80,000 hectares of vulnerable Tana Sub-basin micro-watersheds
have been rehabilitated and sustainable land management practices
introduced.
(v)   Soil erosion monitoring and evaluation system developed and monitoring
network in place.
(vi)  Flood management plans for Part B.2 of the Project have been adopted by
Relevant Institutions and targeted communities around Lake Tana."
All other provisions of the Agreement, except as herein amended, shall remain in
full force and effect.
Please confirm your agreement with the foregoing, on behalf of the Recipient, by
countersigning and dating the form of confirmation on the two letters provided and
returning one original countersigned letter to us. Upon receipt by the Association of this
letter countersigned by the Recipient, this Amendment will become effective as of the date
of its countersignature.
Sincerely,
INTERNATIONAL DEVELOPMENT ASSOCIATION
Guang Z. Chen
Country Director for Ethiopia
Africa Region
AGREED:
THE FEDERAL DEMOCRATIC REPUBLIC OF ETHIOPIA
By:         O_/                        ofEthiop
Authorized Representative  /
Name:                                      /
Title:      state
Date:   T      P     I
T2 AP  20/