DOCUMNMI The World Bank 1818 H Street N.W. (202) 473-1000 INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT Washington, D.C. 20433 Cable Address: INTBAFRAD INTERNATIONAL DEVELOPMENT ASSOCIATION U.S.A. Cable Address: INDEVAS 0XJV ,2013 H.E. Mr. Patrice Kitebi Kibol Delegated Minister of Finance Ministry of Finance Boulevard du 30 juin Commune de la Gombe Kinshasa 1, BP 12997 Democratic Republic of Congo Re: Democratic Republic of Congo: Advance Agreement for Preparation of Proposed Public Service Rejuvenation Project - Project Preparation Advance No. Q8500 Additional Instructions: Disbursement Excellency: I refer to the Advance Agreement ("Agreement") between the Democratic Republic of Congo ("Recipient") and the International Development Association ("World Bank") for the preparation of the above-referenced Project of even date herewith. The Agreement provides that the World Bank may issue additional instructions regarding the withdrawal of the proceeds of Project Preparation Advance No. Q8500 ("PPA"). This letter ("Disbursement Letter"), as revised from time to time, constitutes the additional instructions. The attached World Bank Disbursement Guidelines for Projects, dated May 1, 2006, ("Disbursement Guidelines") (Attachment 1), are an integral part of the Disbursement Letter. The manner in which the provisions in the Disbursement Guidelines apply to the PPA is specified below. Sections and subsections in parentheses below refer to the relevant sections and subsections in the Disbursement Guidelines and, unless otherwise defined in this letter, the capitalized terms used have the meanings ascribed to them in the Disbursement Guidelines. I. Disbursement Arrangements (i) Disbursement Methods (section 2). The following Disbursement Methods may be used under the PPA: * Reimbursement * Direct Payment * Special Commitment (ii) Disbursement Deadline Date (subsection 3.7). The Disbursement Deadline Date is the Refinancing Date specified in the Agreement. Any changes to this date will be notified by the World Bank. 2 II. Withdrawal of PPA Proceeds (i) Authorized Signatures (subsection 3.1). An authorized signatory letter in the Form attached (Attachment 2) should be furnished to the World Bank at the address indicated below providing the name(s) and specimen signature(s) of the official(s) authorized to sign Applications: The World Bank Boulevard Colonel Tshatshi, no. 49 Kinshasa-Gombe, Democratic Republic of Congo Attention: Mr. Eustache Ouayoro, Country Director (ii) Applications (subsections 3.2 - 3.3). Please provide completed and signed (a) applications for withdrawal, together with supporting documents, and (b) applications for special commitments, together with a copy of the commercial bank letter of credit,] to the address indicated below: The World Bank 4 Fricker Road IFC Building, Illovo 2196 Johannesburg, South Africa Attention: Loan Department (iii) Electronic Delivery (subsection 3.4) The World Bank may permit the Recipient to electronically deliver to the World Bank Applications (with supporting documents) through the World Bank's Client Connection, web-based portal. The option to deliver Applications to the World Bank by electronic means may be effected if: (a) the Recipient has designated in writing, pursuant to the terms of subparagraph (i) of this Section, its officials who are authorized to sign and deliver Applications and to receive secure identification devices ("Tokens") from the World Bank for the purpose of delivering such Applications by electronic means; and (b) all such officials designated by the Recipient have registered as users of Client Connection. If the World Bank agrees, the World Bank will provide the Recipient with Tokens for the designated officials. Following which, the designated officials may deliver Applications electronically by completing Form 2380, which is accessible through Client Connection (https://clientconnection.worldbank.or ). The Recipient may continue to exercise the option of preparing and delivering Applications in paper form. The World Bank reserves the right and may, in its sole discretion, temporarily or permanently disallow the electronic delivery of Applications by the Recipient. (iv) Terms and Conditions of Use of Tokens to Process Applications. By designating officials to accept Tokens and by choosing to deliver the Applications electronically, the Recipient confirms through the authorized signatory letter its agreement to: (a) abide by the Terms and Conditions of Use of Secure Identification Devices in connection with Use of Electronic Means to Process Applications and Supporting Documentation ("Terms and Conditions of Use of Tokens") provided in Attachment [3]; and (b) to deliver the Terms and Conditions of Use of Tokens to each such official and to cause such official to abide by those terms and conditions. (v) Minimum Value ofApplications (subsection 3.5). The Minimum Value of Applications is USD 50,000 (vi) Advances (sections 5 and 6). For the reason set forth in subsection 5.2 of the Disbursement Guidelines, the advancing of PPA proceeds into a designated account is not a Disbursement Method currently available under this PPA. Please send Applications only in support of the Disbursement Methods listed in subsection I (i) of this letter. III. Reporting on Use of PPA Proceeds 3 (i) Supporting Documentation (section 4). Supporting documentation should be provided with each application for withdrawal as set out below: * For requests for Reimbursement: o Records evidencing eligible expenditures (e.g., copies of receipts, supplier invoices) for payments against contracts of (a) goods valued at U$ 100,000 or more; (b) works valued at U$100,000 or more; (c) services for consulting firms valued at US$200,000 or more; and (d) services of individual consultants valued at US$50,000 or more; o Statement of Expenditure in the form attached (Attachment 4) for all other expenditures / contracts; and o List of payments against contracts that are subject to the Association's prior review, in the form attached (Attachment 5) * For requests for Direct Payment: records evidencing eligible expenditures, e.g., copies of receipts, supplier invoices IV. Other Important Information For additional information on disbursement arrangements, please refer to the Disbursement Handbook available on the World Bank's public website at https://www.worldbank.or2 and its secure website "Client Connection" at https://clientconnection.worldbank.orz. Print copies are available upon request. From the Client Connection website, you will be able to download Applications, monitor the near real-time status of the Grant, and retrieve related policy, financial, and procurement information. If you have any queries in relation to the above, please contact Aissatou Diallo, Senior Finance Officer at LOAAFR@worldbank.org using the above reference. Very truly yours, INTENATIONAL DEVE OPME OCIATION By Eustac ay Country Director for emocratic R u lic of Congo Africa Region Attachments e 1. World Bank Disbursement Guidelines for Projects, datedmtay 1, 2006 2. Form for Authorized Signatures 3. Terms and Conditions of Use ofSecure Id tification Devices in connection with Use of Electronic Means to Process Applic ons and Supporting Documentation, dated January 20, 2010 4. Form of Statement of enditure 5. Form of Paymen gainst Contracts Subject to the World Bank's Prior Review