On the ratification of the Loan Agreement (Road Transport Industry Restructuring Project) between the Republic of Kazakhstan and the International Bank for Reconstruction and Development

Law of the Republic of Kazakhstan dated July 20, 1999 No. 446-I

    To ratify the Loan Agreement (Road Construction Restructuring Project-

transport industry) between the Republic of Kazakhstan and the International Bank of  

Reconstruction and Development committed in the District of Columbia, United States  

America, April 16, 1999.    

       President

  Republic of Kazakhstan  

                                                       Loan number 4437 KZ    

                         Loan agreement  

         (Road Transport Industry Restructuring project)  

                   between the Republic of Kazakhstan and  

            By the International Bank for Reconstruction and Development      

                        dated April 16, 1999  

    Considering that

         (A) The Borrower, having ascertained the feasibility and priority of the Project described in Annex 2 to this Agreement, has requested the Bank's assistance in financing the Project; and        Whereas (C) The Bank has agreed, on the basis of, inter alia, the above, to provide a loan to the Borrower on the terms and conditions set forth in this Agreement;        Based on the above, the Parties agree on the following:    

                               Article 1

                          General Terms and Conditions; Definitions Section 1.01 "General Terms and Conditions Applicable to Loan Agreements and Loan Guarantees in the Single Currency" of the Bank dated May 30, 1995 (as amended until December 2, 1997) (General Terms and Conditions) are an integral part of this Agreement.                                   Section 1.02, except where otherwise implied in the context, some of the terms defined in the General Terms and Conditions and the Introductory Part to this Agreement have the relevant meanings set out here, and the following additional terms have the following meanings: (a) "IPM" means the Investment Project Management established by the Borrower as part of the RGDP and includes any of its assignees or assignees; (b) "DAD" means the Department of Highways of the Borrower as part of the ITC and includes any of its assignees or assignees;        (c) "DADT" means the Department of Road Transport of the Borrower within the MTK and also includes any of its successors or successors; (d) "MF" means the Ministry of Finance of the Borrower and also includes any of its successors or successors; (e) "MTK" means the Ministry of Transport and Communications of the Borrower and includes any of its successors or successors (f) "GOP" means the Project Implementation Group referred to in paragraph 2 of Annex 5 to this Agreement.;        (g) "Project Preparation Loan" means a project preparation loan provided by the Bank to the Borrower pursuant to an exchange of letters signed by the Bank on September 27, 1996 and signed by the Borrower on November 18, 1996 and an exchange of letters signed by the Bank on September 23, 1998 and signed by the Borrower on December 23, 1998; (h) "RGPD" means the Republican State Enterprise of the Borrower's Roads and includes any of its legal successors or assigns;        (i) "Special Account" means the account referred to in Section 2.02 (b) of this Agreement; (j) "WG" means the Working Group referred to in paragraph 3 of Annex 5 to this Agreement, it includes any of its successor or successors.    

                               Article II

                                 Loan

                                  Section 2.01 The Bank agrees to provide the Borrower with an amount equal to one hundred million US dollars (100,000,000 US dollars) on the terms and conditions set forth or referred to in the Loan Agreement.                                    Section 2.02 (a) The loan amount may be withdrawn from the loan account in accordance with the provisions of Annex 1 to this Loan Agreement for expenses incurred (or, with the consent of the Bank, for upcoming expenses) for goods, works and services necessary for the implementation of the project described in Annex 2 to this Agreement, which will be financed from borrowed funds, and the same applies to interest and other loan payments.        (b) For the purposes of the Project, the Borrower may open and maintain a special deposit account in US dollars with a commercial bank acceptable to the Bank, on terms and conditions acceptable to the Bank, including appropriate protection against offsetting, seizure of property or its retention for debts. Deposits to and payments from a special account are made in accordance with the provisions of Annex 6 to this Agreement.        (c) Immediately after the start date of the loan placement, the Bank, on behalf of the Borrower, withdraws from the loan account and pays itself the amount necessary to repay the principal amount of the project preparation loan withdrawn and unpaid by a certain date and to pay all unpaid fees on it. After that, the outstanding balance of the authorized loan amount for the preparation of the project is canceled.                                   Section 2.03 The closing date is December 31, 2004 or a later date, which is set by the Bank. The Bank immediately notifies the Borrower of this later date.                                   Section 2.04 The Borrower pays a commission fee to the Bank in the amount equal to one percent (1%) of the Loan amount. On the day of the beginning of the loan placement or immediately after it, the Bank, on behalf of the Borrower, withdraws from the loan account and pays itself the amount of the aforementioned fee.                                   Section 2.05 The Borrower pays the Bank a commission for the obligation to provide a loan at a rate of three quarters of one percent (3/4 of 1%) per year on the principal amount of the Loan, which is not withdrawn periodically.                                   Section 2.06 (a) The borrower pays interest on the principal amount of the loan, which is periodically withdrawn and unpaid at a rate for each interest period equal to the Base London Interbank Rate for Short-term loans denominated in Euro currency plus the difference from the London Interbank Rate.        (b) In this section: (i) "Interest period" means the initial period from the date of entry into force of this Agreement to, but not including, the first date of interest payment, and after the initial period, each period from, but not including, the date of interest payment to the next date of interest payment.        (ii) "Interest Payment Date" means any date specified in section 2.07 of this Agreement.        (iii) "Base Rate of the London Interbank Market for Foreign Exchange Transactions" for each interest period means the rate offered by the London Interbank Market for Foreign Exchange Transactions on semi-annual deposits in US dollars, as estimated on the first day of a certain interest period (or, in the case of the initial interest period, as estimated on the day of interest payment or on the day of, preceding the first day of a certain percentage period) and set by the Bank, and expressed as annual interest payments.        (iv) "The difference between the London Interbank Market interest rates" for each interest period means: (A) three-quarters of one percent (3/4 of 1%); (B) minus (or plus) the weighted average margin for a certain percentage period below (or above) the rates offered by the London Interbank Foreign Exchange Market or other control rates on semi-annual deposits in respect of unpaid bank loans, or their shares distributed by the Bank to finance loans in the single currency, or their shares including the loan; established by the Bank and expressed as annual interest payments.        (c) The Bank must inform the Borrower of the London Interbank Market Base Rate and the Difference between the London Interbank Market rates for each interest period as soon as they are determined.        (d) Whenever, in the light of changes in market practices affecting the determination of interest rates referred to in this Section 2.06, the Bank determines that it is in the interests of its borrowers as a whole and the Bank to apply a different basis for determining the interest rates applicable to the loan than that provided in the above-mentioned section. The Bank may change the basis for determining the interest rates applicable to the loan by notifying the Borrower of the new basis no later than six (6) months in advance. The basis becomes valid upon the expiration of the notice period, if the Borrower has not notified the bank within the aforementioned period of time of his objection to such a basis, then the aforementioned amendment does not apply to the loan.                                    Section 2.07 Interest and other fees are payable semi-annually on March 15 and September 15 of each year.                                    Section 2.08 The Borrower repays the principal amount of the loan in accordance with the installment repayment schedule set out in Appendix 3 to this Agreement.                                    

Article III Project Execution Section 3.01 (a) The Borrower declares its obligations under the Project objectives set out in Annex 2 to this Agreement and effectively implements Parts A, B, C and E of the Project through the IP and GOP and Part D of the Project through the WG, with appropriate administrative, financial, engineering, related environmental protection and technical practices and, as needed, provides facilities, facilities, services and other resources necessary for the Project.        (b) Without prejudice to the provisions of paragraph (a) of this section and, except in cases where the Borrower and the Bank have reached a different agreement, the Borrower implements the Project and executes Parts A, B and C of the Project through the IP and GOP, Part D of the Project through the WG in accordance with the Implementation Program set out in the Annex 5 to this Agreement.                                 Section 3.02, except in cases where the Bank decides otherwise, the purchase of goods, provision of works and services of consultants necessary for the Project and financed from the loan funds, are governed by the provisions of Annex 4 to this Agreement.                                 Section 3.03 For the purposes of Section 9.08 of the General Terms and Conditions and without limitation, the Borrower: (a) prepares, on the basis of rules acceptable to the Bank and submits to the Bank no later than six (6) months after the closing date or a later date that may be agreed for this purpose between the Borrower and the Bank, a plan designed to ensure the stable fulfillment of the Project objectives; and (b) provides the Bank with the opportunity to exchange views with the borrower on the aforementioned plan.                                 Section 3.04 The borrower shall take all necessary measures to ensure the satisfactory maintenance of its state, interstate and regional (regional) road network, including ensuring adequate financing, and shall spend on the maintenance and reconstruction of its state interstate road network funds amounting to at least 100,000,000 in US dollars in calendar year 1999, at least 125,000,000 in 2000 in the calendar year and at least 150,000,000 in the calendar year 2001 and in each subsequent one.                                  Section 3.05 The Borrower must: (a) review, by March 31, 2000, the terms of reference acceptable to the Bank, its system of charges for road users and discuss with the Bank the results of this analysis; and (b) gradually increase charges for truck and bus owners so that by September 30, 2000, the sum of all such charges is, At least 75 percent of the cost of using roads was attributed to car and bus owners, and by September 30, 2002, 100 percent of such costs.                                  

Article IV                     Terms of the Agreement obliging the Borrower to maintain certain financial indicators Section 4.01 (a) The Borrower maintains or ensures the maintenance of a financial management system, including accounting documents and accounts, and prepares financial statements in a form acceptable to the Bank that meets the requirements for reflecting transactions, funds and expenses related to the Project.        (b) The Borrower: (i) maintains the accounting documents, accounts and prepares the financial statements referred to in paragraph (a) of this section and the accounting documents and accounts for a special account for each financial year, which has been audited in accordance with relevant auditing standards acceptable to the Bank, regularly applied by independent auditors, acceptable for the Bank;        (ii) submit to the Bank, as early as possible, but in any case, no later than six months after the end of each such year: (A) certified copies of the financial statements referred to in paragraph (a) of this section for each such year, the analysis of which has been conducted and (C) an opinion on such reports, accounting (iii) provide the Bank with any other information related to such accounting documents and accounts and a report on such audit conducted by the aforementioned auditors, to the extent and in such detail as the Bank reasonably requests and (iii) provide the Bank with any other information related to such accounting documents and accounts, their audit and the aforementioned auditors, which the Bank periodically reasonably requests.        (c) For all expenses for which funds have been withdrawn from the loan account based on expense reports, the Borrower: (i) maintains or ensures the maintenance, in accordance with paragraph (a) of this section, of accounting documents and special accounts reflecting such expenses;        (ii) stores, for at least one year after the Bank receives the audit report for the financial year in which the last withdrawal of funds from the loan account was made, all accounting documents (contracts, orders, invoices, invoices, receipts and other documents) confirming such expenses; (iii) creates conditions for examination of accounting documents by representatives of the Bank; and (iv) ensures that these accounting documents and accounts are included in the annual audit referred to in paragraph (b) of this section and that the audit report contains a special opinion issued by the aforementioned auditors on whether it is possible to ensure withdrawal of funds from the account based on expense reports submitted during the financial year; procedures and internal controls in their preparation.    

Article V

                       Effective date of the Agreement; termination of the agreement Section 5.01        The following cases are defined as additional conditions for the entry into force of the loan agreement within the meaning of Section 12.01 (c) of the General Terms and Conditions: (a) the financial management system referred to in section 4.01 (a) of this Agreement has been established in the GOP;        (b) the auditors referred to in section 4.01 (b) (i) of this Agreement are appointed to conduct the audit for the first fiscal year during the implementation of the Project in accordance with Section 4.01 (b)(i) this Agreement; and (c) the GOVP is established in accordance with paragraph 2 of Annex 5 to this Agreement.                                  Section 5.02 For the purposes of Section 12.04 of the General Terms and Conditions is hereby established  

the date coming ninety (90) days after the date of this

Agreements.

                            Article VI

                   Representatives of the Borrower; Addresses

                            Section 6.01

    The Borrower's Minister, who is also responsible for finance, is appointed  

as a representative of the Borrower for the purposes of Section 11.03 of the General Terms and Conditions.

                            Section 6.02

    For the purposes of section 11.01 of the General Terms and Conditions, the following addresses are indicated:

    Borrower's address:

Ministry of Finance Ministry of Finance

60 Republic Avenue 60 Republic Avenue

473000, Astana 473000, Astana

Republic of Kazakhstan Republic of Kazakhstan

Cable address: Telegraphic address:

Telex 264126 (FILIN) Telex: 264126 (FILIN)

Bank address:

International Bank for Reconstruction International Bank

and Development of Reconstruction and Development

1818 H Street, N.W. 1818 H Street, Northwest

Washington, D.S. 20433                       Washington, DC 20433

United States of Amerika                     United States of America

Cable address: Telegraphic address:

  INTBAFRAD                                    INTBAFRAD

  Washington, D.C. Washington, D.C.

Telex: 248423 (MCI) or Telex:248423 (MCI) or

      64145 (MCI)                                  64145 (MCI)

        In witness whereof, the parties to this Agreement, acting through their duly authorized representatives, have secured the signing of this Agreement on their behalf in the District of Columbia, United States of America, on the above-mentioned date and year.                                 Appendix 1  

                      Withdrawal of borrowed funds

    1. The table below shows the categories of articles,  

financed from borrowed funds, the distribution of borrowed amounts for each  

categories and expressed as a percentage of expenses for Items in each category,  

to be financed.                      

________________________________________________________________________

   Category !  The loan amount that ! Funded Expenses in % !

                  !deducted (Expressed!                           !

                  !in US Dollars )       !                           !

-----------------------------------------------------------------------!

(1) Engineering-

construction work 70 %

(a) According To Part 61,800,000  

  A. 1 of the Project          

                          13,200,000

(b) According To Part

  A. 2 Projects

------------------------------------------------------------------------

(2) Consulting services, 5,400,000 100 %                  

including training and travel

for the purpose of learning

------------------------------------------------------------------------

(3) Products

(a) According To The 5,200,000 Part, 100% of the foreign expenses,

    The project is 100 % local expenses

(b) According to Parts 1,400,000 (Production invoices

 C,E and F Project costs) and 80% local

expenses for other items,

                                            purchases for which              

                                            are carried out within the limits of      

                                            this area

------------------------------------------------------------------------

(4) Additional 1,100,000 100 %

Operational

GOP costs

------------------------------------------------------------------------

(5) Refinancing of 1,100,000 Amounts due under

Loans under Section 2.02 (c) of this

Project Preparation                           Agreements

-------------------------------------------------------------------------

(6) Commission Fee 1,000,000 The amount due according to

                                            Section 2.04 of this

                                            Agreements

--------------------------------------------------------------------------

(7) 9,800,000 Undistributed

--------------------------------------------------------------------------

Total 100,000,000

___________________________________________________________________________    

    2. For the purposes of this Application:                            

        (a) the term "foreign expenses" means expenses in the currency of any country other than the currency of the Borrower's country for goods or services supplied or provided from the territory of any country other than the Borrower's country; (b) the term "local expenses" means expenses in the currency of the Borrower or for goods or services supplied or services provided from the Borrower's territory; and (c) the term "Additional operating costs" means additional operating costs incurred by the GOP in connection with the implementation of the Project, costs related to management, ongoing control and supervision, including the cost of renting office space, equipment and materials, utilities, their repair and maintenance, communications, travel expenses, audit the accounts of the Project and the work of the GOP consultants, with the exception of the salaries of the Borrower's officials.        3. Regardless of the provisions of paragraph 1 above, withdrawals will not be made for expenses: (a) prior to the effective date of this Agreement; (b) in Category (1)(b) unless the Borrower has developed economic, technical, environmental, and operational data and information acceptable to the Bank with respect to reconstruction works in accordance with Part A.2 of the Project in accordance with paragraph 6 of Annex 5 to this Agreement; and (c) under Category (3)(a), if the Borrower has not established systems, procedures, and technical standards acceptable to the Bank for programming, contracting, and performing maintenance and routine maintenance work on the Almaty-Karaganda highway in accordance with paragraph 4 of Annex 5. to this Agreement and equipment rental in agreement with the Bank.        4. The Bank may require withdrawal of funds from a loan account based on expense reports for: (a) goods under contracts whose value in terms of US dollars is less than 200,000; (b) services under contracts whose value in terms of US dollars is less than 100,000 - in the case of companies and contracts whose value in terms of US dollars is less than 50,000 - in the case of individuals.; and (c) additional operating costs of the GOP - in accordance with such terms and conditions as the Bank notifies the Borrower about.                                  

Appendix 2                              Project Description The aim of the Project is to assist the Borrower in the development of more efficiently functioning subsectors - road and road transport in Kazakhstan.        The project consists of the following parts, subject to periodic changes by agreement of the Borrower and the Bank to achieve the following objectives: Part A: Reconstruction of State roads       

1. Reconstruction of a number of individual sections of the state road network, the total length of which is about 500 kilometers, including strengthening and reconstruction of road surfaces, bringing individual road sections into line with generally accepted width standards, some limited improvements in road geometry to ensure safety, improvement of drainage properties and repair of culverts and reconstruction or replacement of bridges.        2. Reconstruction of a number of individual sections of the state road network  

between the cities of Karaganda and Astana, the total length of which is  

about 500 kilometers, including road surface hardening and reconstruction,  

bringing individual road sections in line with generally accepted standards  

width standards, some limited geometry improvements  

roads to ensure safety, improve drainage properties and repair  

culverts and reconstruction or replacement of bridges and construction  

detours.

    3. Provision of services:

    in the field of engineering developments;

    related to procurement; and

    consulting services

    and training on the reconstruction of state roads and supervision of  

construction work on roads.

           Part B: Improving everyday technical

                    maintenance and routine repairs

 Enhance the functionality of Kazakhstani enterprises in road maintenance and routine maintenance by providing equipment and spare parts to improve day-to-day maintenance and routine repairs.                     Part C: Institutional strengthening        Sustainable improvement of the institutional capacities of key government organizations in the road subsector through the following activities: (a) introduction of planning, budgeting and monitoring methods for the state and regional road network based on an objective assessment of the condition of roads and an economic analysis of alternative solutions, as well as the training of MTK personnel and local specialists in these methods and the technical support for the preparation of state and regional (regional) budgets in 2001; (b) the introduction of methods of supervision of road works performed under contracts related to the state and regional road network, as well as the training of MTK personnel and local specialists in these methods; (c) preparation of training programs for Kazakhstani contractors on issues such as preparation for bidding, contract execution control, cost control, management and quality control;        (d) enhancing the ITC's training capabilities on the three above-mentioned issues; and (e) providing consultations, training, study trips, and equipment for monitoring road conditions, traffic, data processing, field testing, and laboratory and office use.                 Part D: Road transport legislation, regulations and policies Developing a modern legal transport system and improving the regime governing the road subsector, as well as ensuring it through: (a) improving and developing laws and regulations on roads and road transport, for example, regulations on the size and weight of vehicles, transport for international freight transport, rules of the road, standards of vehicle suitability and emissions into the atmosphere and operation of bus routes - long-distance and rural transport, as well as the gradual abolition (where applicable) of outdated or contradictory provisions; (b) improving law enforcement activities by clarifying and better coordinating the enforcement functions of institutions, eliminating duplication and ineffective control, strengthening institutions and better informing the public; (c) improving data collection and processing systems for the road transport subsector and monitoring its development;        (d) the development of a more competitive market for intercity and rural passenger transport services, including the establishment of independent bus stations; and (e) consultations and training.                Part E: Improving road safety        Improving road safety includes the following: (a) the establishment of an interim road safety group and the preparation of a preliminary state road safety plan and similar plans in the field, which outline the main features of the national road safety policy, the main actions to be taken in the coming years; the definition of tasks for monitoring;        (b) improving the collection and processing of data on road accidents and their dissemination (including improving methods for identifying and analyzing high-risk road sections); (c) intensifying the study of road safety issues in Kazakhstan, including assisting local specialists in conducting detailed economic assessments of road accidents using the latest international standards methods and assistance in establishing communication between Kazakhstani and international institutions on road safety issues;        (d) Improving the provision of road safety rules and regulations by the competent authorities, including the provision of appropriate equipment for carrying out such activities;        (e) Raising awareness of road safety issues among youth and the general public, promoting the practice of better driving behavior and safe driving, including, but not limited to, campaigns to promote safe driving, dissemination of related materials, road safety education in schools, and training of instructors and teachers on Such security;        (f) an analysis of the status of available and the possibility of providing additional medical and other equipment (air ambulances, roadside ambulance telephones) necessary in the event of road accidents; and (g) consultations, training, study trips, and the provision of data collection, processing, and service equipment. use.                        Part F: Project Management Enhancing the GOP's Project management capabilities by conducting  

consultations, including audit services, provision of office services  

premises, office equipment and materials, utilities,  

repair work and maintenance, advertising and propaganda    

activities, communication, training, travel, and any other goods and services,  

necessary for the work of the GOP.

    The project is expected to be completed by December 31, 2003.

                            Appendix 3

               Loan repayment schedule in installments

______________________________________________________________________

Stipulated Payment Deadline ! Payment of the Principal Amount (in US dollars)*!

---------------------------------------------------------------------!

September 15, 2004 2,120,000

March 15, 2005 2,185,000

September 15, 2005 2,245,000

March 15, 2006 2,315,000

September 15, 2006 2,380,000

March 15, 2007 2,455,000

September 15, 2007 2,525,000

March 15, 2008 2,600,000

September 15, 2008 2,675,000

March 15, 2009 2,755,000

September 15, 2009 2,835,000

March 15, 2010 2,920,000

September 15, 2010 3,005,000

March 15, 2011 3,095,000

September 15, 2011 3,185,000

March 15, 2012 3,280,000

September 15, 2012 3,375,000

March 15, 2013 3,475,000

September 15, 2013 3,575,000

March 15, 2014 3,680,000

September 15, 2014 3,790,000

March 15, 2015 3,900,000

September 15, 2015 4,015,000

March 15, 2016 4,135,000

September 15, 2016 4,255,000

March 15, 2017 4,380,000

September 15, 2017 4,510,000

March 15, 2018 4,465,000

September 15, 2018 4,780,000

March 15, 2019 4,915,000

_________________________________________________________________________    

    * The numbers in this column represent the dollar amount to be paid  

repayment, except as provided in Section 4.04 (d) of the General Terms and Conditions.    

                              Appendix 4

                     Procurement and consulting services

                               Section 1

                    Purchase of goods and provision of works

                               Part A      

                           General provisions

        The goods are purchased and the work is provided in accordance with the provisions of Section 1 of the IBRD and IDA Loan Procurement Rules, published by the Bank in January 1995 and revised in January and August 1996 and September 1997 (Rules) and the following provisions of this Section.                                   Part B of International Competitive Bidding 1. Except as otherwise provided in Part C of this Section, goods are procured and work is provided under contracts concluded in accordance with the provisions of Section II of the Rules and paragraph 5 of Annex 1 thereto.        2. The following provisions apply to goods and works procured and provided under contracts concluded in accordance with the provisions of paragraph 1 of this Part B.        (a) Revaluation        The cost of engineering and construction works, which amounts to 5,000,000 US dollars or more, will be subject to revaluation in accordance with the provisions of paragraphs 2.9 and 2.10 of the Rules. (b) Allocation of contracts by groups        As far as possible, contracts for engineering and construction  

the works will be distributed according to the packages of the offered prices, the cost of each of them  

which, according to estimates in terms of US dollars, is 4,000,000  

or more.

    (c) Preference for goods produced in a given country

    The provisions of paragraphs 2.54 and 2.55 of the Rules and Annex 2 shall apply to them.  

for goods produced on the territory of the Borrower.

    (d) Notification and advertisement

    An invitation to reassess or price each contract,  

the cost of which, according to estimates in terms of US dollars, is  

10,000,000 or more, declared in accordance with the procedures applicable  

for large contracts according to clause 2.8 of the Rules.

                              Part C

Other procurement procedures

                       1. International procurement

        Goods with a value of less than 200,000 in terms of US dollars per contract and not exceeding 1,000,000 may be purchased under contracts concluded on the basis of international procurement procedures in accordance with the provisions of paragraphs 3.5 and 3.6 of the Rules. 2. National procurement        Goods whose estimated value in terms of US dollars is from less than 75,000 per contract and does not exceed 350,000 may be purchased under contracts concluded on the basis of national procurement procedures in accordance with the provisions of paragraphs 3.5 and 3.6 of the Rules.    

                                  Part D  

                      Review of procurement decisions by the Bank 1. Procurement planning        Before issuing invitations to re-evaluate tenders or assign prices for contracts, the proposed procurement plan for the Project is submitted to the Bank for consideration and approval in accordance with the provisions of paragraph 1 of Annex 1 to the Rules. All goods and services are procured in accordance with the procurement plan approved by the Bank and the provisions of paragraph 1.2 above. Preliminary review (a) For each contract acquired pursuant to Part B. 1 of this Section, the procedures set out in paragraphs 2 and 3 of Annex 1 to the Rules shall apply.        (b) With respect to each contract acquired in Parts  

C. 1 and C. 2 of this Section, the following procedures apply:

    (i) before selecting any supplier, the Borrower submits a report to the Bank  

about the comparison and evaluation of the received offers;

    (ii) prior to the execution of any contract, the Borrower submits to the Bank  

a copy of the specifications and draft contract; and

    (iii) the procedures set out in paragraphs 2 (f) and 2 (g) and 3 shall apply

Appendices 1 to the Rules.

                               Section II

                          Hiring consultants

                               Part A

                           General provisions

        Consultant services are purchased in accordance with the provisions of the Introductory Part and Section IV of the "Rules: Selection and Hiring of Consultants by Borrowers of the World Bank", published by the Bank in January 1997 and revised in September 1997 (Consultant Rules) and the following provisions of Section II of this Annex.    

                               Part B

                  Selection based on quality and cost, except where otherwise provided in Part C of this Section, consultant services are purchased under contracts concluded in accordance with the provisions of Section II of the Consultant Rules, paragraph 3 of Annex 1 thereto, Annex 2 thereto and the provisions of paragraphs 3.13 to 3.18 inclusive, applicable to select consultants based on quality and cost.                                   Part C 1. Other procedures for selecting consultants 1. Selection based on the qualifications of consultants        Services that are estimated to cost less than 100,000 US dollars in terms of US dollars may be purchased under contracts concluded in accordance with the provisions of paragraphs 3.1 and 3.7 of the Consultant Rules.                           2. Private consultants Task-solving services that meet the requirements set out in paragraph 5.1 of the Consultant Rules are purchased under contracts concluded with private consultants in accordance with the provisions of paragraphs 5.1 to 5.3 inclusive of the Consultant Rules.    

                               Part D

 The Bank's review of the selection of consultants 1. Selection planning        Before contacting the consultants with any request for proposals, the proposed consultant selection plan, according to the Draft, is submitted to the Bank for its consideration and approval in accordance with the provisions of paragraph 1 of Annex 1 to the Rules on Consultants. All consultant services are selected in accordance with the selection plan approved by the Bank and the provisions of the above-mentioned paragraph 1.2. Preliminary review (a) With respect to each contract, the procedures set out in paragraphs 1, 2 (other than the third subparagraph of paragraph 2 (a)) and 5 of Annex 1 to the Consultant Rules apply to the hiring of consulting companies.        (b) For each contract, information on qualifications, length of service, terms of reference and conditions of employment of consultants is submitted to the Bank for preliminary review and approval. The contract is concluded only after the aforementioned approval is given.                                    Appendix 5                             Implementation program 1. The Borrower: (a) implements a strategy and adheres to procedures that, accordingly, enable him to carry out ongoing monitoring and evaluation, in accordance with indicators acceptable to the Bank, the implementation of the Project and the achievement of his goals.;        (b) prepare, in accordance with the terms of reference acceptable to the Bank, and submit to the Bank on or about January 31, 2001, a report consolidating the results of the ongoing monitoring and evaluation work carried out in accordance with paragraph (a) of this Section on the results achieved in the implementation of the Project during the period preceding the date the above-mentioned report, and setting out recommended measures to ensure the successful implementation of the Project and the achievement of goals within the time period following such date.; and (c) review with the Bank, by March 31, 2001 or later, at the request of the Bank, the report referred to in subparagraph (b) of this paragraph and thereafter take all necessary measures to ensure the successful completion of the Project and the achievement of its objectives, based on the conclusions and recommendations of the aforementioned report and the opinion of the Bank on the issue.        2. The Borrower, through the RGPA, creates a Project Implementation Group and, until the completion of the Project, retains it as part of the IPM to coordinate all Project activities and ensure the continuous functioning of the GOP, thus, and in such composition, with such an organization, systems, including a financial management and control system, funds, facilities and other resources, which are acceptable to the Bank. For each calendar year during the implementation of the Project, the GOP prepares an annual estimate of estimated expenses for the coming year, acceptable to the Bank.        3. The Borrower creates and maintains a working group, including representatives of the DADT, the MTK Transport Inspectorate and the MTK Legal Department, until the completion of the Project to coordinate activities in accordance with Part D of the Project and ensures the continuous functioning of the WG, thus, and in such composition, with funds, facilities and other resources that are acceptable to the Bank.        4. By December 31, 1999, the Borrower develops, adopts and introduces systems, procedures and technical standards acceptable to the Bank for programming, contracting and carrying out day-to-day and winter maintenance and routine repairs of the Almaty-Karaganda highway.        5. The Borrower provides for the construction of any new sections, if necessary for the reconstruction of roads according to the Project and is carried out in accordance with the Bank's acceptable strategy regarding environmental protection and resettlement, in a manner acceptable to the Bank.        6. Prior to the completion of Part A. 2 of the Project, the borrower develops economic, technical, environmental and operational data and information in accordance with the limits of competence and in the scope and details acceptable to the Bank regarding the reconstruction in accordance with Part A. 2 of the Project.                                 Appendix 6 Special Account 1. For the purposes of this Annex: (a) the term "acceptable categories" means Categories (1), (2), (3) and (4) listed in the table in paragraph 1 of Annex 1 to this Agreement;        (b) the term "eligible expenses" means expenses related to the acceptable cost of goods and services required for the Project and financed from borrowed funds, periodically allocated to eligible Categories in accordance with the provisions of Annex 1 to this Agreement; and (c) the term "Authorized Contribution" means the amount of 7,000,000 US dollars that is withdrawn from the loan account and deposited in a special account in accordance with paragraph 3 (a) of this Annex, however, provided that, unless the Bank decides otherwise - The permitted deduction will be limited to the amount of 3,500,000 in US dollars until the total amount of funds withdrawn from the loan account plus the total amount outstanding for all obligations assumed by the Bank in accordance with Section 5.02 of the General Terms and Conditions is equal to or exceeds the amount calculated in for US dollars amounting to 14,000,000. 2. Payments from the special account are made exclusively in respect of eligible expenses in accordance with the provisions of this Annex.        3. After the Bank receives acceptable confirmation that the special account is properly opened, withdrawals of the authorized deduction amounts and subsequent withdrawals to replenish the special account are made as follows: (a) In order to withdraw funds from the authorized deduction, the Borrower submits to the Bank a request or requests for depositing in the special account the amount or amounts that do not exceed the total amount of the allowed deduction. Based on such request or requests, the Bank, on behalf of the Borrower, withdraws from the loan account and deposits in the special account such amount or amounts as the Borrower has requested. (b) (i) In order to replenish the special account, the Borrower submits requests for deposits in the special account to the Bank as regularly as determined By the bank.        (ii) Prior to or at the time of each such request, the Borrower submits to the Bank the documents and other confirmation required under paragraph 4 of this Annex of the payment or payments for which replenishment is requested. On the basis of each such request, the Bank, on behalf of the Borrower, withdraws from the loan account and deposits in a special account the amount that the Borrower has requested and which is indicated in the above-mentioned documents and other confirmation, to be paid from the special account in respect of eligible expenses. All such deposits are withdrawn by the Bank from the loan account in acceptable categories in appropriate equivalent amounts, as justified by the above-mentioned documents and other confirmations.        4. For each payment made by the Borrower from a special account, the Borrower, within the time limits requested by the Bank, submits to the Bank such documents and confirmations showing that such payment was made solely at acceptable costs.        5. Notwithstanding the provisions of paragraph 3 of this Annex, the Bank may not make further deposits in a special account: (a) if the Bank determines at any time that subsequent withdrawals must be made in full by the Borrower directly from the loan account in accordance with the provisions of Article V of the General Terms and Conditions and paragraph (a) of Section 2.02 of this Agreement;        (b) if the Borrower has not submitted to the Bank, within the time period specified in Section 4.01 (b) (ii) of this Agreement, any of the audit reports required to be submitted to the Bank in accordance with the aforementioned Section regarding the audit of accounting documents and special account accounts; (c) if the Bank at any time notifies the Borrower of its intention to suspend, in whole or in part, the Borrower's right to withdraw funds from the loan account in accordance with the provisions of Section 6.02 of the General Terms and Conditions; or (d) as soon as the outstanding Loan amount in the aggregate, deductible in eligible categories minus the total amount not declared for payment for all special obligations assumed by the Bank in accordance with Section 5.02 of the General Terms and Conditions for the Project, becomes equal to double the amount of the authorized deduction. After the withdrawal of the remaining outstanding loan amount from the loan account, which is deducted in acceptable categories, the procedures that the Bank defines in the notification to the Borrower follow. Further withdrawals are made only after that and in the amount that meets the Bank's requirements, so that all such amounts remaining in a special account on the date of such notification will be used to make payments for acceptable expenses.        6. (a) If the Bank determines at any time that any payment from the Special Account: (i) has been made for expenses or in an amount unacceptable for paragraph 2 of this Annex; or (ii) is not justified by the confirmation provided to the Bank, the Borrower immediately upon receipt of the Bank's notification: (A) submits such additional confirmation as the Bank may request; or (C) deposits in a special account (or, if the Bank so requests, returns to the Bank) an amount equal to the amount of such payment or a portion thereof, thus, they are not acceptable or justified.        Unless the Bank has decided otherwise, no further deposit of funds by the Bank in a special account will be made until the Borrower submits such confirmation or makes such deposit or refund, depending on the circumstances.        

(c) The Borrower, after notifying the Bank, returns all or part of the funds to the Bank.,  

stored in a special account.

    (d) Refund of funds to the Bank made in accordance with paragraphs 6 (a),

(b) and (c) of this Application, is credited to the loan account for  

further withdrawal or cancellation in accordance with the relevant provisions    

this Agreement, including the General Terms and Conditions.

            General terms and conditions applicable to agreements

          about loans and guarantees in the framework of monocurrency loans,    

                        dated May 30, 1995

               (with additions until December 2, 1997)

                                   Article I                  Application to Loan and Guarantee Agreements Section 1.01. Application of General Terms and Conditions        These General Terms and Conditions set out the terms and conditions applicable to the Loan Agreement and the Guarantee Agreement in accordance with and subject to any changes set forth in such agreements.        Section 1.02. Inconsistency with loan and guarantee agreements If any provision of the loan agreement or guarantee agreement does not comply with the provisions of these general terms and conditions, then, depending on the specific case, the provision from the loan agreement or from the guarantee agreement is decisive.                                  

Article II                           Definitions; Headings Section 2.01. Definitions         The following terms, whenever used in these General Terms and Conditions, Loan Agreement, or Guarantee Agreement, have the following meanings: 1. "Assets" include property, income, and claims of any kind.        2. "Association" means the International Development Association.        3. "Bank" means the International Bank for Reconstruction and Development.        4. "Borrower" means the party to the Loan Agreement to which the Loan is granted.        5. "Closing Date" means the date specified in the Loan Agreement, after which the Bank, by notifying the Borrower, may revoke the Borrower's right to withdraw funds from the Borrowed Account.        6. "Currency" includes the currency of a country, the special drawing right of the International Monetary Fund, the European currency unit and any unit of account that embodies the Bank's obligation to service debt within the limits of such obligation. "Currency of a country" means metal and paper money, which is a legal means of payment for public and private debts in a given country.        7. "Dollars", the "$" sign and the abbreviation "USD" mean dollars in the currency of the United States of America.        8. "Effective Date" means the effective date of the Loan Agreement and the Guarantee Agreement in accordance with Section 12.03. 9. "European Currency Unit" and "ECU" mean a currency, one unit of which is equal in value to the European Currency Unit used in the European Monetary System.        10. "External debt" means any debt that is or may be payable in a currency other than the currency of the country that is the Borrower or Guarantor.        11. "Guarantee Agreement" means an agreement between a member of the Bank and the Bank providing guarantees for a loan, with possible amendments to such agreement from time to time. The Warranty Agreement includes these General Terms and Conditions as they apply to it, as well as all appendices and agreements supplementing the Warranty Agreement.        12. "Guarantor" means a member of the Bank who is a party to the Guarantee Agreement.        13. "Acceptance of a debt obligation" includes the recognition of a debt obligation and its guarantees, as well as any renewal, extension or modification of the terms of a debt obligation or recognition of a debt obligation or guarantees for such obligation.        14. "Loan" means the loan provided for in the Loan Agreement.        15. "Loan Account" means an account opened by the Bank in its books in the name of the Borrower, to which the Loan amount is transferred.        16. "Loan Agreement" means a loan agreement between the Bank and the Borrower providing for the allocation of a loan, which may be amended from time to time. The Loan Agreement includes these General Terms and Conditions, as applicable, as well as all appendices and agreements supplementing the Loan Agreement.        17. The "right of retention" includes mortgages, mortgages, obligations, privileges and pre-emptive rights of any type.        18. "Project" means the project or program for which the Loan has been allocated and which is described in the Loan Agreement, while its description may change from time to time by agreement between the Bank and the Borrower.        19. "Monocurrency" means the currency in which the Loan is denominated, or, in the case of a loan in the form of a series of currency shares, the currency in which a specific share is denominated.        20. "Monocurrency loans" means Loans issued by the Bank and all other loans based on monocurrency, or foreign currency tranches for such loans, depending on the decision taken from time to time by the Bank.        21. "Taxes" include taxes, fees, commissions, and duties of any kind in effect on or after the date of the Loan Agreement or Guarantee Agreement.        Section 2.02. References        References in these General Terms and Conditions to Articles or Sections are given to Articles and Sections of these General Terms and Conditions.        Section 2.03. Headings The headings of Articles and Sections, as well as the Contents, are included for reference purposes only and are not part of the General Terms and Conditions.                          

        Article III Loan account. Commission payments and interest.                     Repayment. Place of payment Section 3.01. Loan Account The Loan amount will be credited to the Loan Account and may be withdrawn from it by the Borrower in accordance with the Loan Agreement and these General Terms and Conditions.        Section 3.02. Commitment Fee The Borrower pays the commitment fee for the unused Loan amount at the rate stipulated in the Loan Agreement. Such a commitment fee is charged from the date sixty days after the date of the Loan Agreement until the corresponding dates on which the amounts are withdrawn or cancelled by the Borrower from the Loan Account.        Section 3.03. Interest        From time to time, the Borrower pays interest at the rate stipulated in the Loan Agreement on the amounts withdrawn from the Borrowed Account and outstanding amounts. Interest is accrued from the corresponding withdrawal dates of such amounts.        Section 3.04. Repayment (a) Except as described in Section 4.04 (d), the Borrower pays the principal amount of the Loan withdrawn from the Loan Account in accordance with the provisions of the Loan Agreement.        (b) Upon payment of all accrued interest and allowances calculated in accordance with Section 3.04(c), except as set out in Section 4.04.(e), (i), and after notifying the Bank at least forty-five days in advance, the Borrower has the right to proceed with repayment from a date acceptable to the Bank before Repayment period: (i) the entire principal amount of the Loan outstanding at that time; or (ii) the entire principal amount having one or more maturities, provided that: (A) if the Loan Agreement provides for a separate repayment schedule for specific amounts of the loan principal expended, such prepayment should be applied in the reverse order of such disbursements when the loan amounts are repaid first., spent last , and when the most recent repayment period for such spent funds ends first; and (C) in all other cases, such an advance payment must be applied in the reverse order of such repayment periods, when the most recent repayment period ends first.        (c) The premiums payable under paragraph (b) of this Section for pre-payment with any maturity date are an amount reasonably determined by the Bank and reflect all expenses incurred by the Bank in redeploying the pre-paid amount from the pre-payment date to the maturity date.        Section 3.05. Place of making payments        The principal amount of the Loan (including bonuses, if any), as well as interest and other charges on it, are paid at locations that the Bank can reasonably offer.                                  

Article IV                             Currency Regulations Section 4.01 Currencies used for funds        Unless otherwise agreed by the Bank and the Borrower, funds from the Borrowed Account shall be withdrawn in the currency in which the expenses financed from the borrowed funds were paid or are due; provided, however, that the funds withdrawn to cover the expenses in the currency of the Bank member who is the Borrower or Guarantor are paid in such currency or currencies as are reasonably determined from time to time.        Section 4.02 Loan Account (a) Except as described in Section 4.02(b), the Loan Account is maintained in Monocurrency and records the equivalent of Monocurrency amounts withdrawn from time to time in various currencies under the Loan as of the withdrawal date. All amounts recorded in this way are the equivalent of the withdrawn currency or currencies, except in cases where the Bank purchases the withdrawn currency using another currency to secure such withdrawal, and then the equivalent of the amount of such other currency paid by the Bank is recorded in the Borrowed Account.        (b) In the case of loans in the form of several currency parts, the Loan Account is divided into a number of subaccounts, each of which is maintained for each part in Monocurrency. On the date of withdrawal of funds from each such subaccount, the equivalent of amounts withdrawn from time to time in different currencies is recorded in the corresponding Monocurrency within the corresponding Loan share. All amounts recorded in this way are the equivalent of the withdrawn currency or currencies, except in cases where the Bank purchases the withdrawn currency using another currency to secure such withdrawal, and then the equivalent of the amount of such other currency paid by the Bank is recorded in the subaccount.        Section 4.03. The currency in which payments are made, except as provided in Section 4.04 (e)(ii), repayment of the principal amount and payment of bonuses, interest and other payments is made in Monocurrency.        Section 4.04. Temporary exchange of currency (a) If the Bank reasonably determines that an emergency situation has arisen in which the Bank will not be able to provide Monocurrency for the purpose of financing Monocurrency Loans, then the Bank may provide such temporary exchange of currency or currencies as the Bank chooses, as well as create and manage a temporary currency pool for the evaluation of Monocurrency loans for the evaluation of such Monocurrency and temporary replacement of the currency within the framework of Monocurrency loans in accordance with the reasonable requirement of the Bank.        (b) The Bank will immediately notify the Guarantor and the Borrower when any such temporary currency pool is established or ceases to exist.        (c) Any such temporary foreign exchange pool: (i) shall be managed in accordance with principles reasonably established by the Bank to ensure that all such amounts are valued in accordance with the Bank's definition and the provisions of Section 4.04 (a) to account pro rata for changes in the price of such temporary foreign exchange pool through Monocurrency;        (ii) ceases to be effective as soon as it becomes practicable to do so immediately after the Bank becomes able to provide Monocurrency for Monocurrency Loans again.        (b) The Bank may, by notifying the Borrower, modify the principal amount for any one or more Loan repayment periods stipulated in the Loan Agreement that occur after the creation of any such temporary currency pool to account for changes in the value ratio in accordance with Section 4.04(c)(i);        (e) During the term of any such temporary currency pool: (i) no bonuses will be paid for the advance payment of the Loan; (ii) repayment of the principal amount, as well as payments on interest and other charges, shall be made in such Monocurrency and in such temporary currency or substitute currencies as the Bank chooses; (iii) The Bank may adjust the interest rate payable under the Loan Agreement to reflect the reasonable cost of securing such temporary currency exchange.        Section 4.05. Purchase of currency The Bank, upon provision by the Borrower and on such terms as the Bank determines, makes every effort to purchase any currency necessary for the Borrower to pay the principal, interest and other charges stipulated by the Loan Agreement, after the Borrower deposits sufficient funds in the currency or currencies periodically determined by the Bank. When purchasing the necessary currencies, the Bank acts as the Borrower's agent, and the Borrower is considered to have made any necessary payment under the Loan Agreement only if and on condition that the Bank has received such payment in the required currency and currencies.        Section 4.06. Currency valuation        Whenever, for the purposes of a Loan Agreement or a Guarantee Agreement or any other agreement subject to the General Terms and Conditions, it is necessary to determine the value of one currency through another currency, such value is reasonably determined by the Bank.        Section 4.07. Payment procedure (a) any payment made to the Bank in accordance with a Loan Agreement or a Guarantee Agreement in the currency of a country shall be made in such manner and in a currency acquired in such a way as is permitted under the laws of that country for the purpose of making such payment and depositing such currency in the Bank's account at the depository of the Bank in this country.        (b) The principal amount of the Loan (including bonuses, if any), as well as interest and accruals on the Loan, are paid without any restrictions set by the member of the Bank or operating in the territory of the member of the Bank that is the Borrower or Guarantor.                                  

Article V Withdrawal of borrowed funds Section 5.01. Withdrawal of funds from the Borrowed Account The Borrower has the right to withdraw from the Borrowed Account the amounts spent or, with the consent of the Bank, to be spent on the Project, in accordance with the provisions of the Loan Agreement and these General Terms and Conditions. Unless otherwise agreed by the Bank and the Borrower, funds may not be withdrawn from the account to: (a) cover expenses in the territory of any country that is not a member of the Bank, or to purchase goods produced in such territories or services provided from such territories, or (b) make any payment to an individual or to legal entities for the import of goods in the event that such payment or import is prohibited in accordance with a decision of the United Nations Security Council in accordance with Chapter 7 of the UN Charter.        Section 5.02. Special obligation of the Bank        At the request of the Borrower and on terms agreed between the Bank and the Borrower, the Bank may make special written commitments to pay funds to the Borrower or others for expenses financed from the Borrower's funds, despite any subsequent suspension or cancellation initiated by the Bank or the Borrower.        Section 5.03. Request for withdrawal of funds or receipt of a special commitment        If the Borrower wishes to withdraw any amount from the Borrowed Account or requests the Bank to make a special commitment in accordance with Section 5.02, the Borrower shall send to the Bank a written request in such form containing such formulations and arrangements as are reasonably required by the Bank. Requests for withdrawals related to project costs, including the documentation required under this article, must be submitted promptly.        Section 5.04. Reallocation Despite the allocation of any Loan amount or percentage of funds to be withdrawn, the described or mentioned Loan Agreement, if the Bank has reason to believe that the Loan amount previously allocated for any category of payments from the account specified in the Loan Agreement or included in it by amendment, will be insufficient to finance the agreed as a percentage of all expenses in this category, the Bank may, by notifying the Borrower: (a) redistribute borrowed funds to such category in the amount necessary to cover the estimated shortfall., which have been allocated to another category at that time and, in the Bank's opinion, are not necessary to cover other expenses; and (b) if such a reallocation cannot fully cover the estimated shortfall, reduce the percentage of withdrawals currently allocated to such expenses in order to continue withdrawals within that category up to and including the withdrawal of all funds in this category.        Section 5.05. Certificates of Authority to sign Withdrawal Requests The Borrower will provide the Bank with a certificate of authority from the person or persons authorized to sign withdrawal requests and a certified signature sample of any such person.        Section 5.06. Supporting documents The Borrower will provide the Bank with such documents and other confirmations substantiating the application that the Bank has reason to require before or after the Bank issues permission for any withdrawal of funds requested in the application.        Section 5.07. Sufficient information in applications and documents        All applications and accompanying documents, as well as other evidence, must be sufficient in form and content to convincingly demonstrate to the Bank that the Borrower has the right to withdraw the requested amount from the Loan Account and that the amount withdrawn from the Loan Account is to be used for the purposes stipulated in the Loan Agreement.        Section 5.08. Payment of taxes        According to the Bank's policy, borrowed funds are not subject to withdrawal for the purpose of paying taxes established by the Borrower or the Guarantor or applicable in the territory of the Borrower or the Guarantor, on goods or services or on their import, production, purchase or supply. To this end, if the amount of taxes established or related in any way to an item financed from a Loan is reduced or increased, the Bank may, by notifying the Borrower, increase or decrease the percentage of withdrawals established or mentioned in relation to such an item in the Loan Agreement to ensure consistent implementation of the Bank's policy.        Section 5.09. Bank Payments The Bank pays the amounts withdrawn by the Borrower from the Loan Account only to the Borrower or by his order.                                  

Article VI Cancellation and Suspension Section 6.01. Cancellation of Borrowed amounts by the Borrower, the Borrower may, by notifying the Bank, cancel any Loan amount that the Borrower has not withdrawn, except that the Borrower may not in the same way cancel any Loan amount for which the Bank has entered into a special obligation in accordance with Section 5.02. Section 6.02. Suspension by the Bank of the Borrower's right to withdraw borrowed funds        If any of the following events occur and persist, the Bank may, by notifying the Borrower and the Guarantor, fully or partially suspend the Borrower's right to withdraw funds from the Borrowed Account: (a) The Borrower was unable to make a payment (despite the fact that such payment could have been made by the Guarantor or a third party) on the principal amount of the Loan or interest, or any other amount owed to the Bank or the Association: (i) under the Loan Agreement; or (ii) as part of any other loan or guarantee agreement between the Bank and the Borrower; or (iii) as a result of any guarantee or other financial commitment of any kind entered into by the Bank with respect to any third party with the consent of the Borrower; or (iv) as part of any development loan agreement between the Borrower and By association.        (b) The Guarantor has failed to make payments on the principal amount of the Loan or interest, or any other amount owed to the Bank or the Association: (i) under the guarantee agreement; or (ii) as part of any other loan or guarantee agreement between the Guarantor and the Bank; or (iii) as a result of any guarantee or other financial commitment of any kind entered into by the Bank with respect to any third party with the consent of the Guarantor; or (iv) as part of any development loan agreement between The Guarantor and the Association.        (c) The Borrower or the Guarantor has failed to fulfill any other obligation under the Loan Agreement or Guarantee Agreement.        (d) The Bank or the Association has suspended in whole or in part the right of the Borrower or the Guarantor to make withdrawals under any loan agreement concluded with the Bank or any development loan agreement concluded with the Association due to the inability of the Borrower or the Guarantor to fulfill any of its obligations under such agreement or any other agreement concluded with the Bank.        (e) As a result of events that occurred after the date of the Loan Agreement, an emergency situation arose that makes it unlikely that the Project will be implemented or that the Borrower or the Guarantor will fulfill its obligations under the Loan agreement or Guarantee Agreement.        (f) To a Bank Member who is a Borrower or Guarantor: (i) membership in the Bank has been suspended or terminated, or (ii) membership in the International Monetary Fund has been terminated.        (q) After the date of the Loan Agreement and before the effective date, any event occurred that gave the Bank reason to suspend the Borrower's right to withdraw funds from the Loan Account if the loan agreement was in force on the date of such event.        (h) Any adverse material changes in the situation of the Borrower (who is not a member of the Bank), as presented by the Borrower, took place prior to the Effective Date.        (i) A representation made by the Borrower or the Guarantor under a Loan Agreement or Guarantee Agreement or in accordance with such agreements, or any statement made in connection with such agreements and intended to be used by the Bank as a basis for granting a Loan, proved to be materially untrue.        (j) Any event has occurred as stipulated in paragraph (f) or (q) of Section 7.01.        (k) An emergency situation has arisen in which any further withdrawals under the Loan are contrary to the provisions of Article III, Section 3 of the Articles of Agreement on the Bank.        (l) The Borrower or any Project implementation body, without the consent of the Bank, (i) partially or completely assigned or transferred its obligations under the Loan Agreement; or (ii) sold, leased, transferred, designated, or otherwise disposed of any property or assets partially or fully financed from the Loan, except for ordinary business transactions that, in the opinion of the Bank, (A) do not have a material or negative impact on the Borrower's ability to perform any of the its obligations under the Loan Agreement or to achieve the objectives of the Project, or the ability of the Project implementation body to fulfill any of its obligations arising from or entered into force in accordance with the Loan Agreement, or achieving the objectives of the Project; and (C) do not have a material or negative impact on the financial condition or performance of the Borrower (who is not a member of the Bank) or the Project implementation body.        (m) The Borrower (who is not a member of the Bank) or any other Project implementation body has ceased to exist in the previous legal form of management prevailing as of the date of the Loan Agreement.        (n) Any action has been taken aimed at disbanding, dissolving or suspending the activities of the Borrower (who is not a member of the Bank) or any Project implementation body.        (o) In the Bank's opinion, the legal nature, ownership or management of the Borrower (who is not a member of the Bank) or any Project implementation body has changed from those prevailing on the date of the Loan Agreement, and has a material and negative impact on (i) the Borrower's ability to fulfill any of its obligations under the Loan Agreement or to achieve the objectives of the Project; or (ii) the ability of the Project authority to fulfill any of its obligations arising from or effective under the Loan Agreement, or to achieve the objectives of the Project.        (p) Any other event stipulated in the Loan Agreement has occurred, taking into account the purposes of this Section.        The Borrower's right to withdraw funds from the Borrowed Account remains fully or partially suspended, depending on the specific case, until the event or events that led to the suspension of the right cease to exist, unless the Bank has notified the Borrower that the right to withdraw funds has been fully or partially restored, depending on the case. depends on the specific case.        Section 6.03. Cancellation by the Bank of the Borrower's right to withdraw funds If (a) the Borrower's right to withdraw funds from the Borrowed Account has been suspended for any amount of the Loan for thirty consecutive days, or (b) at any time, after consulting with the Borrower, the Bank determines that some amount of the Loan will not be required to finance Project costs that must be financed from the proceeds of the Loan, or (c) at any time, the Bank will determine in respect of any contract to be financed from the proceeds of the Loan, that during the procurement or execution of such a contract, representatives of the Borrower or the beneficiary of the Loan were involved in cases of corruption or fraud, and the Borrower did not take timely and appropriate corrective measures satisfactory to the Bank, and will set the amount of expenses in respect of such a contract, which would otherwise be eligible for financing from the Loan; or (d) at any time, the Bank determines that a purchase under an item does not comply with the procedures described or mentioned in the Loan Agreement and sets an amount for such an item that would otherwise allow financing from the Loan, or (e) after the Closing Date, a certain amount The Loan remains in the Borrowed Account, or (f) the Bank has received a notification from the Guarantor in accordance with Section 6.07 regarding any amount of the Loan, the Bank may, by notifying the Borrower and the Guarantor, terminate the Borrower's right to withdraw funds related to such amount. Upon delivery of such notification, such Loan amount is cancelled.        Section 6.04. Amounts subject to a special obligation that are not subject to cancellation or suspension of rights initiated by the Bank Cancellation or suspension of rights initiated by the Bank does not apply to amounts subject to any special obligation entered into by the Bank in accordance with Section 5.02, except as specifically specified in such obligation.        Section 6.05. Application of cancellation provisions to Loan maturities Unless otherwise agreed by the Bank and the Borrower, any cancellation provision shall apply proportionately to several portions of the Loan principal that mature after the date of such cancellation and that have not been sold by the Bank or for which the Bank has not consented to sale by that date, provided that the provisions of this Section do not apply in the following cases:, when the Loan Agreement provides for the definition of a separate depreciation schedule for specific spent funds, the principal amount of the loan as such funds are withdrawn from the Borrowed Account.        Section 6.06. Effect of the provisions after cancellation or suspension of the right Notwithstanding any cancellation or suspension of the right, all provisions of the Loan Agreement and the Guarantee Agreement shall remain in full force and effect, unless specifically specified otherwise in this Article.        Section 6.07. 

Article VII                       Reduction of repayment periods Section 7.01. Events leading to shorter repayment periods If any of the following events occur and continue during the time period indicated below, if any, then at any subsequent time while such an event is ongoing, the Bank may, at its discretion, by notifying the Borrower and the Guarantor, declare that the principal amount of the Loan, unpaid at that time is payable immediately, together with interest and other charges on this amount., and after any such application, such principal amount, together with Interest and other accruals on it, is payable immediately: a) There is a default on the obligation to pay the principal amount or interest, or any other payment required under the Loan Agreement, and such default continues for thirty days.        b) There is a default on the obligation to pay the principal amount or interest, or any other payment required under the Guarantee Agreement, and such default continues for thirty days.        (c) There is a default on the part of the Borrower to pay the principal amount or interest, or any other amount owed to the Bank or the Association: (i) under any other loan or guarantee agreement between the Bank and the Borrower, or (ii) as a result of the provision by the Bank of any guarantee or other financial obligation of any kind by a third party (iii) as part of any development loan agreement between the Borrower and the Association, and such default continues for a period of thirty days.        d) There is a default on the part of the Guarantor to pay the principal amount or interest, or any other amount owed to the Bank or the Association: (i) as part of any loan or guarantee agreement between the Guarantor and the Bank, or (ii) as a result of the provision by the Guarantor of any- either a guarantee or other financial obligation of any kind to a third party with the consent of the Guarantor, or (iii) under any development loan agreement between the Guarantor and the Association in circumstances that make it unlikely that the Guarantor will fulfill its obligations under the Guarantee Agreement, and such default on non-payment continues for thirty days.        f) There is a failure to fulfill any other obligation on the part of the Borrower or the Guarantor under the Loan Agreement or the Guarantee Agreement, and such failure continues for sixty days after the Bank has notified the Borrower and the Guarantor.        f) The Borrower (who is not a member of the Bank) is no longer able to pay its debts as they mature, or the Borrower or others have taken any action or initiated procedures that result in any part of the Borrower's assets being distributed or can be distributed to creditors.        q) the Guarantor or any other authorized body has taken any action to dissolve or liquidate the Borrower (who is not a member of the Bank) or to suspend its activities.        h) The Borrower or any Project implementation body, without the consent of the Bank, (i) partially or completely assigned or transferred its obligations under the Loan Agreement; or (ii) sold, leased, transferred, designated or otherwise disposed of any property or assets partially or fully financed from the Loan, except for ordinary business transactions, which, in the opinion of the Bank, (A) do not have a material or negative impact on the Borrower's ability to perform any of the its obligations under the Loan Agreement or the achievement of the Project objectives, or the ability of the Project implementation body to fulfill any of its obligations arising from or effective under the Loan Agreement, or achieving the objectives of the Project; and (C) do not have a material or negative impact on the financial condition or performance of the Borrower (who is not a member of the Bank) or the Project implementation body.        i) The Borrower (who is not a member of the Bank) or any other Project implementation body has ceased to exist in the previous legal form of management prevailing as of the date of the Loan Agreement.        (j) In the Bank's opinion, the legal nature, ownership or management of the Borrower (who is not a member of the Bank) or any Project implementation body has changed from those prevailing on the date of the Loan Agreement and has a material and negative impact on (i) the Borrower's ability to fulfill any of its obligations under the Loan Agreement; or to achieve the objectives of the Project; or (ii) the ability of the project authority to fulfill any of its obligations arising from or effective under the Loan Agreement, or to achieve the objectives of the Project.        (k) Any other event stipulated in the Loan Agreement for the purposes of this Section has occurred and continues during the period stipulated in the Loan Agreement, if any.                                  

Article VIII Taxes Section 8.01. Taxes a) The principal amount of the Loan, interest and other charges on it are paid without deductions for taxes and are exempt from taxes levied by a member of the Bank who is a Borrower or Guarantor, or operating in its territory.        b) The Loan Agreement and the Guarantee Agreement, as well as any other agreement to which these General Terms and Conditions apply, are exempt from any taxes levied by a member of the Bank that is a Borrower or Guarantor, or operating in its territory, when they are executed, executed or registered, or in connection with them.                                  Article IX                      Cooperation and information.                   Financial and economic data.               A negative commitment. Project Implementation Section 9.01. Cooperation and information a) The Bank, the Borrower and the Guarantor cooperate fully to ensure that the objectives of the Loan are achieved. To this end, the Bank, the Borrower and the Guarantor: (i) periodically, at the request of any of them, exchange views on the progress of the Project, the purpose of the Loan and the fulfillment of their respective obligations under the Loan Agreement and the Guarantee Agreement, and provide the other party with all relevant information that it reasonably requests.; and (ii) promptly inform each other of any circumstance that interferes with or threatens to interfere with the matters referred to in paragraph (i) above.        b) The Guarantor shall ensure that no action is taken or permitted by him or any of his political or administrative units, or any structures owned or controlled by the Guarantor or such units, or acting on his or their behalf and in his or their interests. actions that prevent or hinder the implementation of the Project or the fulfillment by the Borrower of its obligations under the loan agreement.        c) A Member of the Bank who is a Borrower or Guarantor shall, within reasonable limits, provide all opportunities for representatives of the Bank to visit any part of its territory for purposes related to the Loan.        Section 9.02. Financial and economic data A member of the Bank who is a Borrower or Guarantor provides the Bank with all information reasonably requested by the Bank about the financial and economic conditions in its territory, including its balance of payments and its external debt, as well as its political or administrative divisions and any structure owned or operated by the Bank. under the control of, or acting on behalf of, or in their interests of, such member or any such subdivision, and any institution performing the functions of a central bank or a monetary stabilization fund, or similar functions for such a member.        Section 9.03. Negative obligation a) The Bank's policy in providing loans to its members or with their guarantees is not to seek special guarantees from the member concerned in normal circumstances, but to ensure that when allocating, selling or distributing foreign currency controlled by such member or held in its interests, No other external debt had priority over the Bank's loans.       (i) For this purpose, if any right of retention of any state assets (as defined below) is formed as collateral for any external debt, which would or could lead to a preferential right of the creditor of such external debt in the allocation, sale or distribution of foreign currency, then such right of retention, if The Bank will not consent to anything else, ipso facto and without expenses on the part of the Bank, it will evenly and proportionately serve as collateral for the principal amount of the Loan and interest, as well as other Loan charges, and a member of the Bank who is the Borrower or Guarantor, upon the occurrence or authorization for the occurrence of such a right of retention, makes a special reservation to this effect, provided, however, that if, for any constitutional or legal reason, such reservation cannot be made with respect to any right of retention that has arisen in any of its political or administrative divisions, such member promptly and without anyor expenses on the part of the Bank will arrange for the provision of the principal amount of the Loan and interest, as well as other Loan charges with an equivalent right to hold other state assets that satisfy the Bank.        (ii) The term "public assets", as used in this paragraph, means the assets of such member, any political or administrative subdivision thereof, and any entity owned or controlled by or acting on behalf of or in the interests of such member or any such subdivision, including gold and foreign exchange assets held in any institution that performs the functions of a central bank or a monetary stabilization fund or similar functions for such a member.        (b) A Borrower who is not a member of the bank undertakes, unless the Bank agrees otherwise, that: (i) if such Borrower establishes any right of retention of any of its assets as security for any debt, such right of retention shall serve equally and proportionately to secure payment of the principal amount of the Loan; and interest, as well as other charges on it, and when creating such a retention right, a special reservation is made to this account without any costs on the part of the Bank.; and (ii) if any regulatory retention right is created for any acts of such Borrower as security for any debt, such Borrower provides, at no cost to the Bank, an equivalent retention right satisfying the Bank as security for payment of the principal amount of the Loan and interest, as well as other accruals on it.        (c) The above provisions of this Section do not apply to: - any right of retention of property at the time of its purchase, acting solely as security for payment of the purchase price of such property or as security for payment of debt incurred as a result of financing the purchase of such property; - any right of retention arising in the course of ordinary banking transactions and securing a debt that matures no later than one year after the date of origination of this debt.        Section 9.04. Insurance The Borrower insures or provides insurance, or adequately provides insurance for imported goods financed by the Loan against the risks associated with their purchase, transportation and delivery to the place of use or installation. Any compensation for such insurance is payable in a freely usable currency for the replacement or repair of such goods.        Section 9.05. Use of goods and services Unless the Bank agrees otherwise, the Borrower will ensure that the goods and services financed by the Loan are used exclusively for Project purposes.        Section 9.06. Plans and Schedules The Borrower provides or will ensure that all plans, technical specifications, reports of contract documentation, as well as construction and procurement schedules for the Project and all their material modifications or additions are provided to the Bank as soon as reasonably requested by the Bank.        Section 9.07. Accounting documents and reports (a) The Borrower: - maintains accounting records and applies procedures adequate to record and track the progress of the Project (including its cost and related benefits), identify the goods and services financed from the Loan, and describe their use in the Project;        - provides the Bank's representatives with the opportunity to visit any facilities and construction sites included in the Project and inspect the goods financed from the Loan, as well as all factories, installations, sites, workshops, buildings, property, equipment, accounting documents and documents related to the fulfillment of the Borrower's obligations under the loan agreement;        - regularly provides the Bank with all information that the Bank reasonably requests about the Project, its cost and, when necessary, its benefits, the use of borrowed funds, as well as goods and services financed from the Loan.        (b) After the conclusion of any contract for goods or services financed from the Loan, the Bank may publish their description, name and nationality of the party with whom the contract was concluded, as well as the contract price.        (c) Immediately after the completion of the project, but in any case not later than six months after the Final Date or such later date as may be agreed for this purpose between the Bank and the Borrower, the Borrower shall prepare and submit to the Bank a report to the extent and with such degree of detail as the Bank reasonably requests., about the execution and initial functioning of the Project, its cost and the benefits that have been or will be received from it, on the fulfillment by the Borrower and the Bank of their respective obligations under the Loan Agreement and the achievement of the Loan objectives.        Section 9.08. Maintenance The Borrower continuously carries out or ensures the operation and maintenance of all facilities related to the Project, and promptly, as necessary, carries out or ensures that all necessary work is carried out on their repair and modernization.        Section 9.09. 

Article X                 Ensuring the fulfillment of the Loan Agreement and the Guarantee Agreement. Inability to exercise rights. Arbitration Section 10.01. Enforcement        The rights and obligations of the Bank, the Borrower and the Guarantor under the Loan Agreement and the Agreement and Guarantee remain in force and must be fulfilled in accordance with their terms, regardless of the legislation of any State or its political subdivision, indicating the opposite. Neither the Bank, nor the Borrower, nor the Guarantor have the right, in any proceeding under this article, to make any claim that any provision of these General Terms of the Loan Agreement or the Guarantee Agreement is invalid or unsecured by legal sanctions by virtue of any provision of the articles of the Bank's Agreement.        Section 10.02. The obligations of the Guarantor, with the exception of the obligations of the Guarantor provided for in Section 6.07 under the Loan Agreement, are exhausted only as a result of their fulfillment, and in this case only within the limits of such fulfillment. Such obligations do not require any prior notification to the Borrower, making claims against him or acting against him, or any prior notification to the Guarantor or making claims against him in connection with the Borrower's failure to fulfill any of his obligations. None of the following shall prevent the fulfillment of such obligations: a) any extension of time, refusal to apply coercive measures, or assignment provided to the Borrower;        (b) Any assertion or inability to assert or delay in upholding any right, authority or sanction against the Borrower or in connection with any collateral for the Loan; (c) any modification or more detailed statement of the Loan Agreement as provided for in its terms; or (d) any failure by the Borrower to comply with any requirement of any of the the laws of the Guarantor.        Section 10.03. Inability to exercise rights        A delay in the exercise or non-exercise of any right, authority, or sanction granted by one of the parties under the loan agreement or Guarantee Agreement after any default will not limit such right, authority, or sanction and shall not be considered as a waiver of them or as tacit acceptance of such non-fulfillment. Any actions of such party with respect to any non-fulfillment of obligations or any tacit consent of such party with respect to any non-fulfillment of obligations will not affect or limit any right, authority or sanction of such party with respect to any other or subsequent non-fulfillment of obligations.        Section 10.04. Arbitration (a) Any dispute between the parties to the Loan Agreement or the parties to the Guarantee Agreement and any claim by any such party brought against any other such party in connection with the Loan Agreement or Guarantee Agreement that has not been settled by agreement of the parties, shall be submitted to arbitration to the arbitral tribunal, as provided below.        (b) The parties to such arbitration are the Bank, on the one hand, and the Borrower and the Guarantor, on the other hand.        (c) The Arbitral Tribunal shall consist of three arbitrators appointed as follows: one arbitrator shall be appointed by the Bank, the second arbitrator shall be appointed by the Borrower and the Guarantor or, if they disagree, by the Guarantor, and the third arbitrator (sometimes referred to as the Super Arbitrator) shall be appointed by agreement of the parties or, if they disagree, by the President of the International Court of Justice, or, If he is not appointed by the said Chairman, then by the Secretary-General of the United Nations. If either party does not appoint an arbitrator, such an arbitrator shall be appointed by the Super Arbitrator. In the event of the resignation, death or incapacity of any arbitrator appointed in accordance with this Section, his successor in the post of arbitrator shall be appointed in accordance with the same procedure provided for here for the original arbitrator, and such successor shall have all the powers and duties of such original arbitrator.        (d) Arbitration proceedings may be initiated in accordance with this Section upon notification by the party initiating such proceedings to the other party. Such notification shall include a statement setting out the nature of the dispute or claim being submitted to arbitration and the nature of the requested award, as well as the name of the arbitrator appointed by the party initiating such proceedings. Within 30 days of such notification, the other party shall inform the party initiating the proceedings of the name of the arbitrator appointed by the other party.        (e) If, within sixty days of notification of the initiation of proceedings, the parties do not agree on a Super-Arbitrator, either party may request the appointment of a Super-Arbitrator in accordance with the provisions of paragraph (c) of this Section.        (f) The Arbitral Tribunal shall meet at such time and place as shall be determined by the Super Arbiter. Subsequently, the Arbitration Court determines the place and dates of its meetings.        (q) The Arbitral Tribunal shall decide on all matters within its competence and, subject to the provisions of this Section, determine its own procedure, unless otherwise agreed by the parties. All decisions of the Arbitral Tribunal shall be taken by a majority vote.        (h) The arbitral tribunal shall provide all parties with an impartial hearing and render a written decision. Such a decision can be made in absentia. A decision signed by a majority of the members of an Arbitration court is a decision of such a court. A signed copy of the decision is sent to each of the parties. Any such decision made in accordance with the provisions of this Section is final and binding on the parties, the Loan Agreement and the Guarantee Agreement. Each of the parties shall comply with and comply with any such award made by the Arbitral Tribunal in accordance with the provisions of this Section.        (i) The Parties shall determine the amount of remuneration for the arbitrators and such other persons as are required for the conduct of the arbitration. If such an amount of remuneration has not been agreed upon before the first meeting of the Arbitral Tribunal, the Arbitral Tribunal shall establish, within reasonable limits and taking into account the circumstances, such an amount of remuneration. The Bank, the Borrower and the Guarantor cover their own arbitration costs. The costs of the Arbitration Court are distributed and paid equally by the Bank, on the one hand, and by the Borrower and the Guarantor, on the other. All issues related to the distribution of the costs of the Arbitration Court or the procedure for paying such costs are resolved by the Arbitration Court.        (j) The arbitration provisions set out in this Section supersede any other dispute settlement procedure between the parties to the Loan Agreement and the Guarantee Agreement, or any claim brought by any such party against any other party in connection with such agreement.        (k) If, within 30 days after the copies of the award have been transmitted to the parties, this award has not been respected, either party may: (i) proceed to arbitration proceedings or initiate enforcement proceedings against any other party in any competent court.; (ii) enforce such award through due process, or (iii) seek any other appropriate sanctions against any other such party in order to comply with the award and the provisions of the Loan Agreements and the Guarantee Agreement. Regardless of the above, this Section does not allow the issuance of any court decision or enforcement of an arbitration award against any party that is a member of the Bank, except in cases where such a procedure can be provided on grounds other than the provisions of this Section.        (l) The service of any notice or notice of process related to any proceeding under this Section or to proceedings to enforce any arbitration award made under this Section may be made in accordance with the provisions of Section 11.01. The Parties to the Loan Agreement and the Guarantee Agreement waive all other requirements for the delivery of any such notice or notification of any such process.                                  

Article XI                              Other Provisions Section 11.01. Notification and Requests Any notification or request that is required or authorized under the Loan Agreement or Guarantee Agreement, or any other agreement between any parties provided for in the Loan Agreement or Guarantee Agreement, must be made in writing. Unless otherwise provided in Section 12.03, such notification or request shall be considered as duly delivered when it is transmitted from hand to hand or by mail, telegram, cable, telex or radiogram to the party who is required or authorized to deliver it to the address of that party specified in the Loan Agreement or Guarantee Agreement. or to such other address as is indicated by such party by notifying the party submitting such notification or making such request. Section 11.02. Confirmation of authority The Borrower or the Guarantor provides the Bank with sufficient confirmation of the authority of the person or persons who, on behalf of the Borrower or the Guarantor, will take any action or execute any documents that are required or permitted to take or execute in accordance with the Loan Agreement or the Guarantor in accordance with the Guarantee Agreement, as well as a certified signature sample of each such person.        Section 11.03. Actions on behalf of the Borrower or the Guarantor Any actions that are required or permitted to be taken, or any documents that are required or permitted to be executed under the Loan Agreement or Guarantee Agreement from the Customer or the Guarantor, may be undertaken or drawn up by the representative of the Borrower or the Guarantor specified in the Loan Agreement or Guarantee Agreement for the purposes of this Section, or by any person authorized to do so in writing by such representative. Any modification or more detailed statement of the provisions of the Loan Agreement or the Guarantee Agreement may be agreed on behalf of the Borrower or the Guarantor by means of a written document issued on behalf of the Borrower or the Guarantor by a representative appointed for this purpose, or by another person authorized to do so in writing by such representative, provided that, in the opinion of such representative representative, Such a change or detailed statement is reasonable in the circumstances and will not significantly expand the obligations of the Borrower under the Loan Agreement or the Guarantor under the Guarantee Agreement. The Bank may agree to the drafting of any such document by such a representative or other person as indisputable proof that, in the opinion of such representative, any modification or more detailed statement of the provisions of the Loan Agreement or Guarantee Agreement based on such document is reasonable in such circumstances and will not lead to a significant expansion of the Borrower's obligations in within the framework of these agreements.        Section 11.04. Execution of agreements in several copies        Both the Loan Agreement and the Guarantee Agreement can be executed in several copies, each of which is an original.                                  

Article XII Effective date. Termination Section 12.01. Conditions preceding the entry into force of the Guarantee Agreement        The Loan Agreement and the Guarantee Agreement will not enter into force until information is provided that satisfies the Bank: (a) that the execution and delivery of the Loan Agreement and the Guarantee Agreement on behalf of the Borrower and the Guarantor have been duly authorized or ratified as a result of all necessary governmental and corporate actions;        (b) if requested by the Bank, that the position of the Borrower (who is not a member of the Bank), as presented or guaranteed to the Bank on the date of the loan agreement, has not undergone adverse material changes since that date; and (c) that all other events stipulated in the Loan Agreement as conditions for entry into force.        Section 12.02. Legal opinions or certificates        As part of the information required to be provided in accordance with Section 12.01, the Bank is provided with an opinion satisfactory to the Bank or opinions of lawyers acceptable to the Bank, or, if requested by the Bank, a certificate satisfactory to the Bank from a competent official of a Bank member who is a Borrower or Guarantor, indicating: (a) on behalf of the Borrower that, that the Loan Agreement has been duly authorized or ratified by the Borrower and executed and served on his behalf and is legally binding on the Borrower in accordance with its provisions; (b) on behalf of the Guarantor that the Guarantee Agreement has been duly authorized or ratified by the Guarantor and executed or served on his behalf and is legally binding on the Guarantor in accordance with its provisions; and (c) such other aspects as are specifically specified in the Loan Agreement or reasonably requested by the Bank in connection with it.        Section 12.03. Effective Date (a) Unless otherwise agreed by the Bank and the Borrower, the Loan Agreement and the Guarantee Agreement shall enter into force on the date on which the Bank notifies the Borrower and the Guarantor of its acceptance of the confirmations required by Section 12.01.        (b) If any event occurred prior to the Effective Date that would give the Bank the right to suspend the Borrower's right to withdraw funds from the Loan Account, in the event of a Loan Agreement, or if the Bank determines that there is an emergency situation provided for under Section 4.04 (a), the Bank may delay sending the notification, which is referred to in paragraph (a) of this Section until the termination of the existence of such an event or events or situations.        Section 12.04. Termination of the Loan Agreement and the Guarantee Agreement due to their non-entry into force If the Loan Agreement has not entered into force by the date stipulated in the Loan Agreement for the purposes of this Section, the Loan Agreement and the Guarantee Agreement and all obligations of the parties under them cease to be valid if the Bank, after reviewing the reasons for the delay, Don't  

sets a later date for the purposes of this Section. Bank  

promptly notifies the Borrower and the Guarantor of such a later date.  

    Section 12.05. Termination of the Loan Agreement and Loan Agreement  

                  guarantees after payment of all amounts

    From the moment of payment of all amounts, the Loan Agreement and the Guarantee Agreement  

and all the obligations of the parties under them cease to be valid.      

President    

Republic of Kazakhstan     

© 2012. RSE na PHB "Institute of Legislation and Legal Information of the Republic of Kazakhstan" of the Ministry of Justice of the Republic of Kazakhstan  

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