21-Dec-2023 Date: _______________ H.E. Ilyas Moussa Dawaleh Minister of Economy and Finance in charge of Industry Ministry of Economy and Finance in charge of Industry Djibouti Republic of Djibouti Re: Djibouti: Additional Financing for the Expanding Opportunities for Learning Project EAA GRANT NUMBER TF0B6756 Amendment to the Grant Agreement Excellency, We refer to the Grant Agreement between the Republic of Djibouti (the Recipient) and the International Bank for Reconstruction and Development and the International Development Association, acting as administrator of Education Above All-World Bank Partnership Single Donor Trust Fund (the Bank), dated September 18, 2021, (“Grant Agreement”), for the above-referenced Project (the Project). The capitalized terms used in this letter (“Amendment Letter”) and not defined herein have the meanings ascribed to them in the Grant Agreement. An amendment to the Grant Agreement is required to allocate the second tranche of funding pursuant to the Administration Agreement between the Education Above AA and the International Bank for Reconstruction and Development and the International Development Association concerning the Education Above All- World Bank Partnership Single-Donor Trust Fund (Trust Fund No. TF073330) effective June 8, 2021, which brings the total allocation to date to US$ 2,909,486. Accordingly, the Bank proposes to amend the Grant Agreement as follows: 1. Section I.A to the Grant Agreement is hereby amended to read as follows: “(3.01. The Bank agrees to extend to the Recipient a grant in an amount not to exceed two million nine hundred nine thousand four hundred eighty-six United States Dollars (US$ 2,909,486) (“EAA Grant”) to assist in financing the Project.” 2. The table in Section of Schedule 2 to the Grant Agreement is hereby amended to read as set forth in Annex 1 to this Amendment Letter. 3. The table in the ANNEX to the Grant Agreement is hereby amended to read as set forth in Annex 2 to this Amendment Letter. -2- All other provisions of the Grant Agreement, except as amended herein shall remain in full force and effect. Please confirm the Recipient’s agreement to the foregoing by signing and dating both copies of this Amendment Letter and returning one fully countersigned copy to the Association. Upon receipt by the Bank of the copy of this Amendment Letter countersigned by you, this Amendment Letter shall become effective as of the date of your countersignature. Sincerely, INTERNATIONAL DEVELOPMENT ASSOCIATION By: __________________________ Stéphane Guimbert Country Director Egypt, Yemen and Djibouti AGREED: REPUBLIC OF DJIBOUTI By______________________________ Ilyas Moussa Dawaleh Name: __________________________ Minister Title: ___________________________ 10-janv.-2024 Date: ___________________________ -3- ANNEX 1 Category Amount of the Grant Percentage of Expenditures to be Allocated (expressed in Financed USD) (inclusive of Taxes) (1) Eligible Expenditure Program 2,909,486 100% for PBCs under Part 2.2 of the Project under the ANNEX TOTAL AMOUNT 2,909,486 -4- ANNEX 2 Performance-Based Conditions Performance- Performance-Based Result Disbursement Financing Total Allocation Based Condition Calculation Formula source (1) PBC #1: PBR #1.1: Quality standards for PBR #1.1: N/A PBR #1.1 and PBR #1.1: Quality preschool approved by 1.2: USD 0 assurance MENFOP through a signed N/A mechanism for Ministerial memo (note de preschool service) education PBR #1.2: At least 30 % of the PBR #1.2: PBR #1.2: established public and private preschools USD 250,000 for USD 0 meeting the approved quality each 15 percent of standards. public and private preschools meeting the approved quality standards, up to a maximum of USD 500,000, with a minimum payment threshold of USD 250,000 (2) PBC #2: Public At least 40 % of public USD 125,000 for N/A USD 0 preschool preschool teachers with each 10% of such teachers with improved competencies, as teachers with improved observed through COT. improved competencies competencies, as linked to observed through trainings (as COT, up to a measured by a maximum of USD classroom 500,000, with a observation minimum payment tool as defined threshold of USD in the POM 250,000 (“COT”) (3) PBC #3: PBR #3.1: A medium-term PBR #3.1: N/A PBR#3.1: N/A PBR #3.1: USD 0 Expanding school expansion plan is access to approved by MENFOP through primary and a signed Ministerial memo (note lower de service) secondary education PBR #3.2: 35,000 primary PBR #3.2: PBR #3.2 PBR #3.2: school-level OOSC students enrolled (i) USD 141,430 for (i) N/A (i)USD 0 every 1,000 OOSC enrolled, up to a maximum of USD 4,950,000 and 35,000 students, with a minimum payment threshold of USD 321,488 (ii) USD 108,572 for (ii) EAA Grant (ii) USD 2,909,486 every 1,000 OOSC -5- enrolled, up to a maximum of USD 2,909,486 and 26,797 students, with a minimum payment threshold of USD 246,512, unless otherwise agreed in writing between the Bank and the Recipient for the first year of Project implementation. (4) PBC #4: PBR #4.1: Sub-regional plans PBR #4.1: PBR #4.1: PBR #4.1: Strengthen to promote enrollment and N/A N/A USD 0 demand and reduce dropout are approved by improve MENFOP through a signed retention of Ministerial memo (note de students in service) primary and lower PBR #4.2 (included for PBR #4.2: PBR #4.2: PBR #4.2: secondary reference only): Decrease in N/A N/A 0 schools grade 5 repetition rate between Year 1 and Year 5 of project implementation from 24.4% to 14.4%. PBR #4.3(included for PBR #4.3: PBR #4.3: N/A PBR #4.3: reference only): Increase in N/A 0 gender parity index for gross enrollment in lower secondary education (5) PBC #5: PBR #5.1: PBR #5.1(a) and (b): PBR #5.1(a), PBR #5.1(a): Improve (a) Assessment levels at the first N/A (b): USD 0 learning cycle of primary school in math N/A assessments and at least one language are PBR approved by MENFOP through #5.1(b): a signed Ministerial memo (note USD 0 de service) (b) National primary learning assessment administered by Evaluation Department of MENFOP PBR #5.2: Assessment levels at PBR #5.2: PBR #5.2: PBR #5.2: the second cycle of primary N/A N/A USD 0 school and lower secondary school in math and the languages French and Arabic are approved by MENFOP through a signed Ministerial memo (note de service) PBR #5.3: (a) Revised year 2 PBR #5.3(a) and (b): PBR #5.3(a) PBR #5.3(a): USD OTI assessment is administered N/A and (b): 0 by MENFOP N/A -6- (b) Revised year 5 OTI PBR #5.3(b): USD assessment is administered by 0 MENFOP PBR #5.4 (included for PBR #5.4: PBR #5.4: PBR#5.4: reference only): Establishment N/A N/A 0 of baseline percentage of year 2 students reaching the minimum acceptable threshold learning level PBR #5.5(a): Schools receive PBR #5.5(a): PBR #5.5(a): PBR #5.5(a): detailed report on results of 100,000 for every 28 N/A USD 0 learning assessments and schools, up to a guidelines for their use to maximum of USD improve teaching and learning 500,000, with a minimum payment threshold of USD 100,000 5.5(b): (Included for reference PBR #5.5(b): PBR #5.5(b): PBR #5.5(b): only) N/A N/A 0 From baseline established under PBR 5.4, increase in percentage of year 2 students reaching the minimum acceptable threshold learning level in the following years (6) PBC #6: PBR #6.1: At least 3 PBR #6.1: PBR #6.1: PBR #6.1: Systematic competency frameworks N/A N/A USD 0 update of approved by MENFOP through teachers’ a signed Ministerial memo (note professional de service) development program. PBR #6.2: 2,000 teachers PBR #6.2: PBR #6.2: PBR #6.2: trained on the new USD 100,000 for N/A USD 0 competencies/ training modules every 200 teachers trained, up to a maximum of USD 1,000,000, with a minimum payment threshold of 200,000 TOTAL USD 2,909,486 AMOUNT