07-Apr-2023 Date: Mr. Djamshid Kuchkarov Deputy Prime Minister Istiqlol Street 29 Tashkent, 100017 REPUBLIC OF UZBEKISTAN Re: PROGREEN TF Grant No. B7845-UZ (RESILAND CA+ Program: Uzbekistan Resilient Landscapes Restoration Project) Additional Instructions: Disbursement and Financial Information Letter Mr. Kuchkarov: I refer to the Grant Agreement (“Agreement”) between the International Bank for Reconstruction and Development/International Development Association (the “Bank”), acting as administrator of Gl obal Partnership for Sustainable and Resilient Landscapes Multi-Donor Trust Fund, and REPUBLIC OF UZBEKISTAN (the “Recipient”) for the above-referenced project. The Standard Conditions, as defined in the Grant Agreement, provide that the Bank may issue additional instructions regarding the withdrawal of the proceeds of Grant B7845-UZ (“Grant”), and may set out Project specific financial reporting requirements. This letter (“Disbursement and Financial Information Letter”), as revised from time to time, constitutes such additional instructions. I. Disbursement Arrangements and Withdrawal of Grant Funds The World Bank Disbursement Guidelines for Projects, dated February 1, 2017, (“Disbursement Guidelines”) are available in the Bank's public website at https://www.worldbank.org, and are an integral part of the Disbursement and Financial Information Letter. The manner in which the provisions in the Disbursement Guidelines apply to the Grant is specified below. Sections and subsections in parentheses below refer to the relevant sections and subsections in the Disbursement Guidelines and, unless otherwise defined in this letter, the capitalized terms used have the meanings ascribed to them in the Disbursement Guidelines. (i) Disbursement Arrangements The table in Schedule 1 provides the disbursement methods which may be used by the Recipient, information on registration of authorized signatures, processing of withdrawal applications (including minimum value of applications and advances), instructions on supporting documentation, and frequency of reporting on the Designated Account. (ii) Withdrawal of Grant Funds (Electronic Delivery) Section 7.01 (c) of the Standard Conditions. The Recipient will deliver Withdrawal Applications (with supporting documents) electronically through the Bank’s web-based portal “Client Connection” at https://clientconnection.worldbank.org. This option will be effected after the officials designated in writing by the Recipient who are authorized to sign and deliver Withdrawal Applications have registered as users of “Client Connection”. The designated officials will deliver Applications electronically by completing the Form 2380, which is accessible through “Client Connection”. By signing the Authorized Signatory Letter, the Recipient confirms that it is authorizing such persons to accept Secure Identification Credentials (SIDC) and to deliver the Applications and supporting documents to the Bank by electronic means. The Recipient may exercise the option of preparing and delivering Withdrawal Applications in paper form on exceptional cases (including those where the Recipient encounters legal limitations), and which were previously agreed with the Bank. By designating officials to use SIDC and by choosing to deliver the Applications electronically, the Recipient confirms through the authorized signatory letter its agreement to: (a) abide by the Terms and Conditions of Use of Secure Identification Credentials in connection with Use of Electronic Means to Process Applications and Supporting Documentation, available in the Bank's public website at https://worldbank.org and “Client Connection”; and (b) to cause such official to abide by those terms and conditions. II. Financial Reports and Audits Section 2.07 (a) and (b) of the Standard Conditions. (i) Financial Reports. The Recipient shall prepare and furnish to the Bank not later than forty-five (45) days after the end of each calendar quarter, interim unaudited financial reports (“IFR”) for the Project covering the quarter. (ii) Audits. The Project Financial Statements audit will be conducted (a) by independent private auditors acceptable to the Bank, on terms of reference acceptable to the Bank, and (b) according to the International Standards on Auditing issued by the International Auditing and Assurance Standards Board of the International Federation of Accountants. The Project audit will include (a) audit of Project Financial Statements; and (b) review of the internal controls with special attention to the compliance with requirements established in the Community Operations Manual. Each audit of the Project Financial Statements shall cover the period of one fiscal year of the Recipient, commencing with the fiscal year in which the first withdrawal was made. The audited Project Financial Statements for each such period shall be furnished to the Bank not later than six (6) months after the end of such period. III. Other Important Information For additional information on disbursement arrangements, please refer to the Loan Handbook available on the Bank’s website (http://www.worldbank.org) and “Client Connection”. The Bank recommends that you register as a user of “Client Connection”. From this website you will be able to prepare and deliver Applications, monitor the near real-time status of the Grant, and retrieve related policy, financial, and procurement information. For more information about the website and registration arrangements, or if you have any queries in relation to the above, please contact the Bank by email at AskLoans@WorldBank.org using the above reference. Yours sincerely, Tatiana Proskuryakova Country Director for Central Asia Attachments 1. Form of Authorized Signatory Letter (ASL) 2. Form of Statement of Expenditure (SOE) 3. Form of Statement of Expenditure (SOE) for Subgrants 4. Form of Designated Account Reconciliation Statement (DARS) With copies Mr. Nizomidin Bakirov Director of the Forestry Agency Ministry of Natural Resources info@urmon.uz. Mr. Abduvokhid Zakhadullaev Head, Department of International Relations, Exports and Ecotourism The Forest Agency Ministry of Natural Resources miyon2001uz@mail.ru Schedule 1 - Disbursement Provisions Basic Information Country Republic of Uzbekistan Closing Date Section III.B.2 of Schedule 2 to Recipient Republic of Uzbekistan the Grant Agreement Grant TF B7845-UZ Name of the Project RESILAND CA+ Program: Uzbekistan Disbursement Four (4) months after the closing Number Resilient Landscapes Restoration Project Deadline Date date Subsection 3.7 ** Disbursement Methods, and Supporting Documentation Disbursement Methods Methods Available Supporting Documentation Section 2 (**) Subsections 4.3 and 4.4 (**) Direct Payment Yes Copy of Records Reimbursement Yes SOE in the format provided in Attachment 2 of the DFIL for all other expenditure SOE in the format provided in Attachment 3 of the DFIL for Subgrants Advance Yes SOE in the format provided in Attachment 2 of the DFIL for all other expenditure (into a Designated Account) SOE in the format provided in Attachment 3 of the DFIL for Subgrants DARS in the format provided in Attachment 4 of the DFIL Special Commitments Yes Copy of Letter of Credit Designated Account (Section 5 and 6 **) Type Segregated (DA-B managed by SCF) Ceiling Variable Financial Institution - To be established at a financial institution acceptable to the Bank USD Currency Name Frequency of Reporting, Monthly 6 months forecast of project expenditures, Subsection 6.3 (**) Amount as approved by the TTL Minimum Value of Applications (subsection 3.5) The minimum value of applications for Reimbursement, Direct Payment and Special Commitment is USD 100,000 equivalent for local currency payments and USD 50,000 for foreign currency payments. Authorized Signatures (Subsection 3.1 and 3.2 **) Withdrawal and Documentation Applications (Subsection 3.3 and 3.4 **) 1) The form for Authorized Signatories Letter (ASL) is provided in Attachment 1 of this letter. 2) All Withdrawal Applications and their supporting documentation shall be electronically submitted via the Bank’s web-based Portal “Client Connection”. Additional Instructions Funds from the Designated Account may be transferred to UZS Transit Account in a financial institute acceptable to the Bank to meet eligible project expenditures, provided that transactions and balance in these accounts are included in all project financial reports. ** Sections and subsections indicated relate to the Disbursement Guidelines for Investment Project Financing dated February 2017. Attachment 1 – Form of Authorized Signatory Letter (ASL) [Letterhead] Ministry of Economy and Finance [Street address] [City] [Country] [DATE] The World Bank 1818 H Street, N.W. Washington, D.C. 20433 United States of America Attention: [Country Director] Dear [Country Director]: Re: Grant No. - ( Project) I refer to the [Grant] [Letter] Agreement (“Agreement”) between the [International Bank for Reconstruction and Development/International Development Association] (“[World Bank”][“Association”])], acting as [an implementing agency of the Global Environmental Facility] [administrator of the Global Partnership on Output-based Aid] [administrator of name of the trust fund], and [name of recipient] (the “Recipient”), dated , providing the above Grant. For the purposes of Section 3.04 (b) of the Standard Conditions, as defined in the Agreement, any [7one] of the persons whose authenticated specimen signatures appear below is authorized on behalf of the Recipient to sign applications for withdrawal [and applications for a special commitment] under this Grant. For the purpose of delivering Applications to the [World Bank] [Association], 8[each] of the persons whose authenticated specimen signatures appears below is authorized on behalf of the Recipient, acting 9[individually] 10[jointly], to deliver Applications, and evidence in support thereof on the terms and conditions specified by the [World Bank] [Association]. 7 Instruction to the Recipient when sending this letter to the World Bank: Stipulate if more than one person needs to sign Applications, and how many or which positions, and if any thresholds apply. Please delete this footnote in final letter that is sent to the World Bank/Association. 8 Instruction to the Recipient: Stipulate if more than one person needs to jointly sign Applications, if so, please indicate the actual number. Please delete this footnote in final letter that is sent to the World Bank/Association. 9Instruction to the Recipient: Use this bracket if any one of the authorized persons may sign; if this is not applicable, please delete. Please delete this footnote in final letter that is sent to the World Bank/Association. 10Instruction to the Recipient: Use this bracket only if several individuals must jointly sign each Application; if this is not applicable, please delete. Please delete this footnote in final letter that is sent to the World Bank/Association. 11[This confirms that the Recipient is authorizing such persons to accept Secure Identification Credentials (SIDC) and to deliver the Applications and supporting documents to the [World Bank] [Association] by electronic means. In full recognition that the [World Bank] [Association] shall rely upon such representations and warranties, including without limitation, the representations and warranties contained in the Terms and Conditions of Use of Secure Identification Credentials in connection with Use of Electronic Means to Process Applications and Supporting Documentation (“Terms and Conditions of Use of SIDC”), the Recipient represents and warrants to the [World Bank] [Association] that it will cause such persons to abide by those terms and conditions.] This Authorization replaces and supersedes any Authorization currently in the [World Bank] [Association] records with respect to this Agreement. [Name], [position] Specimen Signature: [Name], [position] Specimen Signature: [Name], [position] Specimen Signature: Yours truly, / signed / [Position] 11 Instruction to the Recipient: Add this paragraph if the Recipient wishes to authorize the listed persons to accept Secure Identification Credentials and to deliver Applications by electronic means; if this is not applicable, please delete the paragraph. Please delete this footnote in final letter that is sent to the World Bank/Association. Attachment 2 – Form of Statement of Expenditure (SOE) for all other expenditure Statement of Expenditure (SOE) for Goods, Non-Consulting Services, Consulting Services, Training and Operating Costs Payments made during the period from to Grant No.: Application No.: Category No.: SOE No.: 1 2 3 4 5 6 7 8 9 10 11 Supplier’s WB Contract Type of Good or Currency Currency and Total Amount of % Amount Currency and Exchange Rate Date of Remarks Name Number in Service and Total Invoice Covered by Application Financed Eligible for Amount Paid Payment Client (CW/GO/CS/OP/TR) Amount of (Exclusive of Taxes, except by TF Financing from Designated Connection / Brief Description Contract Withheld taxes) (5 x 6) Account TOTALS Supporting documents for this SOE retained at (location) Attachment 3 – Form of Statement of Expenditure (SOE) for Subgrants Statement of Expenditure (SOE) for Subgrants Grant No.: Application No.: Category No.: Payments made during the period from to SOE No.: 1 2 3 4 5 6 7 8 10 11 12 Amount Eligible Date of Amount Reference or Name of Currency Amount of Date of Amount % Financed for Financing Exchange Withdrawal withdrawn No. of Subgrant Beneficiary of Grant Subgrant Subgrant Paid by TF (Col 6 x 7) Rate from DA from DA TOTAL Supporting documents for this SOE retained at (location) Attachment 4 – Form of Designated Account Reconciliation Statement (DARS) GRANT NUMBER ACCOUNT NUMBER WITH (BANK) 1. TOTAL ADVANCED BY WORLD BANK (OR COFINANCIER) 2 LESS: TOTAL AMOUNT RECOVERED BY WORLD BANK - 3. EQUALS PRESENT OUTSTANDING AMOUNT ADVANCED TO THE SPECIAL ACCOUNT (NUMBER 1 LESS NUMBER 2) = =========================================================== 4. BALANCE OF SPECIAL ACCOUNT PER ATTACHED BANK STATEMENT AS OF DATE 5. PLUS: TOTAL AMOUNT CLAIMED IN THIS APPLICATION NO. + * 6. PLUS: TOTAL AMOUNT WITHDRAWN AND NOT YET CLAIMED REASON: + * 7. PLUS: AMOUNTS CLAIMED IN PREVIOUS APPLICATIONS NOT YET CREDITED AT DATE OF BANK STATEMENTS APPLICATION NO. AMOUNT * SUBTOTAL OF PREVIOUS APPLICATIONS NOT YET CREDITED + 8. MINUS: INTEREST EARNED - * 9. TOTAL ADVANCE ACCOUNTED FOR (NO. 4 THROUGH NO. 9) = 10. EXPLANATION OF ANY DIFFERENCE BETWEEN THE TOTALS APPEARING ON LINES 3 AND 9: 11. DATE: SIGNATURE: TITLE: