102 Yakubu Gowon Crescent Telephone: (+234) 703 583 0641-4 Asokoro District (+234) 708 999 6090-1 P.M.B. 339, Garki Fax: (+234) 9 314 5267 Abuja, FCT January 18, 2022 Ref: MOFIER-220118-SPESSE-E232 Mrs Zainab S. Ahmed Honorable Minister of Finance Budget and National Planning Federal Ministry of Finance Budget and National Planning Finance Headquarters Central Business District Abuja, FCT Attention: Mrs. Aisha Omar, Director, International Economic Relations Department Re: IDA Credit 6525-NG (Sustainable Procurement, Environmental And Social Standards Enhancement Project) Additional Instructions: Revised Disbursement and Financial Information Letter - Transmittal I am writing to share the attached revised Disbursement and Financial Information Letter for the Nigeria Sustainable Procurement, Environmental and Social Standards Enhancement Project. This Disbursement and Financial Information Letter is a First Revision of the Disbursement and Financial Information Letter dated September 30, 2020 for the above referenced project. The purpose of the revision is to update Schedule 1, namely: to include relevant instructions for reimbursement of expenditures related to PBCs (DLIs) linked to Categories (4), (5) and (6). Thank you for your continued support and cooperation. Sincerely, Shubham Chaudhuri Country Director for Nigeria Western and Central Africa Region Mrs. Zainab S. Ahmed 2 January 18, 2022 CC: Federal Ministry of Finance, Budget and National Planning  Mr. Aliyu Ahmed, Permanent Secretary (Finance), Federal Ministry of Finance  Mrs. Aisha Omar, Director, IERD, Federal Ministry of Finance  Mr. Abdulfatah Abdulsalam, Deputy Director IERD, Federal Ministry of Finance  Mr. Paul Daloba, Assistant Director, IERD, Federal Ministry of Finance IDA-IBRD  Mr. Armando Manuel, Executive Director for Nigeria, Angola and South Africa, World Bank  Mr. George Nyeso, Senior Advisor to the Executive Director, Nigeria, Angola and South Africa, World Bank Date: January 17, 2022 Mrs. Zainab Ahmed Honorable Minister of Finance, Budget and National Planning Federal Ministry of Finance Finance Headquarters Central Business District Abuja, FCT Re: IDA Credit 6525-NG (Sustainable Procurement, Environmental And Social Standards Enhancement Project) Additional Instructions: Revised Disbursement and Financial Information Letter. Honorable minister: I refer to the Financing Agreement (“Agreement”) between Federal republic of Nigeria (the “Recipient”) and the International Development Association (the “Association”) for the above-referenced Project. The General Conditions, as defined in the Financing Agreement, provide that the Recipient may from time-to-time request withdrawals of Credit amounts from the Credit Account in accordance with the Disbursement and Financial Information Letter, and such additional instructions as the Association may specify from time to time by notice to the Recipient. The General Conditions also provide that the Disbursement and Financial Information Letter may set out Project specific financial reporting requirements. This letter constitutes such Disbursement and Financial Information Letter (“DFIL”) and may be revised from time to time. This Disbursement and Financial Information Letter is a First Revision of the Disbursement and Financial Information Letter dated September 30, 2020 for the above referenced project. The purpose of the revision is to update Schedule 1, namely: to include relevant instructions for reimbursement of expenditures related to PBCs (DLIs) linked to Categories (4), (5) and (6). I. Disbursement Arrangements, Withdrawal of Credit Funds, and Reporting of Uses of Credit Funds. The Disbursement Guidelines for Investment Project Financing, dated February 2017, (“Disbursement Guidelines”) are available in the Association’s public website at https://www.worldbank.org and its secure website “Client Connection” at https://clientconnection.worldbank.org. The Disbursement Guidelines are an integral part of the DFIL, and the manner in which the provisions in the guidelines apply to the Credit is specified below. (i) Disbursement Arrangements  General Provisions (Schedule 1). The table in Schedule 1 sets out 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 processing of advances), instructions on supporting documentation, and frequency of reporting on the Designated Account. (ii) Electronic Delivery. Section 11.01 (c) of the General Conditions. The Association may permit the Recipient to electronically deliver applications (with supporting documents) through the Association’s web-based portal (https://clientconnection.worldbank.org) “Client Connection”. This option may be effected if the officials designated in writing by the Recipient who are authorized to sign and deliver Applications have registered as users of “Client Connection”. The designated officials may 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 Association by electronic means. The Recipient may continue to exercise the option of preparing and delivering Applications in paper form. The Association reserves the right and may, in its sole discretion, temporarily or permanently disallow the electronic delivery of Applications by the Recipient. 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 Association'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. (i) Financial Reports. The Recipient must prepare and furnish to the Association not later than [forty-five (45)] days after the end of each calendar semester, interim unaudited financial reports (“IFR”) for the Project covering the semester. (ii) Audits. Each audit of the Financial Statements must cover the period of one fiscal year of the Recipient, commencing with the fiscal year in which the first withdrawal was made. The audited Financial Statements for each such period must be furnished to the Association not later than six (6) months after the end of such period. III. Other 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 Loan, 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 World Bank by email at AskLoans@WorldBank.org using the above reference. Yours sincerely, ___________________ Shubham Chaudhuri Country Director for Nigeria Africa Region Attachments 1. Form of Authorized Signatory Letter 2. Interim unaudited Financial Report (IFR) Template 3. Eligible Expenditure Program (EEP) With copies: [Ministry of Finance] [street address] [city], [country] [email address] [Project Implementing Entity 1] [street address] [city], [country] [email address] Schedule 1 : Disbursement Provisions Basic Information Country Federal Republic of Nigeria Closing Date October 31, 2024 Recipient Federal Ministry of Finance Credit Name of the Project Sustainable Procurement, Disbursement Number Environmental And Social Deadline Date Four months after the closing date. Standards Enhancement Project Subsection 3.7 ** Disbursement Methods and Supporting Documentation Disbursement Methods Methods Supporting Documentation Section 2 (**) Subsections 4.3 and 4.4 (**) Direct Payment Yes Copy of records Reimbursement Yes Interim unaudited Financial Report (IFR) in the format provided in Attachment 2 of the DFIL Designated Account Yes Interim unaudited Financial Report (IFR) in the format provided in Attachment 2 of the DFIL Special Commitments Yes Copy of Letter of Credit Designated Account (Sections 5 and 6 **) Type Segregated for all DA’s Ceiling Variable Central Bank of Nigeria DA-A -NUC DA-B-EA DEPT DA- C-BPP DA- D- FMOF DA- E- FMWASD Financial Institution - DA- F- SPESSCE 1 - University of Lagos Currency US Dollar Name DA- G- SPESSCE 2 - University of Benin DA- H- SPESSCE 3 - Federal University of Technology, Owerri DA- I- SPESSCE 4 - University of Agriculture Makurdi DA- J- SPESSCE 5 - Ahmadu Bello University, Zaria DA- K- SPESSCE 6 - Abubakar Tafawa Balewa University, Bauchi Frequency of Reporting Quarterly Amount Based on 6 months expenditure forecast Subsection 6.3 (**) Minimum Value of Applications (subsection 3.5) The minimum value of applications for Reimbursement, is USD 200,000.00 equivalent. Authorized Signatures (Subsection 3.1 and 3.2 **) The form for Authorized Signatories Letter is provided in Attachment 1 of this letter Withdrawal and Documentation Applications (Subsection 3.3 and 3.4 **) (i) Authorized Signatures A letter in the Form attached (Attachment 1) should be furnished to the World Bank at the address indicated below providing the name(s) and specimen signature(s) of the official(s) authorized to sign Applications: (ii) Applications. Please provide completed and signed (a) applications for withdrawal, together with supporting documents, to the address indicated below: The World Bank, Loan Department, Delta Center, 13th Floor, Upper Hill, Menengai Road, Nairobi, Kenya. Tel: 254 20 2936 000 Attention: Loan Department Additional [Information][Instructions] Funds may be transferred from the Designated Accounts to Naira Draw Down Project Accounts. Each Designated Account shall have a mirror project account in Local Currency open in the same Financing Institution of the DA. For expenditure under Categories 4,5 and 6, the project shall also attach the relevant EEP (attachment 3) for each of the DLI’s achieved and claimed. The DLI verification protocol acceptance by World Bank also needs to be attached. Expenditure submitted for PBCs (DLIs) for reimbursement purposes: With respect to PBCs (DLIs) related to Categories (4), (5) and (6), the Recipient may request withdrawals of Bank financing when the relevant expenditures have been incurred, but prior to the PBCs (DLIs) having been met, provided that the Recipient shall: (a) meet such PBCs (DLIs) no later than the Closing Date; and (b) submit to the Bank evidence satisfactory to the Bank of such PBCs (DLIs) having been met no later than the Disbursement Deadline Date. If by or before the Disbursement Deadline Date, the Borrower has failed to provide the Bank evidence satisfactory to the Bank that the PBCs (DLIs) related to Categories (4), (5) and (6) have been fully meet, the Borrower shall, upon notice from the Bank, promptly refund to the Bank the Withdrawn Loan Balance related to such Categories (4), (5) and (6). Except as the Bank may otherwise determine, the Bank shall cancel all amounts refunded pursuant to this Section.” With respect to PBCs(DLIs) related to Categories (4), (5) and (6), the Recipient may withdraw (i) an amount not to exceed $10,561,658.08 representing 20% of the PBCs (DLIs) as an advance; provided, however, that if the DLR[s] in the opinion of the Association, are not achieved or only partially achieved by the Closing Date, the Recipient shall refund such advance or portion of such advance as determined by the Association to the Association promptly upon notice thereof by the Association. Except as otherwise agreed with the Recipient, the Association shall cancel the amount so refunded. Any further withdrawals requested as an advance under any Category shall be permitted only on such terms and conditions as the Association shall specify by notice to the Recipient. Other As there are lapsed loans in the Nigeria portfolio, the advance method may not be allowed until these loans are closed in our records. These remedies are applied as per paragraph 202 and 203 of the Disbursement Handbook ** Sections and subsections relate to the “Disbursement Guidelines for Investment Project Financing”, dated February 2017. [Attachment 1 – Form of Authorized Signatory Letter] [Letterhead] Ministry of Finance [Street address] [City] [Country] [DATE] International Development Association 1818 H Street, N.W. Washington, D.C. 20433 United States of America Re: Credit No. _______-___ (Sustainable Procurement, Environmental And Social Standards Enhancement Project) Attention: Shubham Chaudhuri, Country Director I refer to the [Grant] [Credit] Agreement (“Agreement”) between the International Development Association (the “Association”) [, acting as implementing of the]1 and [name of recipient] (the “Recipient”), dated _______, providing the above [Grant] [Credit]. For the purposes of Section 2.03 of the General Conditions as defined in the Agreement, any 2[one] 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] [Credit]. For the purpose of delivering Applications to the Association, including by electronic means, 3[each] of the persons whose authenticated specimen signatures appears below is authorized on behalf of the Recipient, acting 4[individually] 5[jointly], to deliver Applications, and evidence in support thereof on the terms and conditions specified by the Association. This Authorization replaces and supersedes any Authorization currently in the Association records with respect to this Agreement. 1 Instruction to the Recipient: add text in line with the Grant Agreement if applicable, if not applicable delete it. Please delete this footnote in final letter that is sent to the Associations 2 Instruction to the Recipient: 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 Association. 3 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 Association. 4 Instruction 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 Association. 5 Instruction 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 Association. [Name], [position] Specimen Signature: ____________________ [Name], [position] Specimen Signature: ____________________ [Name], [position] Specimen Signature: ____________________ Yours truly, / signed / ______________ [Attachment 2 – Interim unaudited Financial Report (IFR)] Template to be provided by FM team [Attachment 3 – Eligible Expenditure Program (EEP)] (EEP) ‐ Eligible Expenditure Table    Amount Institutions Description Budget Line and Code     FOR INTERNAL DISTRIBUTION, ONLY Drafted by: George da Silva, Finance Officer (WFACS) Cleared with and cc: Frank Anthony Fariello, Lead Counsel (LEGAM) Bayo Awosemusi - Task Team Leader Cc: Akinrinmola Oyenuga Akinyele – Financial Management Specialist, (GG02