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      SOCIALIST REPUBLIC OF VIETNAM
January 6, 1997
International Development Association
1818 H Street, N.W.
Washington, D. C. 20433
United States of America
 Re: Credit No. 2929-VN (Rural Transport Project)
    Procurement Procedures for National Competitive Bidding
Dear Sir or Madame:
 We refer to Section I, Part C.1 of Schedule 3 of the Development
Credit Agreement (Rural Transport Project) between the Socialist
Republic of Vietnam (the Borrower) and the International Development
Association (the Association), of even date herewith concerning pro-
curement procedures.
 We hereby agree that the procedures to be followed for national
competitive bidding under said Section I, Part C.1, shall be those set
forth in the Annex to this letter.
 Please confirm the agreement on behalf of the Association to
the application of these procedures by signing the form of confir-
mation below.
Very truly yours,
by _______________________
  Authorized Representative
CONFIRMED:
INTERNATIONAL DEVELOPMENT
  ASSOCIATION
by ____________________________
  Regional Vice President
  East Asia and Pacific