TANIA MEYER Country Manager Cambodia 03-Apr-2025 ____________________ H.E. Dr. Aun Pornmoniroth Deputy Prime Minister Minister of Economy and Finance Ministry of Economy and Finance Street 92, Sangkat Wat Phnom Khan Daun Penh, Phnom Penh Kingdom of Cambodia Re: TF0C7108 Cambodia Inclusive Livestock Value Chains Project (CILVCP) Additional Instructions: Disbursement and Financial Information Letter Excellency: I refer to the Grant Agreement between the Kingdom of Cambodia (“Recipient”) and the International Bank for Reconstruction and Development/International Development Association (“Bank”) acting as the supervising entity of the Global Agriculture and Food Security Program (GAFSP) for the above-referenced Project. The Standard Conditions, as defined in the Grant Agreement, provide that the Recipient may from time-to-time request withdrawals of Grant amounts from the Grant (“Grant”) in accordance with the Disbursement and Financial Information Letter, and such additional instructions as the Bank may specify from time to time by notice to the Recipient. The Standard 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 and may be revised from time to time. I. Disbursement Arrangements, Withdrawal of Grant Funds, and Reporting of Uses of Grant Funds The Disbursement Guidelines for Investment Project Financing, dated February 2017 (“Disbursement Guidelines”), are available on 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. 2 (i) Disbursement Arrangements The table in Schedule 1 provides the disbursement methods which may be used by the Recipient, information on registration of authorized signatories, 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 Applications (Electronic Delivery) The Recipient shall deliver Withdrawal Applications (with supporting documents, “Applications”) electronically through the Bank’s web-based portal “Client Connection” at https://clientconnection.worldbank.org. This option will be effective after 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 shall deliver Applications electronically by completing Form 2380, which is accessible through “Client Connection.” By signing the Authorized Signatory Letter, which can be delivered manually or electronically, 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 these means. The Recipient may exercise the option of preparing and delivering 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 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 the Use of Electronic Means to Process Applications and Supporting Documentation, available in the Bank's public website at https://www.worldbank.org and “Client Connection” at https://clientconnection.worldbank.org; and (b) to cause such officials to abide by those terms and conditions. II. Financial Reports and Audits (i) Financial Reports The Recipient shall through the Ministry of Agriculture, Forestry and Fisheries (MAFF) prepare and furnish to the Bank not later than forty-five (45) days after the end of each semester, separate Interim Unaudited Financial Reports (“IFRs”) 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 Bank by the Recipient through MAFF not later than six (6) months after the end of such period. 3 III. Other Important Information. For additional information on disbursement arrangements, please refer to the Loan Handbook available on the Bank’s public website at https://www.worldbank.org and “Client Connection” at https://clientconnection.worldbank.org, 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 loan name and number. Yours sincerely, _____________________________ Tania Meyer Country Manager, Cambodia Attachments 1. Form of Authorized Signatory Letter 2. Form of Statement of Expenditures (SOE) 3. Designated Account Reconciliation Statements 4. Two Quarters of Cash Forecast With copies: H.E. Pen Thirong Secretary of State 4 Ministry of Economy and Finance (MEF) Street 92, Sangkat Wat Phnom Khan Daun Penh, Phnom Penh Kingdom of Cambodia Telephone: +855-23-724-664 Facsimile: +855-23-427-798 Email: thirong_pen@mef.gov.kh H.E. Meas Pyseth Secretary of State Ministry of Agriculture, Forestry and Fisheries (MAFF) Street No.200, Preah Norodom Blvd., Sangkat Tonle Basak, Khan Chamkarmorn, Phnom Penh Kingdom of Cambodia Telephone: +855-77-563-377 Facsimile: 855-23-215-321 Email: pysethmeas1@gmail.com 5 Schedule 1 : Disbursement Provisions A. Basic Information Country Kingdom of Cambodia Closing Date Section III.B.2 of Schedule 2 to the Recipient’s Ministry of Economy and Finance Grant Agreement Grant TF0C7108 Representative Number Name of the Project Cambodia Inclusive Livestock Value Disbursement Four (4) months after the Closing Chains Project (CILVCP) Deadline Date Date B. Disbursement Methods and Supporting Documentation Disbursement Methods Methods Supporting Documentation Direct Payment Yes Records (Supplier Invoices/Copy of Receipts) Reimbursement Yes Statement of Expenditure, in the format provided in Attachment 2 of the DFIL Advance (into a Designated Yes Statement of Expenditure, in the format provided in Attachment 2 of the DFIL Account) Designated Account Reconciliation Statement, in the format provided in Attachment 3 and related bank statement Special Commitments Yes Copy of Letter of Credit C. Designated Account(s) Segregated Accounts: Type and Management Unit DA-A - to be managed by MAFF/GDAHP. Ceiling Variable Financial Institution - Name National Bank of Cambodia Currency U.S. Dollars Quarterly Based on the two quarters of cash flow Frequency of Reporting1 Amount forecast D. Minimum Value of Applications The minimum value of applications for Direct Payment, Reimbursement, and Special Commitment is USD 100,000 equivalent. E. Authorized Signatures Withdrawal and Documentation Applications The form for Authorized Signatory Letter is provided in Attachment 1 of this letter. All Applications and its supporting documentation, and Authorized Signatory Letter will be electronically sent via the Bank’s system “Client Connection”. F. Additional Instructions  Sub-grant: The sub-grants are to be disbursed and recorded as indicated in the Project Implementation Manual. Other N/A 6 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 Attention: Mariam J. Sherman, Country Director for East Asia Pacific Region Dear Ms. Sherman: Re: TF0C7108 Cambodia Inclusive Livestock Value Chains Project (CILVCP) I refer to the Grant Agreement (“Agreement”) between the International Bank for Reconstruction and Development/International Development Association (“Bank”) acting as the supervising entity of Global Agriculture and Food Security Program (GAFSP) and the Kingdom of Cambodia (“Recipient”), providing the above Grant. For the purposes of Section 3.04 (b) of the Standard Conditions, as defined in the Agreement, any [ 1 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. For the purpose of delivering Applications to the Bank, 2[each] of the persons whose authenticated specimen signatures appears below is authorized on behalf of the Recipient, acting 3[individually] 4[jointly], to deliver Applications and evidence in support thereof on the terms and conditions specified by the Bank. 5 [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 Bank by electronic 1 Instruction to the Recipient when sending this letter to the Bank: Stipulate if more than one person needs to sign Applications, how many or which positions, and if any thresholds apply. Please delete this footnote in the final letter that is sent to the Bank. 2 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 the final letter that is sent to the Bank. 3 Instruction to the Recipient: Use this bracket if any one of the authorized persons may sign; if this is not applicable, please delete it. Please delete this footnote in the final letter that is sent to the Bank. 4 Instruction to the Recipient: Use this bracket only if several individuals must jointly sign each Application; if this is not applicable, please delete it. Please delete this footnote in the final letter that is sent to the Bank. 5 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 the final letter that is sent to the Bank. 7 means. In full recognition that the Bank 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 Bank that it will cause such persons to abide by those terms and conditions.] This Authorization replaces and supersedes any Authorization currently in the Bank records with respect to this Agreement. [Name], [position] Specimen Signature: ____________________ [Name], [position] Specimen Signature: ____________________ [Name], [position] Specimen Signature: ____________________ Yours truly, / signed / ______________ [Position] 6 6 Instruction to Bank staff: please forward this letter to the Country Lawyer for further processing (Recipient: please do not delete this note). 8 Attachment 2 – Statement of Expenditures SOE Model Template (incl. listing of prior review payments) IBRD – International Bank for Reconstruction and Development/IDA – International Development Association Statement of Expenditures Financier Payment made during the to Loan/Credit/Grant period from # Application # The following expenditures have been incurred during the retroactive Yes No Category # financing period (please tick) The following expenditures have been incurred before the closing date Yes No Page # of the loan/credit/grant (please tick) ONLY for the Designated Account 1 2 3 4 5 6 7 8 9 10 11 12 13 14 Ite Suppli Brief Prior Contr Contra Invoi Date Total % Eligi Excha Date of Amoun m er’s Descrip Review act # ct ce of Amoun Finan ble nge Withdr t No Name tion of (Contr Curren Num Paym t of ced Amo Rate awal Withdr the act?) (Client cy and ber ent Invoice from unt from awn Expend Conne Amoun Covere the the from iture (YES or ction # t d by Bank (Col Design the NO) for Applic 9x ated Design Prior (Origin ation 10) Accoun ated Review al + t Accoun Contra Amend (Net of t cts) ment) Retenti on) (Col 11/12) 0.00 0.00 TOTAL 0.00 Supporting documents for this SOE are retained at (insert location) A separate form should be used for each category. 9 Attachment 3 – Designated Account Reconciliation Statement Line Agency Project Name Reporting Period Statements of the Designated Account Currency: USD Amount Part A- Account Transaction Opening balance Add: Amount Deposited by IDA during the period Bank Interest Amount refunded to DA to cover ineligible expenditure Deduct: Amount withdrawn during the period Bank charges Amount refunded to IDA Closing balance Part B- Account Reconciliation Amount advanced by IDA Less: Amount recovered by IDA Outstanding advance at the period end Ending balance of the DA at the period end' Add: Amount claimed but not yet credited Amount withdrawn but not yet claimed Ineligible expenses to be refunded Less: Bank Interest Total Advance of the DA at the period end 10 Attachment 4 – Two Quarters of Cash Flow Forecast Line Agency Project Name Two quarter cash flow forecast For Period from XXX to XXX Currency: USD Note RGC IDA Total I- Fund Balance as at XXX DA balance Other bank accounts Cash on hand TOTAL a II- Forecasted payments for 2 next quarters Grant Co-financing facility Goods, works, non-consulting services, consulting services, training, and operating costs under other parts of the project TOTAL b Cashflow forecast c= b- a