442 Rodericks Road Tel: (27-12) 742 3100 WORLD BANK GROUP Lynnwood 0081 Fax: (27-12) 742 3134 OFFICIAL DOCUMENTS February 9, 2017 Hon. Calle Schlettwein Minister of Finance Ministry of Finance Private Bag 13295 Windhoek Republic of Namibia TFSCB III Grant Agreement Collection, Analysis, and Dissemination of Household Survey Data in Namibia - Project Grant No. TF0A3457 Honourable Minister: In response to the request for financial assistance made on behalf of the Republic of Namibia ("Recipient"), I am pleased to inform you that the International Bank of Reconstruction and Development ("World Bank"), acting as administrator of grant funds provided by various donors under the Multi Donor Trust Fund for Statistical Capacity Building-III, proposes to extend to the Recipient a grant in an amount not to exceed five hundred thousand United States Dollars (US$500,000) ("Grant") on the terms and conditions set forth or referred to in this letter agreement ("Agreement"), which includes the attached Annex, to assist in the financing of the project described in the Annex ("Project"). This Grant is funded out of the abovementioned trust fund for which the World Bank receives periodic contributions from the Donors. In accordance with Section 3.02 of the Standard Conditions (as defined in the Annex to this Agreement), the World Bank's payment obligations in connection with this Agreement are limited to the amount of funds made available to it by the Donors under the abovementioned trust fund, and the Recipient's right to withdraw the Grant proceeds is subject to the availability of such funds. The Recipient represents, by confirming its agreement below, that it is authorized to enter into this Agreement and to carry out the Project in accordance with the terms and conditions set forth or referred to in this Agreement. PO Box 12629 * Hatfield 0028 * Pretoria (Tshwane) * South Africa Please confirm the Recipient's agreement to the foregoing by having an authorized official of the Recipient sign and date the enclosed copy of this Agreement, and returning it to the World Bank. Very truly yours, INTERNATIONAL DEVELOPMENT ASSOCIATION By: Catherine Signe Tovey Acting Country Director South Africa, Botswana, Lesotho, Namibia, Swaziland, Zambia, and Zimbabwe AGREED: REPUBLIC OF NAMIBIA t By: Authorized Representative Name: OA__ ____ ____ ___ Title: /1/(,''7F- 07 rz~vv -4~( Date: " Enclosures: (1) Standard Conditions for Grants Made by the World Bank Out of Various Funds, dated February 15, 2012. (2) Disbursement Letter of the same date as this Agreement, together with World Bank Disbursement Guidelines for Projects, dated May 1, 2006. TFSCB Grant No. TF0A3457 ANNEX Article I Standard Conditions; Definitions Standard Conditions. The Standard Conditions for Grants Made by the World Bank out of Various Funds dated February 15, 2012 ("Standard Conditions"), constitute an integral part of this Agreement. 1.01. Definitions. Unless the context requires otherwise, the capitalized terms used in this Agreement have the meanings ascribed to them in the Standard Conditions or in this Agreement. Article II Project Execution 2.01. Project Objectives and Description. The objective of the Project is to improve the collection, analysis, and dissemination of household survey data in Namibia. The Project consists of the following parts: (a) Support to carry out: (i) pilot household indebtedness and financial inclusion survey preparation, design, data collection, implementation, and dissemination; and (ii) training for NSA selected staff on such survey, including use of computer assisted interviewing tools. (b) Carry out an assessment and evaluation of the 2015/16 Namibia Household Income and Expenditure Survey (NHIES). (c) Carrying out statistical analysis of income and expenditure survey data and technical capacity building of NSA staff to conduct such analysis. 2.02. Project Execution Generally. The Recipient declares its commitment to the objectives of the Project. To this end, the Recipient shall carry out the Project through the Namibia Statistics Agency ("NSA") in accordance with the provisions of: (a) Article II of the Standard Conditions; (b) the "Guidelines on Preventing and Combating Fraud and Corruption in Projects Financed by IBRD Loans and IDA Credits and Grants", dated October 15, 2006 and revised in January 2011 ("Anti-Corruption Guidelines"); and (c) this Article II. 2.03. Project Monitoring, Reporting and Evaluation. (a) The Recipient shall monitor and evaluate the progress of the Project and prepare Project Reports in accordance with the provisions of Section 2.06 of the Standard Conditions and on the basis of the indicators set forth below in sub-paragraph (b) of this paragraph. Each Project Report shall cover the period of one (1) calendar quarter, and shall be furnished to the World Bank not later than one (1) month after the end of the period covered by such report. (b) The performance indicators referred to above in sub-paragraph (a) consist of the following: (i) cost effective design, implementation and data collection of NHIES and indicators of data quality; (ii) availability and public accessibility to key statistics and household indebtedness and financial inclusion survey data in a timely manner; (iii) development of a robust system for data verification and quality assurance for the NHIES; and (iv) full and timely implementation of the planned capacity building activities, including analytical outputs. (c) The Recipient shall prepare the Completion Report in accordance with the provisions of Section 2.06 of the Standard Conditions. The Completion Report shall be furnished to the World Bank not later than six (6) months after the Closing Date. 2.04. Financial Management (a) The Recipient shall ensure that a financial management system is maintained in accordance with the provisions of Section 2.07 of the Standard Conditions. (b) The Recipient shall ensure that interim unaudited financial reports for the Project are prepared and furnished to the World Bank not later than forty-five (45) days after the end of each calendar quarter, covering the quarter, in form and substance satisfactory to the World Bank. (c) The Recipient shall have its Financial Statements audited in accordance with the provisions of Section 2.07 (b) of the Standard Conditions. Each such audit of the Financial Statements shall cover the period of one (1) fiscal year of the Recipient. The audited Financial Statements for each such period shall be furnished to the World Bank not later than six (6) months after the end of such period. 2.05. Procurement All goods, non-consulting services and consulting services required for the Project and to be financed out of the proceeds of the Grant shall be procured in accordance with the requirements set forth or referred to in the "World Bank Procurement Regulations for Borrowers under Investment Project Financing" dated July 1, 2016 ("Procurement Regulations'), and the provisions of the Recipient's procurement plan for the Project ("Procurement Plan") dated June 30, 2016 provided for under Section IV of the Procurement Regulations, as the same may be updated from time to time in agreement with the World Bank. Article III Withdrawal of Grant Proceeds 3.01. Eligible Expenditures. The Recipient may withdraw the proceeds of the Grant in accordance with the provisions of: (a) the Standard Conditions; (b) this Section; and (c) such additional instructions as the World Bank may specify by notice to the Recipient (including the "World Bank Disbursement Guidelines for Projects" dated May 2006, as revised from time to time by the World Bank and as made applicable to this Agreement pursuant to such instructions), to finance Eligible Expenditures as set forth in the following table. The table specifies the categories of Eligible Expenditures that may be financed out of the proceeds of the Grant ("Category"), the allocations of the amounts of the Grant to each Category, and the percentage of expenditures to be financed for Eligible Expenditures in each Category: Category Amount of the Percentage of Grant Allocated Expenditures to be (expressed in USD) Financed (inclusive of Taxes) Goods, non-consulting services, 500,000 100% consultants' services, Operating Costs, and Training, Workshops and Study Tours TOTAL AMOUNT 500,000 For the purpose of this paragraph, the term: (a) "Operating Costs" means the operating costs under the Project incurred by NSA for purposes of the implementation, management, and monitoring and evaluation of the Project on account of office supplies and consumables, utilities, bank charges, communications, mass media and printing services, vehicle rental, operation, maintenance and insurance, office space rental, building and equipment maintenance, domestic travel, lodging, and subsistence allowances, and salaries of contractual and temporary staff, but excluding salaries, fees, honoraria, and bonuses of members of the Recipient's civil service. (b) "Training, Workshops and Study Tours" means the reasonable costs associated with training, workshops and study tours for selected participants, including travel and subsistence costs for participants, fees and costs associated with securing the services of trainers and speakers, rental of training and workshop facilities, preparation and reproduction of training and workshop materials, and other costs directly related to training courses, workshop and study tours preparation and implementation. 3.02. Withdrawal Conditions. Notwithstanding the provisions of Section 3.01 of this Agreement, no withdrawal shall be made for payments made prior to the date of this Agreement. 3.03. Withdrawal Period The Closing Date referred to in Section 3.06 (c) of the Standard Conditions is June 30, 2018. Article IV Recipient's Representative; Addresses 4.01. Recipient's Representative. The Recipient's Representative referred to in Section 7.02 of the Standard Conditions is the Recipient's minister responsible for finance. 4.02. Recipient's Address. The Recipient's Address referred to in Section 7.01 of the Standard Conditions is: Minister of Finance Ministry of Finance Private Bag 13295 Fiscus Bldg., 10 John Meinert Street Windhoek Republic of Namibia 4.03. World Bank's Address. The World Bank's Address referred to in Section 7.01 of the Standard Conditions is: International Development Association 1818 H Street, N.W. Washington, D.C. 20433 United States of America Cable: Telex: Facsimile: INDEVAS 248423 (MCI) or 1-202-477-6391 Washington, D.C. 64145 (MCI) Bcc: Guang Chen, Catherine Tovey, Nonhlanhla Zindela, Melanie Jaya; Erika Prinsloo, (AFCS 1); Ivan Velev, Grace Soko (AFCZA); Andrew L. Dabalen, Precious Zikhali, Victor Sulla (GPVO7); Senait Kassa Yifru (GPVOl); Johanna Tilburg, Mustafa Dinc, Masako Hiroga (DECDG); Mohammad Nadeem, Nidhi Sachdeva, Julie Rieger (LEGAM); Tandile Gugu Msiwa, Chitambala John Sikazwe (GGODR); Vidya Narasimhan; Christiaan Johannes Nieuwoudt (WFALA); Kisa Mfalila (GENO1); Nathalie S. Munzberg (OPSPF); AFCS 1-All Staff; Poverty GP Staff; AFCS 1- All Staff; WBDocs.