OFFICIAL DOCUMENTS CREDIT NUMBER 6193-BD Financing Agreement (National Strategy for Development of Statistics Implementation Support Project) between PEOPLE'S REPUBLIC OF BANGLADESH and INTERNATIONAL DEVELOPMENT ASSOCIATION DATE: June 28, 2018 CREDIT NUMBER 6193-BD FINANCING AGREEMENT AGREEMENT dated June 28, 2018 between PEOPLE'S REPUBLIC OF BANGLADESH ("Recipient") and INTERNATIONAL DEVELOPMENT ASSOCIATION ("Association"). The Recipient and the Association hereby agree as follows: ARTICLE I - GENERAL CONDITIONS; DEFINITIONS 1.01. The General Conditions (as defined in the Appendix to this Agreement) apply to and form part of this Agreement. 1.02. Unless the context requires otherwise, the capitalized terms used in this Agreement have the meanings ascribed to them in the General Conditions or in the Appendix to this Agreement. ARTICLE II- FINANCING 2.01. The Association agrees to extend to the Recipient a credit, deemed by the Association to be on concessional terms, as set forth or referred to in this Agreement, in the amount equivalent to Ten Million Three Hundred Thousand Special Drawing Rights (SDR 10,300,000) (variously, "Credit" and "Financing"), to assist in financing the project described in Schedule 1 to this Agreement ("Project"). 2.02. The Recipient may withdraw the proceeds of the Financing in accordance with Section III of Schedule 2 to this Agreement. 2.03. The Maximum Commitment Charge Rate is one-half of one percent (1/2 of 1%) per annum on the Unwithdrawn Financing Balance. 2.04. The Service Charge is three-fourths of one percent (3/4 of 1%) per annum on the Withdrawn Credit Balance. 2.05. The Payment Dates are March 15 and September 15 in each year. 2.06. The principal amount of the Credit shall be repaid in accordance with the repayment schedule set forth in Schedule 3 to this Agreement. -2- 2.07. The Payment Currency is Dollar. ARTICLE III - PROJECT 3.01. The Recipient declares its commitment to the objective of the Project. To this end, the Recipient, through BBS, shall carry the Project in accordance with the provisions of Article V of the General Conditions and Schedule 2 to this Agreement. ARTICLE IV - REMEDIES OF THE ASSOCIATION 4.01. The Additional Event of Suspension consists of the following: the NSDS has been amended, suspended, abrogated, repealed or waived so as to affect materially and adversely the ability of the Recipient to perform any of its obligations under this Agreement. ARTICLE V - EFFECTIVENESS; TERMINATION 5.01. The Additional Condition(s) of Effectiveness consist of the following: (a) the operations manual referred to in Section I.A.3 of Schedule 2 to this Agreement has been issued and put into effect in a manner satisfactory to the Association; and (b) the Project director referred to in Section I.A.2(a) of Schedule 2 to this Agreement has been appointed in a manner satisfactory to the Association. 5.02. The Effectiveness Deadline is the date ninety (90) days after the Signature Date. ARTICLE VI- REPRESENTATIVE; ADDRESSES 6.01. The Recipient's Representative is the Senior Secretary/Secretary, any Additional Secretary, the Joint Secretary/Joint Chief, the Deputy Secretary/Deputy Chief, the Senior Assistant Secretary/Senior Assistant Chief or the Assistant Secretary/Assistant Chief of the Economic Relations Division of the Recipient's Ministry of Finance. 6.02. For purposes of Section 11.01 of the General Conditions: (a) the Recipient's address is: -3- Economic Relations Division Ministry of Finance Sher-e-Bangla Nagar Dhaka 1207 Bangladesh (b) the Recipient's Electronic Address is: Facsimile: E-mail: +88029180788 / +88029180671 sas-ida5@erd.gov.bd 6.03. For purposes of Section 11.01 of the General Conditions: (a) The Association's address is: International Development Association 1818 H Street, N.W. Washington, D.C. 20433 United States of America; and (b) the Association's Electronic Address is: Telex: Facsimile: E-mail: 248423 (MCI) 1-202-477-6391 qfan@worlbank.org -4- AGREED as of the Signature Date. PEOPLE'S REPUBLIC OF BANGLADESH By Authorized Representative Name: Kazi Shofiqul Azam Title: Secretary Date: June 28, 2018 INTERNATIONAL DEVELOPMENT ASSOCIATION By thorized Representative Name: Qimiao Fan Title: Country Director Date: June 28, 2018 -5- SCHEDULE 1 Project Description The objective of the Project is to improve the capacity of BBS to produce quality core statistics and make them accessible in a timely manner to policy makers and the public. The Project consists of the following parts: Part A: Improving the Coordination and Management of Statistical Activities 1. Improving the Coordination with Other Official Statistics Providers (a) Creation of a national statistics coordination council to oversee the coordination and statistical activities of the NSS. (b) Development, revision and/or improvement of agreements among Recipient's agencies producing statistics to ensure an efficient interaction and develop data sharing protocols. (c) Development of regulations and by-laws to improve inter-agency coordination. 2. Strengthening Management Systems Carrying out of a functional review of BBS and development of an implementation plan for: (a) improving BBS' business processes and workflows; (b) improving BBS' recruitment, procurement and financial management capacities; and (c) introducing quality management guidelines and enterprise resource planning systems. Part B: Developing Human Resources and Information Communication Technology (ICT) Infrastructure to Produce and Manage Data 1. Investing in Core Skills and Competencies (a) Development of a training policy and a training program for BBS staff led by BBS's existing training institutes. (b) Creation of an inventory of training needs. (c) Creation of an inventory of training facilities and sources, courses available and carrying out of assessments of local and regional training institutes able to partner with BBS to deliver training. (d) Provision of in-house training, study tours or advance programs. 2. Investing in ICT Development of an ICT plan and ICT investments to improve the efficiency of data collection and sharing of core statistics. -6- Part C: Improving the Coverage and Ouality of Core Statistics Required for Policy Making Improvement of the design, implementation and information generated by high priority, core statistical operations identified in the NSDS, through: (a) review of existing BBS' statistical activities to reduce identified gaps and redundancies and streamline their production; (b) provision of technical assistance and implementation of pilot activities to improve core statistics functions; (c) improvement of questionnaires, classifications and sampling methodologies for core statistics; and (d) introduction of data collection methodologies (i.e. computer assisted personal interviews/computer assisted field entry methodologies) to improve surveys' efficiency and quality. Part D: Promoting and Strengthening Access to, and the Use of, Official Statistics 1. Implementing an Effective and Clear Dissemination Policy (a) Introduction of a dissemination policy for core statistics. (b) Preparation of a 'release calendar' for managing core statistical operations and reports. (c) Improvement of accessibility to publications and other statistical products through BBS' website. (d) Improvement of user-producer dialogue. 2. Documenting Statistical Activities and Providing Better Access to Metadata (a) Provision of training on metadata. (b) Adherence of metadata to internationally accepted formats. (c) Improvement of accessibility to metadata through BBS' website, including production of printed forms for core statistics. (d) Improvement of accessibility to codes/syntaxes that produce core statistics. 3. Accessing Microdata for Further Research and Analysis (a) Provision of technical assistance and training on microdata anonymization. (b) Implementation of anonymization of microdata to ensure confidentiality following international best practices. (c) Development of tools for accessing to microdata, subject to policies protecting confidentiality and security and preventing misuse. (d) Improvement of accessibility of microdata. Part E: Project Management Provision of technical support for day-to-day Project coordination, implementation and management activities, including: (a) preparation of annual work plans and budgets; -7- (b) carrying out of Project financial management and procurement-related activities; (c) preparation and consolidation of periodic progress reports; and (d) carrying out of Project monitoring and evaluation activities. -8- SCHEDULE 2 Project Execution Section I. Implementation Arrangements A. Institutional Arrangements 1. By no later than one (1) month after the Effective Date, the Recipient shall establish, and thereafter maintain throughout the course of Project implementation, a steering committee with a mandate, functions, composition and resources satisfactory to the Association. Without limitation to the immediately foregoing provision, said steering committee shall: (a) be chaired by the SID Secretary and comprise representatives from the relevant ministries/agencies involved in Project implementation; and (b) meet at least every six (6) months to: (i) provide strategic and policy direction on all Project activities; (ii) review progress in Project implementation; and (iii) address any obstacle during Project implementation. 2. By no later than one (1) month after the Effective Date, the Recipient shall establish, and thereafter maintain throughout the course of Project implementation, an implementing unit with a mandate, functions and resources satisfactory to the Association, and with staff in adequate numbers and with qualifications, experience and terms of reference satisfactory to the Association. Without limitation to the immediately foregoing provision, said implementing unit shall: (a) be headed by one (1) Project director and supported by two (2) deputy Project directors; and (b) be staffed with technical experts and specialists in, inter alia, procurement, financial management, and monitoring and evaluation and reporting; and (c) be responsible for, inter alia, preparing annual work plans and budgets. 3. The Recipient shall issue, and thereafter maintain throughout the course of Project implementation, an operations manual, in a manner satisfactory to the Association, which shall set forth the rules and procedures for implementing the Project. Except as the Association shall otherwise agree in writing, the Recipient shall not assign, amend, abrogate, or waive, or permit to be assigned, amended, abrogated, or waived said manual and/or any provision thereof. In the event of a conflict between the provisions of said manual and those of this Agreement, the terms of this Agreement shall prevail. -9- Section II. Project Monitoring, Reyortin2 and Evaluation A. Project Reports The Recipient shall furnish to the Association each Project Report not later than forty-five (45) days after the end of each calendar semester, covering the calendar semester. Section III. Withdrawal of the Proceeds of the Financing A. General Without limitation upon the provisions of Article II of the General Conditions and in accordance with the Disbursement and Financial Information Letter, the Recipient may withdraw the proceeds of the Financing to finance Eligible Expenditures; in the amount allocated and, if applicable, up to the percentage set forth against each Category of the following table: Percentage of Amount of the Credit Expenditures to be Allocated Financed Category (expressed in SDR) (inclusive of Taxes) (1) Goods (excluding 10,300,000 100% vehicles), non-consulting services, consulting services, Training Costs and Incremental Operating Costs of the Project TOTAL AMOUNT 10,300,000 B. Withdrawal Conditions; Withdrawal Period 1. Notwithstanding the provisions of Part A above, no withdrawal shall be made: (a) for payments made prior to the Signature Date; and (b) until a financial management specialist has been hired under terms of reference and in a manner satisfactory to the Association. 3. The Closing Date is February 28, 2022. -10- SCHEDULE 3 Repayment Schedule Principal Amount of the Date Payment Due Credit repayable (expressed as a percentage) * On each March 15 and September 15, commencing 1.5625% September 15, 2024 to and including March 15, 2056 * The percentages represent the percentage of the principal amount of the Credit to be repaid, except as the Association may otherwise specify pursuant to Section 3.05 (b) of the General Conditions. -11- APPENDIX Section I. Definitions 1. "Anti-Corruption Guidelines" means for purposes of paragraph 5 of the Appendix to the General Conditions, 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 and as of July 1, 2016. 2. "BBS" means the Bangladesh Bureau of Statistics, a bureau under the Statistics and Informatic Division of the Ministry of Planning of the Recipient, or any successor, thereto, which the Association has confirmed in writing is acceptable of the purpose of this Agreement. 3. "Category" means a category set forth in the table in Section 111.1 of Schedule 2 to this Agreement. 4. "General Conditions" means the "International Development Association General Conditions for IDA Financing, Investment Project Financing", dated July 14, 2017. 5. "Incremental Operating Costs" means the reasonable incremental costs required for the day-to-day coordination, administration and supervision of Project activities, including leasing, repair and/or maintenance of vehicles, equipment, facilities and office premises; office rent; office supplies and utilities; consumables; communication expenses; translation, printing, photocopying and postal expenses; bank charges; advertising expenses; insurance costs associated to clearance, forwarding, inspection and transportation of goods; and Project-related meeting expenses and/or Project-related travel expenses provided that said expenses are paid to the eligible recipient through banking system (except for petty cash expenses following the Recipient's applicable existing policy on petty cash expenses); but excluding fuel, salaries, per diem, sitting allowances, honorarium and/or allowances of any nature. 6. "NSDS" means the BBS' national strategy for the development of statistics, dated October 28, 2013. 7. "NSS" means National Statistical System. 8. "Procurement Regulations" means, for purposes of paragraph 87 of the Appendix to the General Conditions, the "World Bank Procurement Regulations for Borrowers under Investment Project Financing", dated July 1, 2016 and revised November 2017. -12- 9. "Signature Date" means the latest of the two dates on which the Recipient and the Association signed this Agreement and such definition applied to all references to "the date of the Financing Agreement" in the General Conditions. 10. "Training Costs" means the reasonable costs required for the participation of staff in training activities, conferences, seminars and workshops under the Project, which have been approved by the Association in writing on an annual basis, including: (a) travel, hotel, and subsistence costs associated to training, conferences, seminars and workshops provided that such costs are paid directly to the eligible recipient using the banking system; and (b) costs associated with rental of training, conference, seminar and workshop facilities; preparation and reproduction of training, conference, seminar and workshop materials; costs of academic degree studies; and other costs directly related to preparation and implementation of any training course or workshop; but excluding sitting allowances and honorarium of any nature. 11. "SID Secretary" means the Secretary of the Statistics and Informatics Division of the Ministry of Planning of the Recipient.