OFFICIAL DOCUMENTS .4N;1L World Bank Group INTERNATONAL BANK FOR RECONSrRUllON AND DEVh.OPMENT 202458 5 1818 11 Street, NW INTERNATIONAL DEVELOPMENT ASSOCIATION W-hgn DC243 S Diadetou Gave nhartltt I @worldbank.orh 2 USA Country, Dirmctor February 23, 2016 Ms. Jennie Barugh Head of Office DFID Uganda 4 Windsor Loop Lincoln Lane Entrance PO Box 7306, Kampala Uganda Arrangement by United Kingdom - DFID to Reimburse the International Bank for Reconstruction and Development for the Uganda National Risk Assesssment Externally Financed Output (the EFO) Dear Ms. Barugh : I. We are pleased to acknowledge on behalf of the International Bank for Reconstruction and Development (the Bank) the intention of United Kingdom - DFID (the Contributor) to provide as a grant the sum of One Hundred Twenty Thousand Six Hundred Seventy-two United States Dollars ( USD 120,672.00 ) (the Funds) to finance the Uganda National Risk Assesssment Externally Financed Output (the EFO), which forms part of the Bank's Republic of Uganda work program. The Contributor may subsequently contribute additional funding support for the EFO, which will be governed in all respects by the present EFO Arrangement (this Arrangement). The initial contribution and any subsequent funding from the Contributor will be referred to as the EFO Funds in this Arrangement. '2. The EFO Funds will contribute to the preparation of output(s) and/or activities(s) as described in the Annex attached hereto (Description of the EFO). The Annex constitutes an integral part of this Arrangement. 3. The EFO Funds will be utilized by the Bank in accordance with the Bank's policies and procedures as the same may be amended from time to time, including its framework to prevent and combat fraud and corruption and its screening procedures to prevent the use of Bank resources to finance terrorist activity, in line with the Bank's obligations to give effect to the relevant decisions of the Security Council, taken under Chapter VII of the Charter of the United Nations. The Contributor acknowledges that this provision does not create any obligations of the Bank under the anti-terrorist financing and asset control laws, regulations, rules and executive orders of an individual member country that may apply to the Contributor, nor will it be deemed a waiver, express or implied, of any of the privileges and immunities of the Bank. 4. The Contributor will make payment(s) of the EFO Funds in accordance with the payment schedule as specified in the Annex. 5. The Contributor will deposit the EFO Funds into the International Bank for Reconstruction and Development (IBRD) bank account as the Bank Contact specifies in writing to the Contributor Contact. 6. When making such deposit, the Contributor will instruct its bank to include in its payment details information (remittance advice) field of its SWIFT payment message, information indicating: the amount paid, that the payment is made by the Contributor for the " EFO Number EFOR 13 1 1063, Uganda National Risk Assesssment, United Kingdom - DFID ", and the date of the deposit. In addition, the Contributor will provide a copy of the Contributor's deposit instruction to the Bank's Corporate Expense Services Division by e-mail sent to rectrv@worldbank.org or by fax sent to USA (202) 614-1315. 7. It is expected that the EFO will be completed by June 30, 2017 or by such later date as the Bank and the Contributor may decide upon in writing. 8. The offices responsible for coordination of all matters related to carrying out this Arrangement and the EFO are: For the Bank (the Bank Contact) GFMST The World Bank 1818 H Street, NW Washington DC 20433, USA Tel : 202 458 2550 Fax : NA E-mail address: nbartlett I @ worldbank.org For the Contributor (the Contributor Contact) DFID Uganda 4 Windsor Loop Lincoln Lane Entrance, PO Box 7306, Kampala, Uganda Tel: 256 414 331120 Fax: n/a E-mail address: a-stevens@dfid.gsx.gov.uk 9. The Bank will have sole responsibility for the supervision and carrying out of the EFO and will deliver to the Contributor EFO progress and Completion reports as specified in the Annex. In the event of any changes in the EFO, the Bank and the Contributor may decide to changes to the scope, content, and timing of the EFO and changes to the amount of the EFO Funds. Decisions on any such changes will be documented by a revision of the Annex to this Arrangement, duly signed and dated by the representatives of the Contributor and the Bank. The Contributor understands and accepts that the Bank will not provide any reporting on the EFO Funds provided under this Arrangement beyond the standard EFO progress reports, and will not maintain separate records and accounts for the EFO Funds and will not have any further responsibility to the Contributor with respect to the EFO Funds otherwise than stated in this Arrangement. 10. Where appropriate to do so in the opinion of the Bank, the Bank will acknowledge the Contributor's contribution in any reference made by the Bank with respect to the EFO in publications, speeches, press releases or other similar materials. 11. The Bank will be solely responsible for the adequacy and quality of the EFO, and payment will not be unreasonably withheld due to any assessment by the Contributor acting in good faith on the adequacy or quality of the EFO. In the event that the Bank determines or decides, for any reason whatsoever, that completion of the EFO is no longer justified within the Bank's work program priorities, or will be substantially delayed compared to the date specified in paragraph 7 above or as amended, other than in any case for causes beyond its reasonable control, the Bank will refund to EFORK,311 -3 - the Contributor an appropriate portion of the EFO Funds. as determined by the Bank in its sole discretion, acting in good laith. after taking into account any work that may have been already carried out. 12. The Contributor will not be responsible for the activities of any person employed by the Bank as a result of this Arrangement, nor will the Contributor be liable for any costs incurred by the Bank in terminating the engagement of any such person. 13. Nothing in or related to this Arrangement is intended to be or should be understood as a waiver of the privileges and immunities of the Bank or its officers and employees. which privileges and immunities are hereby specifically reserved to the Bank as set out in the Bank's Articles of Agreement and other applicable rules of international law. 14. The Contributor and the Bank will use their best efforts to amicably settle any dispute, controversy, or claim arising out of or relating to this Arrangement. 15. The Bank and the Contributor may disclose this Arrangement and related information on the EFO in accordance with the Bank's and Contributor's policy on Access to Information. 16. This Arrangement may be amended only in writing between the Bank and the Contributor. 17. This Arrangement is not an international treaty and any dispute between the Contributor and the Bank over its interpretation or application (or both) will be resolved amicably. It is an administrative arrangement between the Bank and the Contributor. 18. Please confirm your acceptance of the foregoing. on behalf* of the Contributor, by signing. dating, and returning to us the enclosed copy of this Arrangement. Upon receipt by the Bank of the copy of this Arrangement countersigned by you, this Arrangement will become effective as of the date of the countersignature. Sincerely. INTERNATIONAL BANK FOR RECONST ON AND DEVELOPMENT 6//Dia ou Gaye Accepted: A Cotry Director DFID Uganda / By DateL C11 Name: Jennie Barugh Title Head of Office t I o , c 19 - c fll;~~~r- T,,"CADci7(Y c -4- ANNEX Description of the EFO Number 1063 J Uganda National Risk Assesssment As Of February 23, 2016 A. Summary Responsible Bank Unit GFMST Planned Completion Date of the EFO : June 30, 2017 Contribution Amount : One Hundred Twenty Thousand Six Hundred Seventy-two United States Dollars ( USD 120,672.00) B. Outputs and Activities 1. Objectives: The main objective of the project is to assist the client country authorities in carrying out their NRA with a view to improving their understanding of MLJTF risks and informing the design and implementation of their risk-based AML/CFT action plan to mitigate these risks. 2. Description of Activities and Outputs: Specific deliverables of this project are the first NRA of the client country (which will be presented as a report) and a corresponding draft action plan to address the findings of the risk assessment. The WB Team's role will be limited to technical support and guidance. Both the risk assessment and the action plan will be led and completed by the country, and will reflect the county's own findings and conclusions. The project is delivered in three phases: I Phase I - Preparation: During this phase the WB will support the client country in launching the risk assessment process, including forming the Working Group for the risk assessment; appointing nine team leads of the Working Group; and conducting preliminary data collection. The guidance of the WB team is provided remotely during this phase and includes at least one videoconference. The client country will ensure the participation of all relevant authorities in the WG and will also aim to include diverse private sector representatives in this workshop. The workshop participants are expected to review the documents and model templates beforehand and to bring the available data and information to the workshop. 2.Phase II - Assessment: Initial workshop in the client country to introduce the NRA Tool, establish the national Working Group (WG) that will undertake the risk assessment, and start the NRA process. Participants begin completing the NRA templates and identify further data and information needed to complete the risk assessment and agree on a timetable for completing the NRA. The initial workshop typically lasts 2-3 days. The WG collects the missing data/information, completes the NRA Tool templates, and re-evaluates the input variables where necessary. The WG drafts a report that presents the risk assessment results and supporting analysis and information. The WB team is available upon request for technical assistance on the NRA tool and assessment methodology. The WB Team reviews the draft NRA documents to ensure the accurate use of the tool and contribute to the quality of the analysis. In addition to completing the risk assessment, the WG is also expected to draft the risk-based action plan as a basis for relevant work in the final EF0 1063 1 -1 wkorkshop. During Phase 11, meeting the agreed milestones is the responsibility of the WG. 3.Phase Ill - Finalization: Final workshop in the client country serves to review the NRA findings and to support the drafting of the risk mitigation action plan for the identified risks. The WB Team and the client country organize a final workshop in the client country, generally 6-12 months after the initial workshop. At this final workshop. participants and the WB Team provide a final review of the NRA report., with the participation of the WG. After incorporating feedback from workshop, the NRA report will be finalized by the WG. Certain sessions of the final workshop will be allocated to developing/improving the risk-based action plans that are based on the NRA results. The last day of the workshop includes a special session with broader participation in order to communicate the NRA findings and risk-based action plans to policy makers and high level officials of stakeholder agencies. 3. Reporting: (i) Annual EFO Progress Report (Applicable only if FF0 duration exceeds 12 months) (ii) EFO Completion Report C. Payment Schedule The Contributor will pay the Bank an amount not exceeding a total of One Hundred Twenty Thousand Six Hundred Seventy-two United States Dollars ( USD 120,672.00 ) in one installment(s) upon written request for payment by the Bank, as follows: I One Hundred Twenty Thousand Six Hundred Seventy-two United States Dollars ( USD 120,672.00 ) upon countersignature of this Arrangement. All other terms of this EFO remain the same. Accepted INTERNATIONAL BANK FOR DFID Uganda RECONSTRUCTION AND DEVEL MENT - By: Niamc: Diariet Gaye / Name: Jennie Barugh Title: Country Director Title: Head of Office Date Date CL H~ 0- 1_ f -1