Mr. Timo Oula -2- TF050576

The World Bank 1818 H Street N.W. (202) 477-1234

INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT Washington, D.C. 20433 Cable Address: INTBAFRAD

INTERNATIONAL DEVELOPMENT ASSOCIATION U.S.A. Cable Address: INDEVAS

CONFORMED COPY

June 10, 2010

Mr. Timo Oula

Ambassador

Embassy of Finland
Street 10, Lane 1, House 39
Wazir Akbar Khan, Kabul
Afghanistan

Dear Sir:

AFGHANISTAN

Afghanistan Reconstruction Trust Fund (Ref: TF050576)

Eighth Amendment to Letter Agreement

We refer to the Letter Agreement dated June 27, 2002, between the Government of Finland, on the one part, and the International Bank for Reconstruction and Development, and the International Development Association (collectively, the “Bank”), on the other part, as amended to date (the “Letter Agreement”) pursuant to which the Government of Finland has made available to the Bank the sum of twenty six million six hundred thousand Euros (€26,600,000) as a grant for the purpose of contributing to the Afghanistan Reconstruction Trust Fund (the “Trust Fund”).

We acknowledge the intention of the Government of Finland to increase its contribution to the Trust Fund by an additional six million Euros (€6,000,000) (the “Additional Contribution”). After the Additional Contribution has been received by the Bank, the aggregate contribution to the Trust Fund will be thirty two million six hundred thousand Euros (€32,600,000)

Without prejudice to the provisions of paragraph 7(a) of the Annex to the Letter Agreement, we acknowledge the Government of Finland’s expression of preference that out of the Additional Contribution, two million two hundred fifty thousand Euros (€2,250,000) will be used for the purpose of co-financing the Microfinance Support for Poverty Reduction Program and another two million two hundred fifty thousand Euros (€2,250,000) will be used for the purpose of co-financing the National Solidarity Program (the “Programs”).

The Bank will use its discretion to ensure that out of the Additional Contribution, a total of four million five hundred thousand Euros (€4,500,000) supports the Microfinance Support for Poverty Reduction Program and the National Solidarity Program under the ARTF as indicated in the paragraph above.

Following confirmation of this amendment to Letter Agreement by you, the Government of Finland will deposit the Additional Contribution in accordance with the payment schedule above, into the IBRD Cash Account “T” No. 6008-62952017, Swift Bic Code: BOFAGB22, IBAN Code: GB37BOFA16505062952017 maintained with the Bank of America NT & SA Main Branch; SWIFT Code: BOFAGB22; P.O. Box 407, 1 Alie Street, London E1 8DE, United Kingdom. When making such deposit, the Government of Finland will notify the Bank of America to advise IBRD’s Treasury Operations Department as to the amount received, that it is from the Government of Finland for TF050576 (Afghanistan Reconstruction Trust Fund), and the date of the deposit. In addition, the Government of Finland shall send a copy of its deposit instruction to the Bank’s Accounting Trust Funds Division by e-mail sent to “” or by fax sent to (202) 614-1315. Upon receipt of the funds, the Bank will convert them into United States dollars.

The Government of Finland shall use the payment instructions and arrangements set out above when making its contributions, unless the Bank notifies the Government of Finland regarding any changes or modifications to these instructions and arrangements.

All the terms and conditions of the Letter Agreement, that have not been amended hereby shall remain unchanged and in full force and effect.

We propose that this amendment to the Letter Agreement shall, upon confirmation in the manner indicated below, constitute an agreement between the Government of Finland and the Bank. This amendment to Letter Agreement shall become effective upon signature by both parties. It is the Bank’s policy to make publicly available the Agreement and any information related thereto, including this amendment. By confirming below, Government of Finland consents to disclosure of this amendment letter after it has become effective.

Sincerely yours,

By/s/Nicholas J. Krafft

______

Country Director for Afghanistan

South Asia Region

Confirmed and Agreed:

GOVERNMENT OF FINLAND

By: By/s/ Timo Oula____

Ambassador

Embassy of Finland

Date: _June 29, 2010____