DOORS" of

The World Bank

FOR OMlCIAL US OM

-X ~7 S 3- IIRspt Pi P-6319-IN

NEMtORtAJD AN REONENDAflON

OF TE

PREST OF T

ITEINATION&L BA FOR RECONSTRIUCTION AN DEVEMLPIERIT

TO TME

EXCtIQ.VE DIRECTRS

ON A

PROPOSED LOAN

IN TUEE AIouNT EQUIVALET TO US$94 MILLION

To CONTNER CORPORATION OF IDIA LTD.

WITH THE GUARANTEE OF INDIA

FOR A

CONTAIR TRANSPORT LOGISTICS PROJECT

MAY 18, 1994

MICROGRAPHICS

Report No: P- 6319 INType: MOP

This docme has a resticted d_triuo and may be usd by rnts only n he perfo a ofthi officia dutes Its cone_n may ng othrws be dicosed without Word Bnk ao&Worai.

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CURRENCY EOUIVALENTS

Currency Unit - Rupee (Rs)1 Rupee (Rs) = U!$ 0.0323US$ 1.00 - Rs 32

SYSTEM OF WEIGHTS AND MEASURES: METRIC

The metric system is used throughout the report.

ACONYMS AND ABBREVIATIONS

BFK = bogie container flatsCONCOR = Container Ccrporation of IndiaCFS container freight stationGOI = Govemment of IndiaGON = Govermment of the NetherlandsICD inland container depotIR = Indian RailwaysJNPT = Jawaharlal Nehm Port TrustKPH = Kilometers Per HourMOU = Memorandum of UnderstndingPOL = petroleum oil lubricantsPKM = passenger-kilometrsRDSO = Research, Design and Standards OrganizationREID = radio frequency identification deviceRlTES = Rail India Technical and lionomic ServicesTEU = twenty-foot equivalent unitsTK = Tughlakabad ICDTKM ton-kilometers

FOR OFFICIAL USE ONLY-MDIA

CONTrANER TRANSPORT LOGISTICS PROJECT

LOAN AND PROJECT SUMMARY

Borrower: Container Corporation of India Ltd. (CONCOR)

Executig Agency, Container Corporation of India (CONCOR)

Guarantor. India, acting by its President

AimouUt: IBRD Loan of US$ 94 million equivalent

Terms: Repayment in 20 years, includin, - 5-year graceperiod, with interest at the Bank's standardvariable rate

Financing Plan: (US$ million)

Local Fgn. Exchange ot

IBRD 66 28 94CONCOR 53 0 531The Netherlands 0 4 4

Total 119 32 151

Ecoaonic Rate of Return: 37 percent

Povety Category: Not applicable

Staff Appraia Report: No. 12780-IN

tIncludes duties and taxes of US$ 15.0 million

"li doc_t mhas a restricted distiuomn d may be used by oin In the p z oftheirJofa duts Itsontents m tothebisebedisclosedwithaoWodBDank audtha

MEMORANDUM AND RECOMMENDATION OF THE PRESIDENrOF THE INTE NATIONAL BANK FOR RtECONSMRUCrION AND DEVELOPMENT

T-D THE EXECUTVE DItECTORSON A PROPOSED LOAN TO THE CONTAINER CORPORATION OF INDIA LTD.

FOR A CONTAIER TRANSPORT LOGISTICS PROJECT

1 I submit for yow approval the following report and reco d n propoed loanto the Container Corporation of lidia Ltd. (CONCOR), with the guarantee of India, for the equivalentof US$ 94 million to help finance a Container Transport Logistics Project. The loan would be at theBank's stanard variable intest rate, with a maturity of 20 years, including a 5-year grace period.

2. Bacdgound. Despite relatively rapid growth duing the last few years, thecontainerizaon of general cargo presently accounts for only about 30 percent of the seaboard trade ofInda, as compared with 60 perce in many other developing couris. Perhaps mo importany*less than 15 percent of the containers passing through Indian ports move iWland while 85 percent arestuffed or desuffed in the ports. The fact that only 35 prcent of all cargo arriving at the leadinggeneral cargo port of Bombay is destied for the greater Bombay area, while 65 percent is shipped onto inland areas, clearly indicates the substantial growth potental for inland transport of overseas tradecontaiers. The amount of inland transport and of cargo suffed or destuffed at ports adds to thealready severe congestion of India's main roads. A recent study of road transport in the maincorridors noted that 46 percent of truckdng hauls on India's main highway network are in excess of500 kn and 26 percent in excess of 1,000 kan. Given the severe capacity constrais on Tndia's mainroads and the lower through costs, much of this traffic could be moved by rail in containers if high-quality, long-haul, multi-modal container services were made available.

3. Because containerization sti1l accounts for only a relatively small prentage of all cargoshipments and is largely limited to the seaborne leg of foreign trade (with most coners stffed ordestuffed at the ports), India is failing to capitalize on many of the advantages of multi-modalranisport and unitization. This includes lower packaging costs; less breakage; and more efficientstuffg/destuffing of containers by lower-cost labor in inexpensive, less-congested, higher-securityfacilities outside the port area. Perhaps even more important is that c ion would facilittrade by simplifying documetaon and making speedier payment to exporters possible (tbat is,exporters would receive payment on the basis of though bills of lading issued at an inland containerterminal rather than at the port of shipmet).

4. The low inland penetration of overseas coniners and limited domestic containermovements is caused by many different reasons, including (a) cumbersome customs regulations andprocedures that have especially restricted the movement by road of containers under bond; (b) theshortage of inland container depots (ICDs) and container freight stations t%FSs); (c) the absence of anappropriate legislative framework for multi-modal transport; (d) the shortage of railway flat cars andmulti-axle trucks suitable for the transport of containers; (e) tht generally poor condition of the roadnetwork that restricts road movement of containers; and (f) the low priority given by Indian Railways(IR) to such traffic.

5. Following the establishment of the Container Corporation of India Ltd. (CONCOR),considerable progress has been made in developing a network of ICDs and a ystem of dedicatedcontainer trains linking Delhi with the major ports of Bombay, Jawaharlal Nehru Port at NewBombay (JNPI), and Madras, as well as betweenBangalore, Madras and Cochin. The opening of theTughlakabad ICD (CM) near Delhi and new ICDs at Bangalore and Cochin in 1993 has eased theICD inastructur constrait to container transport and has helped CONCOR increase the number oftwenty-foot equivalent units (TEUs) handled, from 26,5( in fiscal 1991 to over 220,000 in fiscal1994.

6. Recenly, there have also been several other encourgn developments to promotemuldti-modal ansport in India which address many of the above constraints. These include:

2

(a) the GOI decision to permit private ownership and opeations of ICDs and CFSs(originally a CONCOR monopoly) and the establishment of a streamlined process forconsideration of such requests (a significant number of private CFSs hive already beenapproyed);

(b) the adoption of the Multi-modal Transportation of Goods Act that provides for theissuance of muiti-modal tasport documen and clarifies the responsibilities of themulti-modal transport operator;

(c) CONCOR's proposal to expand its conainer haning capacty and broaden its capitalbase by including an inital 5 percent private sector equity participation;

(d) several measures to simplify documentation and other procedures for customs clearanceand for the movement of conainers inland by road or rail; and

(e) IRs agreement to enhance service levels and operate regular container trans on majorcorridors with guaranteed transit times.

7. Rationale for IBRD Involvement and Country Assiotne Strategy. The proposedproject is conssent with the Bank's Country Assistance Strateg (report # P-6141-IN) for India,which focuses on supportng GOI's efforts to provide an enabling environment for broad-basedefficient private sector-led growth while accelerating poverty alleviation and the development ofhiman resources, which was discussed on May 12, 1994. Key elements of the CAS are to assist Indiain becoming a more trade-oriented economy, improving infhstructure services, increasing efficiency,promoting instutional capacity, and fostering competition in the transport sector in India. Lookingspecifically at the project, the development of international container transport is complex logisticallyand requires a commercial and institutional framework that is not yet complete in India. The Bankand the bilateral assistance from the Government of the Netherlands (GON) would assist intransferring relevant overseas experience in the technology of container handling and transport, whichwould improve the institutional capabilities of CONCOR as well as the industry. It would also enableCONCOR to become a fully competitive and fiancia}ly sound enterprise, permitting it to finance itsfutu requirements on the domestic capital markets through either debt or eqity financing.

8. Project Objectives. The overall objective of the project is to establish an enablingenvironment for container transport and to increase the capacity and efficiency of long-hul transportof high-value general cargo. More specifically, the proposed project would:

(a) improve the institutional fraework for efficient and competitive coainer transport toserve both foreign and domestic trade;

(b) strengthen the commercial and operational performance of CONCOR in anincreasingly competitive environment; and

(c) greatly improve the service level and capacity in the main corridors by providingmodem technology rolling stock to permit regular scheduled block train operations ongateway port corridors.

9. Project Description. The proposed project would help develop the necessary frameworkfor continer transport with particular emphasis, as a first step, on the main corridors of Delhi-Bombay/JNPT and Delhi-Madras. The project would include three major complementarycompoents:

3

(a) Improvement of the institutional amew,ork for efficient and conpetive containertra rt by removing some of the restrictive customs practices and policies on inlandmovements of containers (including by road) and by expanding customs working hoursat TKD.

(b) gtrenhenin gf the commercial approach and operati9nal cajacity of CONCOR in anincreasingly competitve environment by (i) fornalizing service relations with IR througha Memorandum of Understanding (MOU) relating to service leve}s of container trainsoperations; (ii) divesting at least 5 percent of the Government's equity in CONCOR; (ii)(iii) broadening the composition of the Board of Directors of CONCOR to include nonofficial part time directors; (iv) refoming CONCOR's claim policy to meet customersdemand and to be competitive with road transport; and (v) providing technical assistanceand tainig to improve CONCOR's operational, commercial, financial and generalmanagement capabilities.

(c) &=W scheduled hi&h-Wualitv container train services in the main corrdors through (i)purchase of 1,200 bogie container flats (BFK) flat cars from IR and retrofit with airbraking systems; (ii) purchase of 1,500 new container flat cars of new design (100 I;PHcapability); (iii) purchase of 5 prototype 60-foot long platform, lightweight flat carscapable of carrymg three loaded 20-foot ISO containers for testing purposes; (iv) afurther purchase of approximately 750 new flat cars of the same design as under (ii) oran equivalent capacity of the new designs under (ifl) (if the design has been approved bythe time of starting procurement); (v) procurement of complementary cargo handlingequipment for TKD ICD; and (vi) construction of civil works necessary for completingICD infucture.

10. The project would be implementeJ over 5.5 years at a total cost of US$ 151 million,with a foreign exchuge component of US$ 32 million (21 percent of tota project costs), includingUS$ 19 million in price contingencies. The IBRD loan would be for US$ 94 million, or 69 percent oftotal project cost, excluding dutes and taxes. The GON has agreed to provide co-financing of aboutUS$ 4 million equivalent for the technical assistae component of the project. The breakdown ofcosts and financing is shown is Schedule A. The proposed pourement aangments and thedisbursements schedule are given in Schedule B. A timetable of key project processing events and thestatus of Bank Group operations are given in schedules C and D respectively. The Staff AppraisalReport No. 12780-IN datd April 25, 1994, is being disb d separately.

11. Project Implemea CONCOR will implement the main components of the project,partiarly the procuement of flat cars and other equipmen and the related instittional componensin accordance with an agreed implementtion schedule and performance targets. Close coordinationand cooperation with TR will be needed to ensure the expected performance improvements as foreseenunder the draft Memorandum of Unetnding for 1994/95. The broader instiuional componentrelated to customs procedures and practices will be implemented by the Ministry of Finamnc. WileCONCOR would be the recipient of the technical assistae for operaional support and staff training,die GON would be responsible for contractig with the already selected consulting firm. Projectprocurement has recenty started and the project should be completed by June 30, 1999. A projectmid-erm review is planned for end 1995.

12. Frqject Susnblity. TMe sustinability of the project is dependent on (a) the ability ofCONCOR to improve its operational performance and stngthen its commercial approach to meetmarket needs; (b) the cooperation of IR in providing the necessary block tain paths and tracionpower; and (c) the c of the Government to removing some of the regulatory or proceduralconstrais to increased container transport in a competitive environment. Several measr havealready been taken by CONCOR and the Goverent (as mentioned in para 6 above). The operational

4

perfmnnance and commercial approach of CONCOR would be stengened by the technical assistancecomponent of the project and sever of the agreements reached during loan negotiations (pas 15and 16 below).

13. Lesons from Previous Bank/IDA Involvemet. It should be noted that there has beenno other project of a similar type in the transport sector in India. The overall Bank experience withlending to the transport sector has been somewhat mixed, especially in the area of projectimplementation and procurement, due to slow decision maldng and delays in counterpart funding aswell as capacity constraints and quality control by the constuction industry. The performance in therailway sub-sector has generally been much better than in the tranwsport sector as a whole. Counterpartfunding has been available and contratal disputes have been limited. However, there have beendelays in procurement.

14. Drawing on past experience, considerable attention has been given to several measuresto ensure efficient implemention of the proposed Containe Tranport Logistics Project. First,agreement has been reached on the key policy issues (such as the Multi-modal Transport of GoodsAct), changes in customs procedures, and private sector participation, which will enable conainertrawsport and CONCOR to function in a more efficient maner. Second, the prepation of thephysical components of the project is well advanced with the expected award of the first package ofcontuacts occurring within the nest nine months. FirWly, in order to improve the technical,operatonal, financial and marketing performance of CONCOR, the GON has provided a grant for acomprehensive technical assistance program, which is part of the project. Some provision forcomplementary technical assistance is also included in the proposed loan.

15. Agreed Actions. During negotiations with the Government and CONCOR, the followingmain assurances and agreements were obtained:

(a) that the Govermment will: (i) implement agreed oustoms-related measures to facilitateinland movements of containers in accordance with an agreed timig; (ii) offer for saleat least 5 percent of its share in CONCOR's equity; and (iii) cause 1k to maintain inforce an MOU with CONCOR; and

(b) that CONCOR will: (i) maintain in force a satisfactory MOU with IR; (ii) enter intoagreements for expeditious loading/disarging of container flat cars with the threegateway ports; (hii) submit to the Bank for comments the annually updated Business andFinance Plan; and (iv) implement the project so as to achieve agreed performance andfinancial targets.

16. Coaditions of Effectveness. The following conditions are specified for effectiveness:

(a) CONCOR has implemented a new claims policy, and

(b) CONCOR's Board of Directors shall have been broadened thru the appointment ofon-official members.

17. Evl Aspects. The project will have a positive enironmental effect bytransferring to rail part of the break bulk freight moving on the higly congested high-density corridor(HDC) highways. This will result in fewer accidents and rduced road congestion, noise, emissions,and POL consumption. In addition the acquisition of new high-speed flat cas will permit a higher andmore efficient utilization of dte increasingly overloaded railway network.

18. Project DBaits. The project has the potent to yield substaal benefits in terms ofreduced transport pad inventory costs and to that degree shod also serve to stimulate additional

trade. Parts of the long-haul non-bulk traffic currently movig on highways would also shift to themore economic rail transport mode, which has an estimad Economic Rate of Return of 37 percentfor this project. In addition, changes in customs regulations and private sector entry will facilitate thehandling and movement of containers, particularly for the short-haul road transportion of containers.There is littde risk that the proposed investments will fail to generate sufficient benefits to justify therelatively modest outlays due to the large unsatisfied demand for container transportation in hdia.

19. Risks. The main risk related to the project is that the expected improvements inCONCOR's performance may not be fully achieved due to insufficient support from IR in providingneeded block train paths and traction power. To reduce this risk, the MOU between CONCOR and IRclearly determines the obligations of IR and provides performance incentives ,for both parties.However, IR's priorities could shift in response to a shft in national priorities. Another risk is thatagencies, such as Customs, that derive little direct benefit from the project may be slow to amendtheir procedures and thus prevent or delay benefits from being fully realized. In an attempt to reducethis risk, up front and short term actions, particularly in respect to customs procedures, have beenagreed with GOI. Finally, the foreign exchange risk of the project will be borne by CONCOR eventhough all of its revenues are in Rupees. The results obtained from running sensitivity analysesindicate that CONCOR would be able to meet its debt-servicing obligations even with a depreciationof the Rumee at a rate two times of that projected by the Bank.

20. Recoendatmon. I am satisfied that the proposed loan would comply with the Articlesof Agreement of the Bank and recommend that the Executive Directors approve it.

Lewis T. PrestonPresident

Attachments

Washington, D. C.April 25, 1994

6

Schedgle APage 1 of 2

INDIACONTAINER TRANSPORT LOGISTIC PFROJECT

PROJECT COST SUMMARY TABLE(US$ millions)

EstimatedEstimated Loca Exchange Estimated

Component Description Fgn. Exch. Loc. C. - Duty/Taxes Total

1. Retrofit braking systemof 1,200 BFK flat cars* .00 3.36 .24 3.60

2. Purchase 1200 BFKflat cars* .00 18.75 1.31 20.06

3. Construction of 1,500modern design flat cars 15.75 36.75 6.51 59.01

4. Construction of 5 tri-axle flat cars .45 .00 .11 .56

5. Construction of 750m-modem design flat cars 7.88 18.37 3.26 29.51

6. Container HuAling andTracking Equipment 2.60 .19 .72 3.51

7. ICD Construction*- Tughlakabad .00 5.18 .36 5.54- Ludhiana .00 2.93 .20 3.13- Hyderabad .00 1.76 .12. 1.88

8. Computer Software Systems* .00 .45 .03 .48

9. Consultancies and Training*

(a) Technical Assistance for Capacity 3.70 .00 .00 3.70Building and Training**

(b) Engineering Services for Project .00 1.00. .00 1.00Preparation and Implementation Support

SUB-TOTAL 30.38 88.74 JIM 131.28

Contingency 1.62 15.26 2.14 19.02

TOTAL -Q32.00 1Q0 15.00 151.00

7

-Schedule APage 2 of 2

DISTRIBUTION OF FINANCING(US$ millions)

EstimatedEstimated Local Exchange EstinatedFgn. Exch. Loc. C. - Duty/raxes Total

Govermnent of The Netherlands 4.00 .00 .00 4.00World Bank 28.00 66.00 .00 94.00CONCOR .00 38.00 15.00 53.00

Total 32.00 104.00 15.00 151.00

* Items to be fully funded by CONCOR.** Item to be funded by GON in the amount of

US$ 3.5 million equivalent and by Bank in the amount ofUS$ 0.2 million equivalentBilateral Assistance

8

Schedule BPage I of 2

CON-TAINER TRNMSPOR LDGIM PRJCT

Procurement Method m Distrinn

S. No. Pzoject Element Procurement Method NBF(a) Total Cost

ICB LCB Ottherst. Works 12.1(b) 12.1(b)

Goods and Equipment

2.1 New rolling stock 101.1 101.1(2,250) (91.1) _ (91)

2.2 Five tri-axle flatcar for 0.6(c) 0.6testing (0.5) (0.5)

2.3 Purchase of 1,200 used 23.1(b) 23.1(b)BFK flat cars

2.4 Retrofit braking system of 4.1(b) 4.1(b)1,200 BFK flat cars

2.5 Handling equipment 2.3 1.0(b) 3.3(1.8) (1.8)

2.6 T ucks, chassis and other 0.2b) 0.2(b)equipment . _

2.7 Computers and software : 0.6(b) 0.6(b)

2.8 Transponders and related 0.5 0.5equipment (0.4) _ . _ (0.4)

3. Technical Assistance L

3.1 Capacity Building and 0.2 4.0(d) 4.2(d)Training (0.2) (0.2)

3.2 Project Preparation and 1.2(b) 1.2(b)hmpletnentation Support . _ -

Grand Total 103.9 0.8 46.3 151.0(93.3) (0.7) (94.0)

Note: Figures in parentheses indicate amount financed by Bank. The order of these notes are:

a. Not Bank financed.b. Financed by CONCOR.c. Procurement of the prototype td-axle flatuar for testing purposes may be acquired either

through ICB or from the proprietary manufauer.d. Financed under The Netherlands Grant.

9

Page 2 of 2

Disbursement Cate,eorjes

% of ExpendiureCategorsr - E to beDisbsed

(1) Flat ,ars, cargo 100% of foreignhandling and other expenditures andequipment 100% of local

expenditures(ex-fatory cost)

(2) Technical assistance 100%and training

Estunated Ds

Bank FY FY95 FY96 FY97 FY98 FY99 FY2000US$ million)-

Annual 12 26 28 16 8 4Cumulative 12 38 66 82 90 94

10

Schedule C

CMUMER TRANSPORT LOIST-ICS nPRJECT

Timetable of Key Processini Events

Time to prepare: Five years

Project prepared by: Container Corporation of Mndia with BankAssistarnce

First Bank Mission: July 1989

Appraisal Mission: January 7-24, 1994

Negotiations: April 11-15, 1994

Planned Date of Effectiveness: September 1994

List of Relevant PPARs-and PCRs: None

SCHEDULE D

PAGE 1 of 4THE STATUS Of aXK GROP OPERATIOS iN INIA

STA=EET OF BANK LwAS AND IDA aRIITS

(AG of March 31. 1994)

- ~~~~~~~~~~~~~~~~~USS Million

(net of caneellationstLoaSn Ft of ---------------------------------------Credit A Jpproval Purpose ZIRD IDA l/ Undisbursed 2/

__.__- _.__. .. _.... _ _-------------------------- _^-_---. ..-- .----- - --- _-- -.. _____________

1/ 113 Loans/ 8939.41/ 169 Credits fully disbursedicancelled 12988.1

13S5-DN 1983 Upper Indravati Hydra Power - 170.00 11.292442-IN 1984 Fatakka rr Thermal Power 278.80 - 36.491496-IN 1984 *3ujarat Medium Irrigation - 1S1.12 12.74SF-20-ZN 1984 Indira Sarovar Hydroelecttti - 13.84 17.65S-16-IN 1984 Periyar Vaigai It Irrigation - 17.50 2.551426-IN 1984 Population III - 70.00 1. 081424-ZN 1984 Rainfed Areas Watershed Dev. - 22.35 2.OSSF-12-IN 1984 Tamil Nadu Water Supply - 36.S0 2.741454-IN 1984 Tamil Nadu Water Supply - 36.50 10.761483-IN 1984 Upper Ganga Irrigation - 105.43 10.682S44-IN 1985 Chandrapur Thermal Power 28C.0 80.601613-IN 1985 Indira Sarovar Hydroelectric - 13.20 15.26z582-IN 1985 Kerala Power 1S6.00 - 87.082534-IN 1985 National Highways 133.00 - 31.38i665-ZN 1986 Andhra Pradesh It Irrigation - 140.00 22.702660-IN 1986 Cement Industry 165.00 - 15.522674-IN 1986 Combined Cycle Power 485.00 - 15.251643-IN 1986 Gu1arat Urban - 50.34 17.432661-ZN 1986 ICICI - Cement Industry 35.00 - 3.481622-ZN 1986 Kerala Water Supply and Sanitation - 21.80 4.631621-IN 1986 Maharashzra Composite Irrigation - 128.82 94.941631-IN 1986 National Agricultural Research It - 57.21 14.991619-IN 1986 Vest Bengal Minor Irrigation - 45.4S 18.351623-IN 198S West Bengal Population - 45.85 10.811737-ZN 1987 1ihar Tubewelle - 22.29 7.481750-IN 1987 Bombay Water Supply & Sewerage III - 145.00 65.052769-IN 1987 Bombay Water Supply & Sewerage III 30.00 - 30.002796-IN 1987 Coal Mining 4 Quality Improvement 323.06 - 30.741757-rN 1987 Oujarat Rural Roads - 96.75 38.452846-IN 1987 Madras water Supply 53.00 - 24.261754-IN 1987 National Agric. Extension III - 66.62 17.51i844-ZN 1987 National Capital Power 373.00 - 82.501770-IN 1987 National water Management - 114.00 28.782785-IN 1987 Oil India Petroleum 140.00 - S.112845-IN 1987 Talcher Thermal 367.00 - 179.502813-ZN 1987 Telecommunications rX 168.00 - 4.831780-IN 1987 Uttar Pradesh urban Development - 120.95 55.441931-IN 19S8 Bombay & Madras Population - 57.00 16.432928-IN 1988 Indcan. Fin. & Tech. Asst. 360.00 - 41.552893-IN 1988 National Dairy iI 200.00 - 148.282935-IN 1988 Railway Modernization III 270.00 - 26.901923-IN 1988 Tamil Nadu Urban Dev. - 254.73 104.043093-ZN 1989 Electronics Industry Dev. 8.00 - 7.503058-IN 1989 Export Development - 120.00 - 9.S13096-IN 1989 Maharashtra Power 354.00. - 264.843024-IN 1989 Nathpa Jhakri Power 485.00 - 416.461952-IN 1989 National Seeds III 147.24 55.642022-IN 1989 National Sericulture - 133.35 67.182057-IN 1989 Nat'l. Family Welfare Trng. - 72.76 40.843044-ZN 1989 Petroleum Transport 50.00 - 15.001959-IN 19S9 States Roads - 80.00 0.012994-ZN 1989 States Roads 115.00 - 98.522010-ZN 1989 Upper Krishna Irrigation I - 160.00 65.393050-IN 1989 Upper Krishna Irrigatzon II 45.00 - 45.002008-ZN 1989 Vocational Training - 163.85 106.62!3196-IN 1990 Cement IndFistry Restructuring 300.00 - 140.302115-ZN 1990 Hyderabad Water Supply - 79.90 S1.S92064-ZN 1990 Indu trial Technology Development - SS.00 47.283119-IN 1990 Industrial Technology Development 145.00 - 72.673237-ZN 1990 Northern Region Transmission 48S.00 - 446.62133-IN 1990 PopulatiOn Training VII 63.96 40.12

SC==

PAGSE 2 of 4

US$ t9illion(Sec og cancellacions)

1040/ flp of ........... .......Credit P Approval Purpose 1UD 'IDA tJ URduSigNSed 2/

.*-------- __._.._.....................__.. ... .... ._.... .*,.......... .....-.. - --........... .*..

3239-U; 1990 Private Power Utilitzes Z eTZC 98.00 - 31.Sl2076-tN t990 PUn3eb Zr?qa;loniDralnaq - 14S.28 113.442154-UN t 99a TM" Nadu lntegrated NutrIlon It - 67.12 * 49.642130-XN 1990 Teehnici Eduaarion I - 210.74 146.902100-tN 1990 atersbhd Ovelopment (ills) -7S. S7.672131-UN 199Q Wacershed Oevelopmenc (Pl-aun) SS.00 47.6S332S-tN 1991 am Safety 23.00 -23 02141-tU 1991 Dam Saetey - t30a00 23273364-UN 1991 as Plaqing Reducclo, 450.00 44.9221373-t 1991 rcDS t (Orasa & Andhra Pradeshl 74.35 S2.773334-UN 1991 Industrial Pollution Control 124 .00 - 66642252-UN 1991 tidustrzal Pollutmn Control 31.60 31. 012234-U8 1991 Maarashtra Rural Mater Supply -109.90 00.36312S-D 19:1 Petrocedmicals It -00 - 11.003259-It 1991 PetTCh=e1Cakls It 233-30 145.793344-U; 1991 Private Paver Utilities U1 3180-) 200.00 90.73221S-UN ln91 Tamil Nadu Agricultural Development - 92.10 6S.623300-rN 1991 Tamil Nadu Agr&cultural Oevelopment 20.00 - 20.0022232-N 1991 Technician ducacyon rr - 25S.73 210.622300-UN 1992 Child Survival and Safe Motherhood - 214.50 lSL.992194-U; 1992 Famly Welfare Urban sum - 79.00 81.492320-ZN 1992 Maharasttera Forestry - 124.00 114.922310-U; 1992 National AIDS Centrol 0 64.00 69.583436-U; 1992 Power Utilities Efficiency 265.00 - 250.903490-UN 1992 Second Nahaeashtra Power 350.00 _ 329.723470-UN 1992 Second Natioal sighay lS3.00 1S3.002361-UN 1992 Second Natioal Highway S3.00 :53.412329-U; 1992 Sbhimp and Fish Clture - s.00 83.432341-UN 1992 West lenal Forestry 34.00 24.062433-U; 1*93 Agricultural Developmnt RaJ"ethan - 106.00 94.112439-Z11 1993 Bikar Plateu Developmenc - 11t.00 107.8S245-U; 1993 Jharia Hie fire Control - 12.00 11.6S2483-UN 1993 Kanutaka Rural Water Supply - 92.00 68.332528-IF 1993 atinal Leprosy EiminatUin -8S.00 81.713632-UN 1993 N1PC Power Geneaion * 400.00 - 400.003630-U; 1993 Power Finance Corporation 20.00 - 20.003577-"u 1993 Porgrid Sytm Delopment 35.00 - 323.133544-IN 1V93 Renwable Resources Delopmnt 7S.00 - 53.007449-MU 1993 Renewable Rsouce 04velopMnt - 115.00 112.242409-IN 1993 Rubber - 92.00 09.722470-Zn 1993 Secnd Integrated Child ev. - 194.00 190.482440-U; 1S93 Socdia Safety Net Sector Ad3ustment - SOO.00 250.472509-Ut 1993 Uttar Pradesh BSic Education - 165.00 156.242510-11 1993 Uttar Pradesh Sodic Lands Recla. - 54.70 53.102572-U; 1994 Forestry Research Educattn *- 47.00 47.742S73-UN 1994 Aadbra Pradesh Forestry I 77.40 76.532592-U 194 Mater Resources Cnsol. (1Nya) * - 250.00 264.532s94-ru 199 SSrashtraEergency Earthbuake * - 246.0O 249.90

Total 17636.5 20130.0 9946.2of which has been repaid 4447.7 1140.1

______.__ .__........_

Total now outstandig 13108.0 10909.9Amount Sold 133.Sof which has been repaid 133.8

Total no held by Ban and IA 13455.15 10415.56

Total undisbursed (excluding *I 3923.1 3901.9

1/ MDA Credit amounts for 0R-denominated Credits are expresgd in tezer of their Us dollarquivaler.t. as established the time of Credit negotiations and as subsequently

presentd to te Board.2/ Vledieburse eamts for SR-denomted IDA Cedts are derived as the undisburse balane

expressed in SR equivalents fin tun derived as the differene betwee the original principalexpresed in S0 (Eased on the excage rate as eatabsishd at the tii of credit negotiatonand the ch alAtive disbUrsemeRts cnaverted to MDM eqvalents at eM exchange rates prvailingat the respective dates of disbursemens less cancellations expressed in SDR equivalents covertedCo US dollt equivalts St 10IUS dllar exchage aeQ int exfhft an March 31. 1994.

* Not yet effective.

Soure t Statement of Loans ald Credits (LWAMA) of Marxh 31. 1994.

SOIZDULI D

PAGE 3 OF 4

3. STATEDE? OF IFC MINVE. S... ______ ._...__...._...__,.

(As of March 3U. 1994)

Amount (US$ Million)

Fiscal Year Company Loa _ quity Total__________ _--- .... -.---------------------- ----- __-- ----....... ------

1959 Republic Forge Company 4td. 1.50 _.S0;959-92 Kirloskar Oil Engines Ltd. 0.85 - 0.51960 Assam Sillimanite Ltd. 1.36 -. 1.361961 K.S.3. Pumps Ltd. 0.21 -- 0.2i1963-66 Precision Bearings Todia Utd. 0.65 0.38 1.031964 Fort aloster Industries Ltd. 0.81 0.40 1.211964 Lekahsd Machine Works Ltd. 0.9" 0.36 1.321964-75-79190 Mahindra Ugine Steel Co. Ltd. 11.81 2.04 14.651967 Indian Bzplosives Ltd. 8.60 2.86 11.461967 Jaysbre Chemicals Ltd. 1.05 0.10 1.1S1969-70 Zuari Agro-ChesMloal Ltd. 1S.lS 3.s6 16.911977-87 Searts Limited 1S.SS -- 1S.551978-87/91/93 Mousing Development Finance Corp. 106.29 4.05 110.341960/82/87/89 Deepak Fertilizer and Petrochemicals Corporation Ltd. 7.50 4.23 11.731961-82 Magar7un Coated Tubes Ltd. 1.So 0.24 1.742.981-82 sagarjuna Steels Limited 2.88 0.24 3.121981-66-89 Tata Iron and Steel Company Ltd. 131.04 24.49 155.531981-90/93 Mahindra & Mahindra Ltd. 29.71 9.30 39.011982 Ashok Leyland Limited 28.00 -- 28.001982 Coromaudel Fertilizers Limited 15.6 -- 1.5.881982 The Bomby Dyeing and Manufacturing Co. Ltd. 18.80 -- 18.801982-87/91-93 rT2 Signode 2.99 1.01 4.001982-87 The Indian Rayon Corp. Ltd. 14.57 __ 14.5719S3 Sharat Forge Company Ltd. 15.90 -- 15.901984-86 The Gvalior Rayon Silk Manufacturing (Weaving) Co. Ltd. 15.95 __ 15.95198S Biaja Auto Ltd. 23.93 __ 23.931985 Nodi Cement U.05 OS 13.05198S-66/90-91 India Loase Development Ltd. 8.SO 0.78 9.261985/91 8i4hr Spange 15.24 0.66 15.921966 Baja Tempo -Limited 30.54 -- 30.541986/93 1ndia quipment Leasing Ltd. S.SO 0.44 3.941986 Larsen and Toubro Ltd. 21.78 -- 21.781982-67-93/94 The Great Eastern Shipping Compy Ltd. 68.00 13.69 81.8919i7 Zzport-Import Bank of India 15.45 -- 15.451987 Guajrat Fusion Glass Ltd. 7.S2 1.70 9.221967 Gularat Maunmda Valley Pertilixer 38.07 -- 38.071967 Hero Honda Motors Ltd. 7.74 _.741967 rindustan Motors Ltd. 39.14 __ 39.141987 The Gujarat Rural Housing Finance Corp. -- 0.19 0.191967 Vinco Limited 4.70 __ 4.701967-89/90 Titan Watche" Linited 22.02 1.15 23.171988 rnvel Transmissions Ltd. -- 1.07 1.071989 Ahmedabad Electricity Company, Ltd. 20.e3 -- 20.831969 WX4 Advanced Technology -= 0.20 0.201969-90/92 Keltron Telephone Instruments. Ltd. -_ 0.56 Q.SS1969-92 Gujarat State Fertilizer 40.46 -- 40.461990 .18 India Securities Firms -- 0.37 0.371990 UeL Fuel Systems Ltd. -- 0.63 0.631990-91 Tata Electric 111.88 16.7S 130.631991 ATZC Industries Sxport Finance 0.28 -- 0.281991 Bombay electric 66.00 -- 68.001991-93 C8SC Ltd. 83.06 -- 83.061991 Export Finance - APDC 0.35 __ 0.3S1991 Rerdilla Axide and electronics Ltd. -- 0.29 0.391991 Irdust. Credit & Investment Corp. of Itdia -- 26.60 26.401991/93 Infrastructure Leasing & Financial Services 15.00 4.92 19.921991 TDSCS 0evelopment Finance Companies 2.05 2.0S1991/93 TRIVBNS -- 1.30 1.301991 Varun Transport. Storage & CoMuuniaetion 17.04 3.06 20.101992-93 Arvind Hills 22.13 19.16 41.29

SCIDUUL 0

VAQ8 3 Or 4

amount (UsS milio,m

Fiscal Year COUpany Loan Equ1ty Total- .___ .---. -- --- -- -- ------- ------ ------- --- . _-_----w- . -_-____

1992 Block IM.on -- -.20 8.201992 KUDOS vc7 -- 1.01 11992 Xotak Mahindra 0.66 -- 0.661992 Nippon Denro 40.00 5.77 45*771992 SXF Bearings Sl.SO _ .S01993 Creditcapital VF _ 0.51 0.511993 vz=O-UCO 3.00 0.2s 3.151993 20th CZUTURY 16.00 -- 16.001993 Indo Tech Fund 0.00 0.64 0.641993 CRDC Asset Mgt 0.00 0.32 0.32-1994 Gujarat AmbuIa 35.14 8.23 43.371994 $ndo Rm Spinning a Weaving Is.0 9.64 44.841994 Centurion Grcwth -- 2.39 2.391994 TCIC -- 0.16 0.16

TOTAL. GROSS COMMITME .289.97 194.75 1484.72

4ess: Cancellatioa. Terminations, ExchangeAdjustments, Repayments. Writeoffs and Sales 704.23 74.92 779.11

Ncw seld by tIFC SB5.74 119.83 70s.57

Undiabursed 104.21 12.4? 116.68

Source: IFC Statement of SIC InveStmentS as of March 31, 1994.