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Consolidation agreement
between KREDITANSTALT FUR WIEDERAUFBAU, Frankfurt am Main («KfW») and the KYRGYZ REPUBLIC («Debtor») for EUR 702,406.56 (Consolidation 2002)
(Berlin, June 5, 2002)
On the basis of the agreement dated June 5, 2002 between the Government of the Federal Republic of Germany and the Government of the Kyrgyz Republic on the rescheduling of the external debt of the Kyrgyz Republic («Government Agreement»), the Debtor and KfW hereby enter into the following Consolidation Agreement:
Article 1. Debt Amount
1.1. The interest and repayment amounts stated in the Annex to this Agreement shall hereby be combined into a new Debt Amount («Debt Amount») of
EUR 702,406.56.
1.2. The Debt Amount shall be updated semi-annually if the amounts stated in the Annex differ from the amounts which, taking into account the actual disbursements made, will fall due under the agreements listed in the Annex. The repayment schedule pursuant to Frticle 2.7 shall be adjusted accordingly. KfW shall propose the pertinert adjustments to the Debtor in writing. The adjustments shall become valid and effective by written confirmation from the Debtor.
1.3. KfW shall transfer the interest and repayment amounts stated in the Annex as debit entry to the account of the Debtor with effect as from the original due dates. The validity of said transfer shall be conditional on the validity of this Agreement and of the Government Agreement.
1.4. The provisions of the agreements listed in the Annex shall remain unaffected unless the provisions of this Consolidation Agreement are in conflict therewith. Any and all existing payment obligations exceeding the Debt Amount and any and all future payment obligations shall be performed in accordance with the agreements listedin the Annex.
Article 2. Interest and Repayment
2.1. The Debtor shall pay interest on the Debt Amount at a rate of 1.6% p.a. interest shall be charged from the original due dates of the individual amounts listed in the Annex to the dates at which repayments are credited to KfW's account specified in Article 2.12.
2.2. 50% (in words: fifty per cent) of the interest pursuant to Article 2.1 accrued in the period from December 6, 2001 to December 5, 2002 shall be capitalised on December 5, 2002, and from December 6, 2002 shall again bear interest pursuant to Article 2.1 Sentence 1.
