【正文】 f the Borrower。(11) The European Central Bank shall be acting as an agent to the Lender (hereinafter referred to as the Lender39。 (9) The Commission will launch in due course, on behalf of the EC and after written agreement by the Borrower on the main terms as set out hereinafter, bond issues or any other appropriate financial transactions for the principal amount in Tranches, the proceeds of which shall be onlent to the Borrower。 economic stabilisation programme (Economic stabilisation and growth revival programme) and amended budget for 2009, both adopted by the Latvian Parliament on 12 December 2008。(6) The economic policy conditions to be respected by Latvia are laid down in the Memorandum of Understanding signed on ___ January 2009 between the Commission and Latvia and the Bank of Latvia and in subsequent (Supplemental) Memoranda of Understanding, if any (hereinafter referred to collectively as Memorandum of Understanding)。(5) The loan is linked to economic policy measures designed to support Latvia39。(3) The Council, by its Decision 5255/09 of 20 January 2009 (hereinafter referred to as the Decision) decided to grant Latvia under Regulation (EC) No 332/2002 a loan amounting to a maximum of EUR 3 100 000 000 with a maximum average maturity of seven years. The loan shall be made available in maximum six instalments。 balances of payments (OJ L 53, , p. 1) empowered the Commission on behalf of the EC to contract borrowings on the capital markets or with financial institutions with the aim to grant loans to one or more Member States which are experiencing, or threatened with, difficulties in their balance of current payments or capital movements。23 / 24LOAN AGREEMENT between THE EUROPEAN COMMUNITY as Lenderand THE REPUBLIC OF LATVIA as BorrowerTHE BANK OF LATVIAas Agent to the Borrower EUR 3 100 000 000 _____ January 2009This Loan Agreement (the Agreement) is made by and betweenthe European Community (hereinafter referred to as the EC or the Lender), represented by the Commission of the European Communities (hereinafter referred to as the Commission), andthe Republic of Latvia (hereinafter referred to as Latvia or the Borrower), represented by the Minister of Finance, Mr Atis Slakteris,andthe Bank of Latvia acting as Agent on behalf of the Borrower (hereinafter referred to as the Borrower39。s Agent), represented by the Governor of the Bank of Latvia, Mr Ilmārs Rim?ēvi?s.PreambleWhereas: (1) Council Regulation (EC) No 332/2002 of 18 February 2002 establishing a facility providing mediumterm financial assistance for Member States39。 (2) Latvia has requested mediumterm financial assistance。(4) The loan is granted in conjunction with a loan from the International Monetary Fund of SDR billion (around EUR billion) under a Standby arrangement approved on 23 December 2008. In addition, the Nordic countries (Sweden, Denmark, Finland, Norway and Estonia) are to contribute EUR billion together, the World Bank EUR billion, the European Bank for Reconstruction and Development, the Czech Republic and Poland a total of EUR billion, bringing the total assistance to EUR billion over the period to the first quarter of 2011。s balance of payments sustainability as determined in Articles 2 and 3 of the Decision。(7) The first instalment shall be released subject to the entry into force of the Memorandum of Understanding and this Loan Agreement, as well as based on the Latvian authorities39。(8) The release of instalments subsequent to the first one is conditional upon the Commission deciding favourably, after consultation with the Economic and Financial Committee, on the basis of the findings of its verification that the economic policy of Latvia accords with the adjustment or backup programme or any other conditions laid down by the Council or in the Memorandum of Understanding。 (10) The contracts relating to the bond issue or to any other appropriate financial transaction, including a possible interest rate swap, will constitute an integral part of this Agreement as provided hereinafter。s Agent)。(13) The Commission, including the AntiFraud Office, shall have the right to perform onthespot checks and inspections, and the Court of Auditors the right to carry out audits, where appropriate, on the spot.Now, therefore, the parties hereto have agreed as follows:Article 1 – Loan Amount 1. The Lender will make available to the Borrower a loan of a total principal amount of up to EUR000 000 000 (one billion). The principal amount of any subsequent Instalment shall be laid down in the Memorandum of Understanding in accordance with Article 3 of the Decision. 3. An Instalment may consist of one or several tranches (hereinafter referred to as “Tranche(s)”). Article 2 – Maturity 1. The Average Maturity of the Loan shall not exceed seven years. It is calculated on the basis of the Disbursement Dates of the respective Tranches using the formulae indicated in paragraph 3. 2. The Average Maturity of the Tranches of an Instalment shall be set so that the Average Maturity of the Loan shall be, at any moment, in line with paragraph 1.3. In order to calculate the Average Maturities referred to in paragraphs 1 and 2, the following formulae will be used:Average Maturity of a Tranche is the period of time between the Disbursement Date of the respective Tranche and the weighted average of its capital reimbursements. If R1, R2... Rn are the capital reimbursements at times t1, t2, ... tn from the Disbursement Date, the Average Maturity of the Tranche equals Average Maturity of the Loan is the weighted average of the Average Maturity of the Tranches which constitute the Loan at any moment. If M1, M2, ... Mm is the Average Maturity of Tranches which amounted to A1, A2 ... Am then the Average Maturity of the Loan equals Article 3 – Drawdown, Net Disbursement Amount and Condit