October 2 (SeeNews) - Bosnia's government said it gave the go-ahead to negotiations with the European Investment Bank (EIB) for a 20 million euro ($23.4 million) loan, to be used for a renewal of the Sarajevo public transport fleet.
The loan has a 25-year tenor, including a five-year grace period, as the funds will be allocated to the Sarajevo Canton, the government said in a press release on Thursday.
The project is expected to get another 10 million euro in co-financing from the European Bank for Reconstruction and Development (EBRD).
The Sarajevo Canton is one of ten cantons forming the Federation.
The Federation is one of two autonomous entities forming Bosnia and Herzegovina. The other one is the Serb Republic.
($ = 0.8533 euro)