November 18 (SeeNews) - The European Bank for Reconstruction and Development (EBRD) signed a mandate letter to provide a loan of 16 million euro and further 4 million marka ($2.3 million/2 million euro) in the form of grants to Bosnia's Sarajevo Canton for a district heating system project, the canton's government said.
EBRD's funding will back the launch of a project that will replace the use of fossil fuels with geothermal water in the canton's district heating system, the Sarajevo Canton's government said in a statement earlier this week.
The project is aimed at reducing air pollution in the capital Sarajevo.
The Sarajevo Canton is one of ten cantons that form the Federation. The Federation is one of two autonomous entities that form Bosnia, the other one is the Serb Republic.
(1 euro = 1.95583 marka)