The European Bank for Reconstruction and Development plans to invest in Bulgaria with projects worth EUR 500 M, the bank’s 2002-2004 strategy for Bulgaria envisages. Investing in Bulgaria's banking sector is among the EBRD priorities, John Chomel-Doe, the bank’s director for Bulgaria said at a news conference on January 17. The European Bank for Reconstruction and Development is considering the purchase of a stake of up to 20 percent in Bulgaria's state-owned State Savings Bank (DSK Bank). EBRD officials said the bank was set to invest USD 100 M and USD 150 M in each of the two power projects for Maritza East I and Maritza East III coal-fired plants. EBRD has set up a special facility of up to EUR 200 M in grant aid for the closure of the Kozloduy N-plant Units 1 to 4. The EBRD also plans to invest in upgrading Bulgaria's power distribution and heating systems. The bank will provide a EUR 41 M loan to Bulgaria to upgrade and expand its power transmission system this year. The EBRD will also help the Energy Ministry to develop a program and hire a consultant for the privatisation of the country's seven power transmission companies. The bank will also provide another EUR 30 M loan under a four-year project aimed at modernising four of Bulgaria's most inefficent district heating companies, starting with the one in Sofia later this year.