Bosnia and Herzegovina'snational Fund for Cinematography has reserved $242,250 (Euros 200,000) of its $908,437(Euros 750,000) annual budget to support regional co-productions.

Speaking to at this week's goEastFestival, Sarajevo Film Festival director Mirsad Purivatra described thisdecision by the Bosnian Minister of Culture and Sport Gavrilo Grahovac as"a first step towards a greater openness for collaboration within theregion. We have to develop the talent for co-production in the region and worktogether. Only then will we be better able to attract interested productionpartners from the West."

Purivatra revealed thatthe Bosnian and Serbian Ministers of Culture will be playing host to theirministerial colleagues from South Eastern Europe at an event during nextmonth's Cannes Film Festival where they will encourage them to also reserve aportion of their film funding budgets for co-productions.

The Bosnian and Serbianministers had initiated the idea of a regional co-production agreement at ahigh-level ministerial meeting held during last year's Sarajevo Film Festival.

Meanwhile, the BosnianMinistry of Culture has awarded Jasmila Zbanic a special support of $60,563 (Euros50,000) for preparation of her next feature project, as official recognition ofher feature debut Grbavica winningthe Golden Bear at the Berlinale in February.

Since its release inBosnia and Herzegovina a month ago, the mother-daughter drama has sold almost200,000 tickets which Purivatra described as "an unbelievable result for acountry with a population of three million and only 30 cinemas."

Grbavica,which was backed by the Fund for Cinematography, is set to open theatrically inCroatia and Serbia and Montenegro during April.