BEIJING - The World Bank has approved a loan of $100 million dollars to support an environment project in south China's Nanning city, the bank's China office said Wednesday.

The Nanning Urban Environment Project, with a total investment of $254 million dollars, will help the capital of Guangxi Zhuang Autonomous Region to stop the deterioration of surface water quality in selected districts.

The project will fund the expansion of treatment capacity at wastewater treatment plants, development of new wastewater collection and treatment facilities, environment rehabilitation of rivers and technical assistance to set up an innovative system for river basin management, the office said.