2.0 update-The textures now look practically seamless, less tiled. A small drawback is you might notice some patterns. That means you should be paying more attention to the fighting

-New world map desert texture.
-Two new river textures, clear water and muddy water.
-Improved grassland texture, less saturated, more natural.
This package contains new or edited M&B terrain textures for the world map and battles and a new menu texture. Will work with almost any other mod.
To install:
Place the
Textures folder into your mod's folder under
Mount&Blade/Modules/[mod]/, or
Mount&Blade/Modules/Native/ if you aren't using any mod.
Make sure the
module_info.txt file in the mod's folder contains the following line.
scan_module_textures = 1 (not
scan_module_textures = 0)
If there are any particular textures you do not like, simply delete the corresponding file and the game will use the default texture in its place.
Download here: http://www.mbrepository.com/modules/PDdownloads/singlefile.php?cid=10&lid=203(Thank you Janus)
Contents of the packagebg2.dds - new menu background
dialogue_window.dds - same new background in dialogue screen
inventory_window.dds - same new background in inventory screen
quests_window.dds - same new background in quest screen
desert.dds - new world map desert texture
dry_grass.dds - new texture for battles in the desert
ground1.dds - new texture for battles in the grasslands, autumn.

(actual texture is less colorful than the screenshot, more like terrain in clear and muddy water screenshots below)
1-ground1.dds - new texture for battles in the grasslands, summer.

(actual texture is less colorful than the screenshot)
mountain.dds - default world map mountain texture, darkened
ocean.dds - default world map water texture, lightened
1-ocean.dds - darker version of the same texture.
plain.dds - new texture for world map grassland
1-plain.dds - darker greener version of the same texture
river.dds - default water texture, now light blue and not green
1-river.dds - darker version of the same texture
2-river.dds - clear water texture
3-river.dds - muddy water texture
snow.dds - default snow texture, now not blinding white, a little blue-gray. Can read text on it now.
stone.dds - default battle texture for slopes, darkened and sharpened
synth_patch_rock_a.dds - default battle texture for slopes desert and rocks, darkened and sharpened.
If you would like to use a different version of some texture, delete it's file (
river.dds for example ) and remove the '1-' in the name of the corresponding file by renaming it (
1-river.dds in this case )
Have fun.
If any mod creator would like to use any of these textures, you are welcome.
Cheers