Prime Minister’s Office receives authorisation to grant a capital loan to Finavia Oyj
The Government plenary session today authorised the Prime Minister’s Office to finance the airport company Finavia Oyj with a capital loan of approximately EUR 33 million. The loan is part of the Government’s measures to safeguard the financial position of the state-owned company and will be drawn down at a date to be agreed on later.
In its budget for 2021, Parliament granted a total of EUR 350 million to strengthen Finavia Oyj’s financial position. In March 2021, the State invested some EUR 317 million in Finavia, and the capital loan now granted is the last instalment of this funding.
With its additional capitalisation, the State of Finland will safeguard Finavia Oyj’s operating conditions to respond to the changes caused by the coronavirus crisis. Because of the coronavirus pandemic, the number of passengers at Finavia’s airports fell by about 80% last year, and the recovery of air traffic is expected to take many more years. The additional capitalisation will enable Finavia to continue its operations and to complete its development programme worth about EUR 1 billion.
Finavia Oyj is a wholly state-owned limited liability company. In accordance with its strategic interest in the ownership of Finavia, the State is responsible for ensuring the provision of domestic and international air connections by developing and maintaining the Finnish airport network.