Greek Government Reviews Regional Airports Deal

The Greek government is expected to stick to its commitment to its international lenders and go ahead with privatization projects already underway, which includes renegotiating the agreement with Frankfurt-based transport company Fraport to run 14 regional airports, Greek daily To Vima reports.

Under the 1.2 billion euro deal, which was set to close in October, a consortium of the German airport operator and Slentel Ltd would lease and run 14 local airports in leading tourist destinations.

The government is reportedly now looking into reworking the plan to include a 55 percent participation of the state, concerned with three points of the running deal: that the management of two groups of seven airports each would be handed to one entity thus creating a private monopoly, the duration of the license at 40 + 10 years, and finally, the possibility of steep increases in charges.

The aim of state involvement is to ensure fair charges and the exact implementation of the deal.