Published: December 13 2023
Recently, the Hungarian government has repurchased Budapest Liszt Ferenc International Airport and will now oversee its operation through state-controlled companies. This move has significant implications for the future of the airport and its services, as well as for the Hungarian people.
Repurchase of Budapest Liszt Ferenc International Airport
The National Assembly has passed a law that allows for the repurchase of Budapest Liszt Ferenc International Airport by the Hungarian state. Under this new arrangement, the airport's operation and related services will be managed by companies under majority state control. The government aims to ensure that these companies operate on a market basis, adhere to legal requirements, and follow international industry standards.
Partnership with VINCI Airports
As part of the repurchase, the government plans to sell a minority stake in Budapest Airport Ltd. to a professional investor. France's VINCI Airports has been mentioned as a potential buyer for this stake. VINCI Airports is a major airport operator in Europe and the region, bringing valuable expertise and experience to the airport's future operation.
Changes in Aviation Law
To facilitate the takeover of Budapest Airport Ltd., the Ministry of Economic Development made changes to the aviation law in October. These changes set the stage for the government's acquisition of the airport and allow for a smooth transition of ownership and management.
Impact on the Hungarian Economy
The repurchase of Budapest Liszt Ferenc International Airport by the state has significant implications for the Hungarian economy. By having majority control over the airport and its operations, the government can strategically influence the airport's development and enhance its role as a transportation hub. This has the potential to attract more international businesses, stimulate tourism, and contribute to economic growth in the region.
In conclusion, the Hungarian government's repurchase of Budapest Liszt Ferenc International Airport and its plans to oversee its operation through state-controlled companies mark a significant shift in the airport's ownership and management. This move has the potential to impact the airport's future development and services, as well as to stimulate economic growth in Hungary.
Questions & Answers
What is happening with Budapest Liszt Ferenc International Airport? The Budapest Liszt Ferenc International Airport has been repurchased by the state and its operation and related services will be provided by companies under majority state control in the future.
Who made the takeover bid for Budapest Airport Ltd.? The government made a takeover bid for a majority stake in Budapest Airport Ltd., allegedly 51%. The specific buyer could be a state-controlled investment company.
Who might hold the minority stake in Budapest Airport Ltd.? The minority stake in Budapest Airport Ltd. would be held by a professional investor, reportedly France's VINCI Airports.
What changes were made to the aviation law in Hungary? In October, the Ministry of Economic Development made changes to the aviation law in Hungary, preparing the ground for the takeover of Budapest Airport Ltd. by the state.
Why did the government sell its stake in the Hungarian subsidiary of Erste Bank? The government sold its 15 percent stake in the Hungarian subsidiary of Erste Bank in order to purchase the Budapest Liszt Ferenc International Airport.
What will happen to the operation and related services of Budapest Liszt Ferenc International Airport after the repurchase? The government aims to ensure the future operation and related services of Budapest Liszt Ferenc International Airport, following its repurchase, through companies under majority state control. They aim to ensure that companies operate on a market basis, are subject to the legal requirements that apply to private market operators, and follow the usual international industry standards.
