State to recapitalise Finnish airports operator as traffic slumps

Finland is to provide a E350m recapitalisation of state-owned airports operator Finavia amid the continued slump in air traffic demand. Passenger traffic remained 90% down in September across Finavia’s airports and 92% down at its biggest gateway, Helsinki. In response, Finavia will shut one of the three runways at the capital’s airport this winter. Finland’s ministerial committee on economic policy is now seeking authorisation from parliament to inject E350 million into the company. Tytti Tuppurainen, minister responsible for state ownership, says: ”Passenger numbers at Finavia’s airports have completely collapsed and, unfortunately, are not expected to return quickly to pre-pandemic levels. As a long-term owner, the state wants to develop Finavia’s competitiveness and thus ensure that there are preconditions for good domestic and international air connections throughout Finland in the future as well.” Finavia chief executive Kimmo Maki says: “The Covid-19 crisis has caused unprecedented financial distress for the aviation and tourism sectors. The consequences are also dramatic for us. “Helsinki airport has achieved a significant position as an important hub for air traffic between Europe and Asia. The current standing is a result of long-term work and it will take years to get it back.”<br/>