Budapest Airport signs EUR 325 million financing agreement

The interest rate swap agreement is environmentally and socially responsible.

As MTI reported, the parties of the agreement include BNP Paribas Hungary, which acted as coordinator and underwrote EUR 200 million, and Credit Agricole CIB, while Rothschild & Co. served as advisor. 

The financial objective of the 2.5-year agreement is an interest rate swap, that is, the conversion of floating interest rates on previous loans into fixed rates. More important than more predictable interest rate servicing is that Budapest Liszt Ferenc Airport gets the financial backing it needs to operate in an environmentally friendly manner. 

According to the statement, managing director Chris Dinsdale stressed that the agreement includes a commitment to build a sustainable electricity supply from its own solar power plant and to develop at least 100 new electric charging points at the airport. 

ESG agreements, which meet certain environmental, social and governance requirements, are all about providing lower financial costs for companies committed to sustainability, they said, adding that Budapest Airport will continue to look for green financing opportunities to operate sustainably. 

Joining the International Council of Airports (ACI) initiative in 2019, the airport committed to reducing net carbon emissions from its operations to zero by 2050 at the latest, but it is envisaged that this could be achieved as early as 2035.

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