The European investment Bank (EIB) signed an agreement with Greece on € 180 million to help it pay its share for a new airport on Crete, the largest island of the country.
Last year, “Ariadne Airport Group”, a joint venture of the Indian GMR contractor and Greek GEK Terna, was awarded a contract for the construction of a new airport worth 520 million euros in Kasteli, Crete.
The group will invest 54% of the cost in the project “build-operate-transfer” and Greece will assume the remaining costs.
The new airport will replace Crete Heraklion airport, which annually carries 8 million passengers and often works with overload.
Since 2009, Greece made several attempts to find investors for the airport, but the debt crisis that began at the end of that year eased in 2015, scared off potential owners.
A new 28-year EIB loan for the Greek government will begin the construction work.