The signed Additional Agreement on the concession of Sofia Airport guarantees BGN 660 million in state budget revenue this month

The Additional Agreement to the Concession Agreement confirms the concessionaire's commitment to pay the upfront concession fee amounting to BGN 660 million, VAT included, to the state budget this month, the Minister of Transport, Information Technology and Communications Rossen Jeliazkov said during its signing.

The Minister defined as an essential element of it the unconditional commitment of the parties to the Agreement to monitor the levels of air traffic and the revenues, at least once a year. "The aim and the purpose of the Additional Agreement are to restore the economic balance of the concession damaged by the COVID-19 pandemic. This equilibrium is the balance between the benefits for the parties and the consideration of the risks they have taken", Jeliazkov commented.

The deferment of the payment of the annual concession fees does not deprive the Bulgarian state of them and they continue to be due by the concessionaire. If the consequences of the pandemic are overcome, the payment of the deferred annual concession fees may be restored before the expiry of the deferral period.

The Additional Agreement increases the amount of the investment in Sofia Airport from EUR 608 million to EUR 624 million for the term of the concession.