The Nordic Investment Bank (NIB) and Lithuanian Airports have signed a 15-year loan agreement totalling EUR 29.6 million to co-finance upgrades to three of Lithuania’s airports: Vilnius, Kaunas and Palanga.

The company’s investment programme is aimed at improving flight safety and aviation security, increasing service capacity and reducing the environmental impact of the airports.

At Vilnius Airport, the financing will be used to renovate the runway and taxiways, install a lighting system and other service systems, reconstruct the passenger terminal and construct a multi-storey car park. The airport will modernise the surface water treatment plant and the noise monitoring system.

Kaunas Airport will receive new taxiways, aprons and access roads, engineering networks, a car park and a checkpoint. The airport in Palanga will reconstruct the passenger terminal, runway, apron and taxiways.

“The modernisation of these international airports will improve the safety of air transport. This is an important condition for a growing open economy to attract international financial and human capital and stay competitive. NIB supports the improvements, because they will also introduce more environmentally friendly technologies in dealing with airfield operations”, says Henrik Normann, NIB President & CEO.

“We could not apply for state financing since it would go against the regulations of the European Commission, so we are very glad about NIB’s decision to provide a loan to the Lithuanian Airports. The decision comes as a result of long but productive negotiations between the parties. The loan received on favourable conditions will provide us with an opportunity to expand and upgrade the infrastructure at Vilnius, Kaunas and Palanga airports”, says Donatas Voveris, Lithuanian Airports Executive Director.

State Enterprise Lithuanian Airports was established in 2014 to operate the airports of Vilnius, Kaunas and Palanga. Lithuanian Airports served 4.8 million passengers in 2016, with Vilnius being the largest at 3.8 million passengers.

NIB is an international financial institution owned by eight member countries: Denmark, Estonia, Finland, Iceland, Latvia, Lithuania, Norway and Sweden. The Bank finances private and public projects in and outside the member countries. NIB has the highest possible credit rating, AAA/Aaa, with the leading rating agencies Standard & Poor’s and Moody’s.

Nordic Investment Bank