loans issued by BER during the coronavirus pandemic will replace existing ones
The Berlin Brandenburg Airport (BER) is facing a critical financial situation, despite receiving nearly one billion euros in COVID-19 aid. This aid, however, is now at the centre of a heated debate, with concerns about its potential misuse.
According to reports, 193 million euros from the COVID-19 loans are intended for "follow-up costs BER and soundproofing". However, part of these funds may also be used to finance old debt burdens from the construction of the airport. This allocation of funds has been criticised by Sven-Christian Kindler, budget spokesman of the Green parliamentary group, who finds the use of COVID-19 aid in this manner "unbelievable".
Airport CEO Engelbert Lรผtke Daldrup reminded shareholders in early December that they are liable for debts of 3.5 billion euros. The shareholders have so far rejected the idea of a 'bad bank' for old debt burdens from the construction of BER. The Berlin Brandenburg Airport itself stated in a meeting at the end of January that it needs "partial debt relief" to meet its current loan obligations.
The suggested hold on payments to Flughafen Berlin Brandenburg GmbH (FBB) was proposed by Kindler due to concerns about the potential misuse of federal COVID-19 aid. Around 490 million euros in interest and repayment of BER old loans and COVID-19 loans are due in the coming year. If the payments to FBB are put on hold, it could potentially alleviate some of the financial pressure.
This controversy comes at a time when the airport is already struggling to recover from the impact of the pandemic on the air travel industry. The decision to use 193 million euros from COVID-19 aid funds to finance additional costs of the airport and isolation measures was made by the German federal government or relevant state authorities, but the search results do not specify the exact decision-maker responsible for this allocation.
As the debate continues, it is crucial to ensure that COVID-19 aid is used effectively and transparently, particularly in times of crisis when every euro counts. The Green parliamentary group, along with many others, will continue to scrutinise the use of these funds to ensure they are being used for their intended purpose.
