Hungary to Expand Budapest Airport, Develop Transport Links

Hungary plans to build a third terminal for Budapest Airport and enhance its road and rail connectivity to the capital. The initiative follows the recent acquisition of the airport by Hungary's state-owned Corvinus Zrt. and French partner Vinci Airports. Extra airline taxes will be phased out by next year.

Hungary will build a third terminal for Budapest Airport and develop its road and rail links to the capital, Economy Minister Marton Nagy announced on Tuesday. The goal is to transform the airport into a major hub.

Last month, Hungary's state-owned Corvinus Zrt. and French co-investor Vinci Airports acquired Budapest Airport, with Corvinus Zrt. holding an 80% stake. Nagy also stated that additional taxes on airlines would be phased out starting next year.

In 2022, the government introduced windfall taxes on airlines totalling 30 billion forints ($82.28 million) to address budget deficiencies. This involved a tax ranging from 10 to 25 euros on passengers departing Hungary, which faced criticism from airlines.

Since nationalist Prime Minister Viktor Orban came to power in 2010, his government has increased Hungarian ownership in sectors such as energy, banking, telecoms, and media. The acquisition of Budapest Airport, which cost 3.1 billion euros ($3.35 billion) and included an extension of 1.44 billion euros in previously issued loans, has been a long-term plan.

In a similar move, the Polish government announced plans to construct a massive air hub in central Poland, despite criticisms concerning its cost, scale, and remote location. ($1 = 0.9247 euros) ($1 = 364.6200 forints)