Host Welcome - Athens International Airport

Transcript

Yannis Paraschis:Kalimera, distinguished colleagues and partners, ladies and gentlemen. Good morning and a very warm welcome to all of you here in Athens, and to be more precise, to the iconic Athens Riviera. For the CAPA Airline Leader Summit – Airlines in Transition 2025, a gathering that unites aviation minds and advances collaboration on a global scale. The Athenian Riviera is a place where the Athens region shapes its future through the emblematic investment at the old airport site in Ellinikon, 2 kilometres from here, the biggest urban development in Europe these days, Complemented by a series of additional real estate projects, high-end hotels, and major infrastructure upgrades, including ours at Athens Airport. Such large-scale investments, after a decade of Greek financial crisis and the pandemic, act as catalysts of economic growth and prosperity in the region. None of this could obviously materialize without the firm belief of investors and policymakers that the aviation ecosystem represented here today will be able to support these ambitious regional development plans in the southeastern corner of Europe. It is widely accepted that our industry has long been a pillar of global connectivity, enabling trade, tourism, and cultural exchange. However, As the industry evolves, it faces complex hurdles that demand innovative solutions. The COVID-19 pandemic exposed the fragility of the industry, leading to bankruptcies, restructuring, and rethinking of business models. As the sector recovers in the midst of geopolitical conflicts, tariffs, and trade wars, maintaining financial resilience and successfully counteracting crises is key. Particularly here in Europe, regulatory frameworks continue to evolve, shaping the industry's ability to adapt and compete— not always in the right direction. European airports, for instance, are navigating complex legislative changes surrounding state aid, fair competition, and infrastructure modernization. Compliance with these evolving regulations demands significant investment and coordination among industry stakeholders— synergies, to use a Greek buzzword. At the same time, environmental sustainability remains, at least in this part of the world, of paramount importance. As we move towards greener initiatives, aviation must balance growth with reducing emissions. The push for sustainable aviation fuels, improved aircraft efficiency, and carbon offset programmes is commendable, but achieving widespread adoption remains a challenge due to cost, infrastructure limitations, and regulatory complexities. Moreover, while digital transformation enhances efficiency and customer experience, concerns about cyber threats and data security loom large, requiring significant adaptation investments. The integration of AI, automation, and biometrics, promises to usher in a new era of seamless travel and simplified processes for the traveling public. But as we prepare to step across this significant, game-changing threshold, we must also recognize that such progress must be accompanied by strong safeguards to protect passenger privacy, ensure data integrity, and uphold the trust upon which our industry is built. Finally, aviation continues to face Supply chain shortages for aircraft, but probably even more important, shortages in skilled labour, particularly pilots, engineers, and ground staff. Ensuring adequate training and our people's development is critical to maintaining operational standards, passenger safety, and customer experience. I strongly believe that despite the challenges, we must remain optimistic. Our industry has consistently demonstrated resilience and adaptability, overcoming crises through pioneering solutions. When analyzing the short term from a European airports perspective, some new clear trends become apparent. In 2024, European airports collectively served 2.5 billion passengers, marking a 7.5% increase versus 2023 and crucially for the first time a +1.8% above pre-pandemic levels. But this recovery remains uneven, much stronger in the south and east compared to the mature markets in western and northern Europe. Only 53% of airports across Europe have fully regained their 2019 traffic levels, and disparities persist between countries and even among individual airports. So far, 2025 has held up, with Q1 passenger traffic growing by 4.3% year-on-year. But in the midst of uncertainties in the wider macroeconomic environment, we are also seeing the first signs of slowdown or consolidation, with monthly growth dipping. Looking ahead, we expect a return to more normalized growth after the strong rebound of 2024, Projected annual growth for 2025 to 2028 is around 3.3%. This reflects not only macroeconomic uncertainty and inflationary pressures, but also maturing markets, constrained capacity, and the first ripple effects of climate policies, which will become much more pronounced post-2028. The good news, though, are that despite headwinds, demand remains resilient. Consumers are still prioritizing experiential spending, even as fares continue to rise, up 37% in August versus 2019. At the same time, growth is driven purely by international travel, while domestic remains below 2019 levels for total Europe. Leisure travel and visiting friends and relatives continue to dominate demand, reinforcing the market power of low-cost and ultra-low-cost carriers, while legacy airlines streamline their networks and retrench around their hubs. But while demand holds, the financial strain on aviation business is far from over. Using again the European airports case, we still carry $130 billion in debt, up 33% versus 2019, and many are struggling to recoup costs. The result is a looming investment crunch, with €340 billion in CAPEX needed by 2040, particularly in sustainability and decarbonization. Here, however, Europe has been a global leader. Through Airport Carbon Accreditation, 286 airports covering 80% of Europe's passenger traffic are now certified for their carbon reduction efforts. And right here in Athens, we are proud to be one of of the leaders in this front, set to complete all necessary investments towards net zero for Scope 1 and 2 emissions by the end of 2025, and shifting now our attention to the mitigation, to the extent possible, of the Scope 3 emissions through the deployment in 2025 of a sustainability support scheme for our operating airlines, supporting them in the first year of increased fuel costs due to the 2% SAF mandate. But our ambitions must go further. Aviation businesses are urging the EU to adopt a strong Sustainable Transport Investment Plan, especially to support sustainable aviation fuels, which under the Destination 2050 roadmap is expected to deliver 56% of aviation net-zero pathway. For Europe to lead the global SAF market, we need the the right policy framework, and we need it now. Finally, it is critical to underline the key message which is very well known to all of us today here, that aviation is not just about transport, it's a strategic asset. Based on a recent ACI Europe study, airports and the connectivity they offer generate 5% of Europe's GDP, support 14 million jobs, and act as powerful drivers of inclusion and development. Every 10% increase in direct connectivity correlates with 5% growth in GDP per capita, 1.6% increase in employment, and significant social gains— reduced poverty, better education, improved equality. In short, governments and regulators alike cannot afford to see aviation merely as a carbon emitter. Aviation must be treated as a strategic pillar of our economies, and our society's future competitiveness, cohesion, and sustainability. As we embark on this 2-day journey from the iconic Athens Riviera, a coastline of rare beauty that embodies both heritage and transformation, allow me to say once more that we feel honored to host this gathering representing not only our city, that is evolving dynamically year after year, but also our airport at the very peak of its development and transformational progress. In 2024, traffic in Athens strongly outperformed European average growth against 2023, but more importantly against the pre-pandemic year 2019, reaching almost 32 million passengers, surpassing 2019 by 24.5%. Starting this year, over the next 7 years, Athens International Airport is entering a bold new phase of expansion, an investment programme of €1.3 billion, aspiring to significantly expand and upgrade our infrastructure in line with our traffic growth and service expectations, always in collaboration with our airline users. Thank you. home-based and visiting. Ladies and gentlemen, your presence here today as the leaders of our airline and business partners at the beginning of this journey is of a significant milestone to us. Once again, a warm welcome to Athens and let's get started. Thank you. Thank you, Mr.

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