Greece delays Crete airport tender to June

Greece's government announced it has postponed the award of a EUR1 billion tender for the construction of a new airport on Crete until Jun-2011 (Reuters, 17-Feb-2010). The move is the second time a major construction project has been pushed back, which is largely seen as a test of investor appetite in the country. The airport, which is to be built at Kasteli, is planned to become the country's largest airport after Athens International. It will replace Crete's Heraklion Airport, which is currently operating past its designed capacity. The government, the EU and the European Investment Bank will finance the airport.