Latvia’s government has approved a delay to the repayment of airBaltic’s remaining state loan, moving the deadline to 30 December. The airline will now have more time to settle the outstanding EUR18 million principal, along with interest and deferment fees, while restructuring talks continue in parallel.
The Transport Ministry briefed ministers on the amendment on 25 August, and the postponed amount will continue to carry a 2% annual deferment fee. The new timetable replaces the earlier end-of-August maturity date and gives airBaltic additional breathing room as it works through wider financing measures.
The extension is part of a broader stabilisation package for the carrier, which includes the possibility of further state participation in new funding and the conversion of state claims into equity. That package is aimed at supporting liquidity at the Latvian airline while also addressing ownership and capital structure questions ahead of year-end.