Armenian government clears restrictions on Kapan airport

The Armenian government has approved amendments to the concession agreement for Kapan’s Syunik Airport, removing long-standing restrictions and extending the contract until the end of 2067.

The decision was announced at Thursday's cabinet meeting by Deputy Minister of Territorial Administration and Infrastructure Armen Simonyan. He said the government and the concessionaire, Corporación América S.A., have no outstanding financial obligations to each other, and that the airport’s concession restrictions will be lifted.

Under the revised agreement, the concessionaire has committed to invest $425m in capital projects. A master plan detailing the investments, including works carried out since 2023, will be submitted for government approval.

Deputy Prime Minister Mher Grigoryan asked whether the changes would allow Kapan Airport to operate as an international airport, effectively becoming Armenia’s second such facility.

Simonyan said the amendments create a legal basis for this by exempting Kapan from a clause that previously gave Yerevan’s Zvartnots Airport priority control over airports within a 250km radius. He added that while Kapan would gain international legal status, further equipment upgrades and investment would still be required.