The state governments of Saxony and Saxony-Anhalt have presented a comprehensive plan for the financial consolidation of Mitteldeutsche Flughafen AG (MFAG). The concept, presented on January 21, 2026, envisages a gradual reduction of state subsidies for the Leipzig/Halle and Dresden airports over the next four years, with the aim of achieving full self-financing of operations from 2030 onwards.
While Saxony-Anhalt is focusing exclusively on the Leipzig/Halle freight hub, the Free State of Saxony will provide additional interim funding for Dresden Airport. This decision is based on a recent study that confirms the enormous economic importance of airports for the entire region. With an annual gross value added of over four billion euros and the safeguarding of more than 50.000 jobs, airports are considered key infrastructure assets. Despite the current challenging restructuring situation, both politicians and management are confident that the operational turnaround can be initiated within the current fiscal year.
Step-by-step plan for reducing state funding
The financial agreement between the two shareholders stipulates a clear degression of the compensation payments. For 2026, compensation payments totaling €37 million are planned. In subsequent years, these amounts will decrease continuously: to €28 million in 2027, €21 million in 2028, and €13 million in 2029. From January 1, 2030, MFAG will no longer receive any further funds from the state budgets for general operations. The distribution of costs follows the shareholder stakes, with Saxony contributing 81,3 percent and Saxony-Anhalt the remaining 18,7 percent.
Saxony's Finance Minister Christian Piwarz described the current phase as a very challenging restructuring situation, but emphasized that initial successes are already visible. The goal is to achieve a balanced operating budget, which, according to MFAG CEO Götz Ahmelmann, is targeted for 2026. This is intended to create the foundation for managing future investments and ongoing costs without taxpayer assistance. The agreement is currently subject to final budget approvals in both state parliaments and formal signatures by the state premiers.
Special regulations for the Dresden location
A key aspect of the new concept is the differentiation between the two locations. While Leipzig/Halle, as one of Europe's most important cargo airports, has a stable business model, Dresden Airport faces specific challenges. To safeguard operations in the Saxon capital, the Free State of Saxony has agreed to provide an additional nine million euros annually from 2027 until at least 2030.
This so-called structural compensation is explicitly intended for non-economic tasks, namely infrastructure maintenance necessary for the air traffic hub but which cannot be directly covered by market fees. Saxony-Anhalt is not participating in this special financing, as its involvement remains contractually limited to the Leipzig/Halle airport location. This financial support is intended to give Dresden the necessary time to consolidate its position among regional airports and further develop its own revenue streams.
Economic leverage and regional importance
To substantiate the restructuring strategy, a detailed analysis was conducted by IW Consult, a subsidiary of the Cologne Institute for Economic Research. The study's findings underscore the airports' role as economic drivers for Central Germany. With an annual gross value added of €4,6 billion, the airports make a significant contribution to the regional gross domestic product. The number of associated jobs is particularly impressive: over 52.000 positions depend directly or indirectly on the operational efficiency of the two airports.
Another argument for continuing support until 2030 is the tax revenue. According to the study, airports generate approximately €875 million in tax revenue annually for the federal, state, and local governments. This means that the fiscal returns exceed the government subsidies by more than six times. These figures illustrate that the investment in MFAG is not simply subsidizing a loss-making business, but rather securing tax revenue and employment in structurally important sectors such as logistics, microelectronics, and tourism.
Operational challenges and market environment
Despite the positive overall economic outlook, Mitteldeutsche Flughafen AG must hold its own in a challenging market environment. The Leipzig/Halle location benefits significantly from global e-commerce and its role as a European hub for major logistics companies. Here, growth rates in the freight sector remain consistently high, facilitating profitability.
Dresden, on the other hand, is struggling with the changed conditions in domestic air traffic. Here, the focus is increasingly on connecting the high-tech hub of Silicon Saxony to international transport centers. The restructuring therefore includes not only cost savings, but also an optimization of the fee structure and an increase in revenue from non-aviation activities, such as leases and ground services. Götz Ahmelmann emphasized that the restructuring is not an end in itself, but rather serves to ensure the long-term independence and vitality of the airports for the region.
Outlook on the renovation targets until 2030
The agreed-upon exit strategy marks a turning point in the history of Central Germany's aviation infrastructure. The next four years will be a crucial test for MFAG's management. Achieving the goal of operational break-even by 2026 would send an important signal to the financial markets and political decision-makers. The gradual withdrawal of state funding compels the company to adopt a consistently market-oriented approach.
The unity between Saxony and Saxony-Anhalt is considered a crucial political factor. The clear commitment to the holding structure prevents the company from breaking up, thus strengthening its negotiating position with airlines and logistics partners. Should the assumptions of the restructuring study prove correct, Leipzig/Halle and Dresden airports will operate as financially independent entities by the end of the decade, thereby definitively ending the period of state deficit coverage.