The French government and Groupe ADP have reached an agreement on a proposed regulatory framework that paves the way for an €8.2 billion ($9.7 billion) investment program to modernize Paris airports.

The 2027-34 Economic Regulation Agreement (ERA) follows months of negotiations between Groupe ADP, the French Ministry responsible for civil aviation, airlines and the French Transport Regulatory Authority (ART). However, the proposal must still undergo a final consultation with airlines and receive a binding opinion from the ART before it can be signed and come into force on Jan. 1, 2027.

“At €8.2 billion in total over the duration of the agreement, this is the most ambitious investment program ever undertaken in Paris,” Groupe ADP Chairman and CEO Philippe Pascal says. “It is set to give a significant boost to the competitiveness of Paris airports which, as major infrastructure, are great assets for the country’s appeal and economy.”

The investment program will be delivered in three phases between 2027 and 2034. Initial projects will focus on improving passenger flows through border control and security screening, followed by optimization of existing infrastructure and new capacity and intermodal transport improvements.

Plans include expanding border control facilities, extending the automated airport train at Paris Charles de Gaulle Airport, improving baggage handling systems and developing new boarding facilities at Paris Orly Airport.

Under the terms of the agreement, average airport charges will rise by inflation plus 2.1 percentage points over the eight-year term, compared with the inflation-plus-2.6-point increase originally proposed by Groupe ADP.

The agreement was announced alongside Groupe ADP’s first-half 2026 results, which showed attributable net income more than tripled year over year to €312 million, largely reflecting gains from the partial disposal of its stake in India’s GMR Airports.

Revenue increased 1.6% to €3.22 billion, while recurring Ebitda declined 1% to €1.02 billion. Group traffic rose 0.2% to 179.2 million passengers, including a 0.5% increase at Paris airports to 51.6 million passengers.

However, the airport operator lowered its full-year outlook as the conflict in the Middle East continues to weigh on demand and airline capacity. Groupe ADP now expects Paris airport traffic to grow by about 0.5% in 2026, down from its previous forecast of 1.5-2.5%, and reduced its recurring Ebitda guidance to €2.30-€2.35 billion, compared with more than €2.35 billion previously.

The company says cost-saving measures introduced during the second quarter are expected to generate between €40 million and €60 million in savings, primarily in the second half of the year. Despite the weaker near-term outlook, Pascal says the ERA provides the visibility needed to support the group’s next investment cycle.