Southeast Asian Country Turns Down F1 Return Over Cost Concerns
Given the high sponsorship costs in the context of the increase in demand to accommodate Formula 1, the Minister of Sports in Malaysia, Hannah Yeoh, confirmed to Parliament that her country would not bring F1 anytime.
Yeoh revealed that a Grand Prix required a financial commitment of around 300 million RM, which, in USD, in accordance with current exchange rates, is $ 71 million per year, a figure that exceeds the current Malaysian government budget for 20 sports programs.
The first racing class ranked last time in the Malaysia International Circuit (SIC) in 2017, after its beginnings in 1999. Another challenge for Malaysia to bring F1 to be the high demand, while the sports calendar remains limited to 24 races per year. Malaysia continues to welcome MotoGP in Sepang.
However, the Malaysian government remains open to F1 accommodation if private companies are willing to help financially. She said:
Images Paul Gilham / Getty
“Formula 1 is a prestigious sporting event that is followed by fans around the world. So, if we could afford it, it would be good to have it in Malaysia.”
In the Southeast Asia region, Malaysia faces competition from China, Japan and Singapore, which continues to accommodate Grand Prix races. The Thai government recently approved an offer of $ 1.2 billion to organize an F1 street race in Bangkok.
Newsweek Sports has reported that a 3.54 -mile street circuit is planned by the Chatuchak park region. The inaugural race should take place in 2028, marking the start of a five -year contract. The announcement has come for months after the CEO of F1, Stefano Domenicali, met Thai Prime Minister Paetongtarn Shinawatra. He said in March:
“I was delighted to meet Paetongtarn Shinawatra, the Prime Minister of Thailand, and his team today to discuss their impressive plans to organize a race in Bangkok. I can’t wait to continue our discussions in the weeks and months in advance” [sic]
Paetongtarn Shinawatra said:
“It is a great pleasure to welcome the team of Mr. Stefano Domenicinicali, CEO of F1, in Government House. We had the opportunity to discuss the opportunity of Thailand to welcome the breed of Formula 1, which is a great sport with a global audience.
“The government has confirmed that it would study this joint investment, including the study of the race route (street circuit), the investment budget and the value that Thailand to receive from the organization of the race. All this is not only the honor of welcoming the race, but also the opportunity to develop the structure of the city in a major way, to open the country to welcome tourists from all over the world.
“I believe that all Thai people will benefit from the organization of this event, whether it be large -scale investment in infrastructure, job creation, generation of new income income and importation of new technologies and innovations, which will increase Thai workers to future industries and the service sector. I am convinced that this project will be successful. Destination of the event. “” [Translated by Google]
