The covid-19 pandemic disorientated the entire world’s functioning, including the top sports events. As a result, the Tokyo Olympics didn’t happen on its usual schedule. However, the amount of money it cost because of this delay is quite substantial. To give more clarity on the subject, the organizing committee has finally submitted its report on all the expenses that occurred during the Tokyo Games.
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When Tokyo won the bid for the 2020 Summer Olympics in 2013, the estimated cost of organizing the event for $7.3 billion. However, the cost almost doubled when the event actually happened. Furthermore, the covid-19 pandemic also played its part in raising the overall cost to an extent.
Tokyo Olympics was the most expensive Olympics ever
As per the report submitted by the organizing committee, the final cost of the Tokyo Olympics was $13 billion (1.4 trillion Japanese yen). Organizing committee CEO Toshiro Muto said,?“We made an estimate, and the estimate has gone down lower than we expected. As a total amount, whether this is huge or not. When it comes to that kind of talk, it is not easy to evaluate.”
The price tag for last summer’s pandemic-delayed Tokyo Olympics came to $13 billion. nearly twice the initial estimate, with taxpayers footing 55% of the bill. https://t.co/1uF2NNqgCE
? Nikkei Asia (@NikkeiAsia) June 21, 2022
Though there were many factors accounting for this ridiculously high cost. The delay because of the covid-19 pandemic is the most prominent reason behind the rise in the overall budget.
Other reasons behind the increase in cost
The fluctuations in the exchange rate between the U.S. dollar and the Japanese yen was responsible for the price hike. Furthermore, the stadiums were all empty, so the only revenue that might have come was from broadcasting rights. As per a report, “organizers lost at least $800 million in income from ticket sales because fans were banned because of COVID-19.”
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TOKYO, JAPAN – AUGUST 01: Caeleb Dressel of Team United States looks on after winning the gold medal and breaking the olympic record in the Men?s 50m Freestyle Final on day nine of the Tokyo 2020 Olympic Games at Tokyo Aquatics Centre on August 01, 2021 in Tokyo, Japan. (Photo by Francois Nel/Getty Images)
Though the organizers are glad that the number didn’t go much higher. They were expecting it to be somewhere around $15.4 billion.