South African Sports Minister Expects Profitable F1 Returns Despite $533 Million Investment in Next 5 Years

South Africa is gearing up to host its first F1 race since 1993 and although no official announcement has been made for the same, the organizers and Sports Minister of the country Gayton McKenzie are confident of pulling it off. The event won’t come cheap, as McKenzie revealed in a recent interview.

They will have to raise R2 billion per year, and since South Africa wants F1 on the official calendar for five seasons, the total will come to R10 billion, approximately $533 million at current exchange rates. McKenzie is not worried and insists that the event will be profitable.

| South Africa announces their F1 bid steering committee.

“Our bid is inspired by the resilience of Lewis Hamilton. So can we all give Lewis Hamilton a great round of applause.”

– Gayton McKenzie | Minister of Sports, Arts, and Culture pic.twitter.com/JqRqCKUlYJ

— sim (@sim3744) December 18, 2024

“I can tell you we have had a lot of offers already from hospitality people who want to put down R400m,” he said as quoted by Times Live. “We said to them we are not at that point yet but there are big sponsors approaching my office every day because they want to get involved. If it is done correctly, it can be profitable.” 

McKenzie insisted that he ‘never lost’ sleep over the idea of corporates not wanting to sponsor the South African GP. He revealed that the likes of Red Bull and Heineken are already on board, and with constant backing from seven-time World Champion Lewis Hamilton, arguably the biggest name in F1, support seems to be stronger than ever.

Hamilton’s fight to see F1 race in Africa

Hamilton’s advocacy for a race in the African continent is not new. He has been fighting for years, trying to get the bosses to look in the direction of the continent he so dearly loves.

This has definitely stirred the needle, and it looks likely that the 39-year-old will get to drive in the continent with the South African GP expected to be a part of the calendar in 2027 (perhaps even 2026). In return, McKenzie has lauded Hamilton publicly on several occasions.

“No man has ever fought so hard for us to host F1 on African soil,” he said in an older interview. “To Lewis Hamilton, thank you“. In an emotional statement, McKenzie added that the people of his country are grateful and will be ready to “give him South Africa in return” when the time comes.