Kuala lumpur: Bahrain will fully bear the Formula One (F1) rights fees of USD70 million (RM298 million) to USD80 million for the Gulf Air Bahrain Grand Prix in Malaysia, according to SIC. SIC chief executive officer Azhan Shafriman Hanif said this arrangement was agreed through cooperation between SIC and the Bahrain International Circuit (BIC).

According to BERNAMA News Agency, Azhan Shafriman confirmed that the fees would be covered by Bahrain during a press conference at SIC. However, he mentioned that Malaysia would still need to cover the costs of local preparations, which amount to around RM40 million, to ensure the circuit meets Formula One specifications.

He further explained that SIC is currently in discussions with BIC regarding various operational aspects, including circuit preparations, technical requirements, and the allocation of hosting costs. Azhan Shafriman noted that if Malaysia were to host the race annually while covering both the rights fees and local operating costs, the total expenditure could reach at least RM300 million.

He highlighted that most host countries typically see returns of at least three times their expenditure, suggesting that if RM300 million is spent, the potential returns to Malaysia could reach RM1 billion. The Formula 1 Gulf Air Bahrain Grand Prix in Malaysia will be held at SIC from October 2 to 4, after Malaysia was selected as a replacement host following the postponement of the Bahrain race due to the West Asia conflict.