Did you know that the International Olympic Committee (IOC) does not provide any monetary grants to the athletes who win medals at Paris Olympics 2024?
The Olympic event promises to be a spectacle of sportsmanship and cultural pride. Paris Olympics 2024 continued the tradition in spite of some controversies in its last leg of the tournament. However, behind the spectacle lies a pressing question: Will the Paris Olympics be profitable, or will it leave France with a financial burden?
The Paris Olympics 2024 organising committee has set a budget of $4.4 billion. However, when factoring in additional costs like infrastructure development, including the $1.5 billion Seine River cleanup, the total budget is now estimated to be nearly $9 billion.
Historically, the Olympics have been infamous for overspending, like between 2000 and 2020, only 4 out of 11 Olympic Games turned a profit, and those profits were modest. Statistically, the Vancouver 2010 Olympics managed a surplus of just $721 million, while Athens 2004 saw a staggering deficit of $14.5 billion
An independent study by the International Olympic Committee (IOC) estimates that the Paris Olympics could generate between $7.3 billion and $12 billion in revenue from 2018 to 2034, including tourism and construction impacts.
Assessing whether the Paris Olympics 2024 are worth the investment depends on the metrics used. If we look solely at the immediate financial returns, the high costs and potential for budget overruns doesn’t paint a great picture.
However, if we consider long-term benefits, such as improved infrastructure, increased tourism, and global prestige, the investment could pay off in more subtle, indirect ways, which yet remain to be seen.
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