'Hosting big events can bring more than it costs'
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International Sports Federation (FISU) President Claude-Louis Gallien speaks at the opening ceremony of the Gwangju Universiade on July 3. / Courtesy of GUOC
By Baek Byung-yeul
GWANGJU ― Korea has witnessed how hosting a large-scale sports event made its presence known to the world by hosting the Summer Asian Games in 1986 and the Summer Olympics in 1988.
Questions remain, however, whether hosting mega sports events creates economic benefits to the regional governments compared to the costs involved.
The Daegu-Gyeongbuk Development Institute expected that hosting the 2011 IAAF World Championships would create economic benefits of up to 8 trillion won ($880 million), but the report conducted by the Korea Sports Promotion Foundation showed that the regional economic impact was only 269.4 billion won.
The survey also found hosting those events did not affect the number of tourists. Some 300,000 overseas tourists visited Daegu in 2001, and the number was reduced to 240,000 the following year even though Daegu was one of the host cities of the 2002 World Cup. In 2003, when the Summer Universiade Games were held in Daegu, only 170,000 tourists visited.
There is mounting criticism that attracting large-scale events results in fewer benefits than the cost. International Sports Federation (FISU) President Claude-Louis Gallien refuted those remarks on Saturday, saying “hosting mega sports events can bring much more indirect benefits to the host city than it actually costs.”
The president of the governing body of the Gwangju Universiade attended the 28th FISU Conference.
“With the Gwangju Universiade Organizing Committee (GUOC), we have built human resources in Gwangju. If they want to organize a big event again, thousands of people in Gwangju can do so as they all have been educated to do that,” Gallien told The Korea Times at the conference in the Gwangju Metropolitan City Hall.
“So, what we are doing is an investment for human resources. Gwangju has many indirect revenues. Considering these things, hosting big events can bring more than it costs,” the president said.
When asked whether it is rational to host mega sports events for the overall economic wellbeing of a city, the former French university hammer throwing champion said the Gwangju Universiade will be more than helpful for the residents.
“What we are now trying to do is not to make a competition between candidate cities because they want to win and they try to pay a lot. So now we have asked those cities what are your expectations? Why do you want to have the Games? What do the Games mean to your country?”
“We try to make a build a customized Universiade, which is really tailored for one city. Why should we do it? We are not business. We try to select the city as well as the project (the city pursues),” he said. “The reason why we came down to Gwangju is because it is a city where students tried to fight for liberty and democracy. Also, Gwangju is in Korea. As you know the situation in the peninsula, we tried to do something for the unification of the two Koreas.”
“After the Universiade, most venues will be used for people in Gwangju. They are not closed after the Games. It will be open to the people.”
The president also praised the GUOC’s efforts to cut down the cost, taking the city as a good example of a sports event host.
“There is a good example of the GUOC’s effort to cut costs in rowing. The GUOC told us they have a beautiful place for rowing but it is 300 kilometers away from Gwangju. They asked if they should make another place for rowing in Gwangju,” he said.
“I said no. Obviously it is stupid because it costs a lot of money and it might not be used again after the Games. So we accepted the GUOC’s proposal as we decided that it could save a lot of money. This is only one example of the Gwangju Universiade. This Universiade saved a lot compared to the amount they initially thought. All these are efforts we made together.”