Return of Formula 1 expected to rev up Turkish economy

• Istanbul to host event from 2027
• Deal agreed for at least five years
• Tourism industry hails ‘good news’

Motor racing’s premier series is returning to Turkey, with Formula 1 adding İstanbul to its calendar from next year in a move expected to boost the city’s global profile and revenues, say analysts.

The Turkish government announced it had reached an agreement with the Fédération Internationale de l’Automobile (FIA), Formula 1’s governing body, for İstanbul to host Grand Prix racing once again.

President Recep Tayyip Erdoğan said the return of the Turkish Grand Prix was a victory for the country’s passion and belief in sport, while also alluding to the disruption to this year’s racing schedule due to the war in the Gulf.

“The Formula 1 races to be held at İstanbul Park for at least five years will both support İstanbul’s leading position in the world and demonstrate that our country is the safe haven of its region.”

The unrest in the region Erdoğan hinted at has resulted in the cancellations of the Bahrain and Saudi Arabia Grand Prix in April, cutting the 2026 season from 24 to 22 races this year.  

İstanbul already has a purpose built circuit and facilities, giving it an advantage over other candidates seeking to host Formula 1 events.

It also has experience, having hosted Formula 1 at the İstanbul Park track from 2005 to 2011, and then staging racing in 2020 and 2021, plugging gaps on the Covid-disrupted calendar. 

Staging Grand Prix racing again is expected to be a major money spinner, with the 2021 event estimated to have generated up to $150 million in revenue.

The return of Formula 1 to Turkey is good news coming at a tough time for tourism, says Ali Onaran, chairman of leading tourism agency Prontotour.

Further reading:

• Turkey makes ambitious pitch for Gulf business
• Turkey invests in soft-power soap operas
• More visitors and higher prices push up Turkish tourism revenue

“Because Formula 1 is a niche market, it brings in much more as it attracts the upper segment of clients,” he told AGBI.

However, beyond hotel rooms booked and meals served, it is the value added that the event will bring that is even more significant, Onaran said. 

“What is more important is that it highlights İstanbul as a destination, it is a great means of promotion for the millions watching on their screens at home. 

“In three years’ time, those 18-years-olds watching the race will be travelling to İstanbul.”