Conference on the Economy of Monaco’s F1 Grand Prix

Recently, the Monaco Economic Board organized a breakfast conference with Lionel Galfré, director of the Monegasque Institute of Statistics and Economic Studies (IMSEE). Nearly 80 economic players from the Principality attended the presentation, which focused on the impact of the 2017 F1 Grand Prix for the first time; and on the data of the new edition of ‘Monaco in Figures’ published by the Institute.

The Director of the IMSEE introduced the conference by clarifying certain things. The measured impact of the 2017 Grand Prix by its teams was not an extrapolation, as some estimates created to highlight the attractiveness of an event sometimes are. The figure of 90 million euros including VAT was calculated on real and verified bases. The ACM, was of course involved, but so were the administration, the most impacted professionals, as well as pollsters, who were on location during the 4 day event.

The result is an image which Lionel Galfré describes as a little miracle: the amount obtained in such a short period of time and within 2 km2 is exceptional. 21.7 million euros are generated by the expenses incurred by the organizers leading up to the event, the remaining 68.3 million euros correspond to indirect benefits, exclusively in the Principality. Accommodation, restaurants and bars, ticketing and privatize terraces alone account for more than three quarters of this amount. It must be said that the Grand Prix has gradually attracted a clientele of jet-setters with high purchasing power in addition to racing enthusiasts.

Beyond the calculated benefits, Lionel Galfré also noted that although the total profit of the Grand Prix, by far the most important event for the Principality, is not entirely quantifiable. Even in terms of media exposure: more than 400 million viewers for the race, not to mention replays, reports, press articles, etc. In short, an exceptional visibility on five continents that contributes to the mythology of the Principality.

For the release of the Monaco in Figures collection, the Director of the Institute also put forward some key data confirming the dynamism of the Principality. The number of jobs, for example, has steadily increased in recent years from 50,835 in 2013 to 54,303 in 2017. A figure that Lionel Galfré has put in parallel with the Grand Prix, since companies have settled in the Principality to work on all the races of the season.

At the end of the presentation and after a question and answer period, the participants were able to leave with a copy of Monaco in Figures, a veritable mine of information which includes valuable indicators to assess major trends that are currently emerging.