Tokyo cuts estimated tab for 2020 Olympics to $12 billion

first_imgThe organizers said Friday that the event will cost a total 1.35 trillion yen ($11.9 billion).In their release, Tokyo 2020 officials said the U.S. dollar cost would be $12.6 billion. But at the current exchange rate of about 113 yen to the dollar it is just under $12 billion.FEATURED STORIESSPORTSWATCH: Drones light up sky in final leg of SEA Games torch runSPORTSSEA Games: Philippines picks up 1st win in men’s water poloSPORTSMalditas save PH from shutoutWhen Tokyo won the Olympics in September 2013, its bid was for 730 billion yen. That ballooned to over 3 trillion yen but was slashed to 1.4 trillion yen after Tokyo Gov. Yuriko Koike launched a cost cutting campaign.Organizers have managed to cut still more from the estimated cost by moving some events outside of Tokyo and using existing and temporary facilities. TOKYO — The latest price tag for the 2020 Tokyo Olympics has been trimmed slightly, but is still nearly twice the initial estimate even after a major cost-cutting effort.ADVERTISEMENT Don’t miss out on the latest news and information. Cayetano: 4 social media groups behind SEA Games ‘sabotage’ Do not bring these items in SEA Games venues MOST READ BI on alert for illegally deployed OFWs to Iraq LATEST STORIES Brace for potentially devastating typhoon approaching PH – NDRRMC 8th Top Leaders Forum assessed the progress of public-private efforts in building climate and disaster resilient communities A cost-allocation agreement calls for the city of Tokyo and the Tokyo 2020 organizing committee to pay 600 billion yen ($5.4 billion) each. The central government will contribute 150 billion yen ($1.4 billion).The remaining 35 billion yen ($315 million) will be covered by lottery revenues, officials said. Asian shares slide on weak Japan data; US markets closed Typhoon Kammuri accelerates, gains strength en route to PH Tokyo’s games won’t be the priciest ever: the 2012 London Olympics cost $19 billion, compared with the bid estimate of $6.5 billion.Cities tend to exclude large amounts of associated costs when they submit a bid to host the Olympics. Such bids usually include only core components such as the main facilities so that the bids are easier to compare. Building design, security measures, transportation and other costs are largely excluded.Thomas Bach, who took over as IOC president in 2013, has sought to slash costs to entice cities to bid for future Games and minimize damage to the Olympic brand. The IOC has urged Tokyo to cut $1 billion more.The addition of five new sports after Tokyo pushed the tab up, but one of the biggest factors is rising construction costs.The budget figure announced Friday does not include a contingency fund of between 100 billion-300 billion yen ($882 million-$2.6 billion).ADVERTISEMENT Read Next Kammuri turning to super typhoon less likely but possible — Pagasa Mbala on La Salle departure: ‘It’s final’ Police teams find crossbows, bows in HK university PLAY LIST 01:29Police teams find crossbows, bows in HK university01:35Panelo suggests discounted SEA Games tickets for students02:49Robredo: True leaders perform well despite having ‘uninspiring’ boss02:42PH underwater hockey team aims to make waves in SEA Games01:44Philippines marks anniversary of massacre with calls for justice01:19Fire erupts in Barangay Tatalon in Quezon City View commentslast_img

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