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The race to bring Formula 1 back to Africa

Fabio Scala, Cav OSI by Fabio Scala, Cav OSI
May 11, 2025
in Africa, African tourism growth, Events, FA, Morocco, Rwanda, South Africa, Tourism
Reading Time: 6 mins read
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Artistic perspective of a Formula one race in Cape Town

Artistic perspective of a Formula one race in Cape Town

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For nearly thirty years, Africa has remained absent from the elite Formula 1 calendar—making it the only inhabited continent without representation.

As the sport accelerates its global commercial push, this absence becomes increasingly conspicuous. However, change is finally on the horizon. Two African nations—South Africa and Rwanda—are fiercely competing to bring Formula 1 back to Africa. Their bids reflect not just a desire for spectacle, but a strategic economic pursuit.

Formula 1 today is not just sport; it is a multibillion-dollar global enterprise. Hosting a Grand Prix sits at the intersection of diplomacy, tourism, infrastructure development, and financial opportunity. Therefore, Africa’s return to the premier circuit signifies far more than nostalgia. It represents continental ambition, sovereign positioning, and strategic leverage in the global economy.

A continent at the starting line

To bring Formula 1 back to Africa is not a symbolic move—it is an economic bet. For South Africa and Rwanda, the potential returns are considerable. F1 races routinely inject hundreds of millions of dollars into local economies through tourism, media exposure, and capital investment. Cities like Singapore, Baku, and Abu Dhabi offer vivid case studies of transformation led by motorsport.

The phrase “bring Formula 1 back to Africa” captures a continental aspiration: to reposition Africa as an actor in global sport and investment discourse. With its rapidly growing population, expanding urban networks, and digital progress, Africa now aligns with Formula 1’s strategy to break from tradition and capture new audiences. Yet the competition between these two nations is anything but even.

South Africa: legacy, leadership, and logistics

South Africa boasts historical precedence. The Kyalami Grand Prix Circuit, nestled just outside Johannesburg, last hosted Formula 1 in 1993. It holds a cherished legacy in motorsport. Although revival talks have surfaced over the years, financial and political headwinds have delayed progress. Nonetheless, the bid remains strong. The circuit exists and retains global recognition. What it lacks is modern compliance. Significant upgrades are required to meet today’s stringent FIA standards. Encouragingly, South Africa’s motorsport culture and existing infrastructure continue to make the country an attractive candidate for Liberty Media, Formula 1’s commercial rights holder.

Kyalami Grand Prix Circuit

The government has stepped up efforts. A dedicated bid committee is in place, and various funding structures are being evaluated. However, environmental clearances, stakeholder consensus, and fiscal feasibility remain hurdles. Still, South Africa has a strategic edge: brand familiarity. In global markets, trust is capital—and Kyalami has it in abundance.

Rwanda: speed, symbolism, and smart ambition

In contrast, Rwanda brings a bold, futuristic bid. Under President Paul Kagame’s leadership, Rwanda has emerged as a hub for innovation, diplomacy, and now, elite sport. The country is building a brand-new track near Bugesera International Airport in Kigali—a greenfield investment designed by former Formula 1 driver Alexander Wurz.

Rwanda’s ambitions are not without precedent. The country has already hosted the Basketball Africa League, global cycling events, and the FIA General Assembly. Partnerships with Arsenal and Paris Saint-Germain also reflect a shrewd use of soft power. Hosting a Grand Prix would elevate Rwanda to the highest tier of global sports diplomacy. Importantly, the economics align. Rwanda’s airport expansion, road networks, and hospitality assets are designed to accommodate high-profile events. A Formula 1 race could serve as both a commercial launchpad and a branding coup. And crucially, the country offers political will, speed of execution, and vision—assets equally valuable as capital.

What’s at stake for Africa?

To bring Formula 1 back to Africa is to unleash economic opportunity. According to Liberty Media, each Grand Prix can inject over $100 million into a host country’s economy. Hotels, restaurants, logistics providers, and media partners all benefit from this ripple effect. That is without even accounting for long-term investor interest and future trade exposure.

Then comes the visibility. Formula 1 broadcasts reach over 500 million viewers annually. Hosting a race projects a nation’s image in high definition across the globe. For Africa, often overshadowed in global media, this presents a chance to tell a new story—on its own terms.

Yet the path is expensive. Building or upgrading circuits, ensuring safety compliance, securing logistics, and buying hosting rights all require robust financial planning. Government backing is common, but public-private partnerships offer a more sustainable model. Vision, not just funding, will separate a fleeting spectacle from lasting legacy.

Also read: Rwanda Bids to Host Formula 1 Grand Prix

Structuring the financing: blending ambition and capital

Africa’s return to Formula 1 will depend on well-crafted financial models. In Rwanda, where blended finance has driven infrastructure development, the race track could leverage concessional loans, sovereign guarantees, and institutional capital. This aligns with the country’s Vision 2050 agenda and opens space for sustainability-linked instruments.

South Africa could turn to domestic capital markets, supported by a strong tourism ecosystem. However, social expenditure, energy crises, and fiscal constraints may limit public outlays. In this context, consortium funding—including private sponsors, global brands, and media entities—may become the preferred route.

The private sector is watching. For companies, Formula 1 offers more than visibility—it’s a gateway into emerging markets. Tech firms, telecoms, logistics players, and banks increasingly sponsor F1 to build trust and presence. Africa, underdeveloped in this regard, offers vast untapped potential.

Liberty Media’s global calculus

From Formula 1’s perspective, Africa is overdue. Liberty Media’s recent expansions into Las Vegas, Saudi Arabia, and Miami reflect a deliberate pivot toward commercially attractive, emerging locations. Africa—young, dynamic, and investment-hungry—fits this narrative perfectly. Lewis Hamilton, a seven-time world champion, has long advocated for an African Grand Prix. His backing adds both moral gravitas and market clout. For Liberty Media, however, the motivation is clear: growth. Governments are willing to invest, fan bases are enthusiastic, and corporate partners are eager to enter. Africa is no longer a question of if, but when.

In 2008, Lewis Hamilton reportedly promised Nelson Mandela he would bring Formula 1 back to Africa.

The geopolitical undertones

Economic reports may highlight figures, but geopolitics lingers behind the scenes. A Grand Prix awards soft power, legitimacy, and influence. Rwanda’s decision to unveil its bid during the FIA General Assembly—hosted in Kigali—was no accident. It was a diplomatic statement.

South Africa’s return would also signal renewed leadership on the continent. Yet internal political tensions, budgetary pressures, and global competition pose risks. Success will require deft navigation, both domestically and abroad.

Formula 1 has long served as a platform for statecraft. Countries like Qatar, Azerbaijan, and China have used the sport to shift narratives and amplify global positioning. Africa can—and should—do the same.

Building green, racing clean

Sustainability now lies at the heart of Formula 1’s future. Liberty Media has pledged net-zero emissions by 2030. African hosts must build with this in mind. Sustainability is no longer a marketing line; it is a competitive requirement.

Rwanda’s proposed track includes solar energy, electric vehicle infrastructure, and eco-sensitive planning. South Africa’s potential lies in its growing renewable sector. These factors enhance a bid’s credibility while attracting climate-aligned investors. Green finance, carbon credits, and ESG-driven funding can play a pivotal role. For Africa, this is an opportunity to lead rather than follow.

Also read: Will F1 Return to Africa? South Africa Races for 2027 Grand Prix

Racing towards transformation

The attempt to bring Formula 1 back to Africa is about far more than motorsport. It is about rewriting a continental narrative. Sport, when aligned with smart policy and bold vision, can catalyse change across sectors.

Even if only one bid is successful, the race itself generates value. Domestic motorsport could thrive. Tourism authorities could scale innovation. Infrastructure investments could accelerate. The multiplier effect is real—and measurable.

For Africa, crossing the finish line means far more than winning a race. It signals a re-entry into the global dialogue—not as a silent participant, but as a formidable, equal player.

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Tags: Africa economic rebrandingAfrican Grand PrixBugesera Grand PrixESG investment motorsportF1 circuit green financeF1 tourism impactfabio scalaFIA Africa plansFormula 1 AfricaFormula One Africaglobal sport investmenthosting F1 in AfricaKigali F1 trackKyalami circuitLewis Hamilton AfricaLiberty Media Africamotorsport economyRwanda F1 bidRwanda smart citySouth Africa F1sport diplomacy Africasports infrastructure Africa
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Fabio Scala, Cav OSI

Fabio Scala, Cav OSI

Fabio Scala is a strategic consultant and senior investment banker specialised in emerging & frontier markets with international experience across Africa, Europe, Asia and the Americas. He previously served as Strategic Advisor to the Minister of Economy and Finance of Mozambique and was Managing Director of a British family office focused on Southern Africa. He sits on the board of Uhusiano Capital and advises Digilogic, a pan-EU–Africa digital innovation network. In recognition of his contributions to strengthening Italy–Mozambique relations, he was awarded the title of Knight of the Italian Republic in 2024.

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