Baku organisers have dismissed reports the city's maiden F1 race is in doubt because of a fall in oil prices.
Reports on Thursday suggested the ongoing financial crisis in Azerbaijan, caused by the fall in oil prices and the collapse of the Manat, could force a rethink about the money being spent on the grand prix. Baku is set to host a street race on June 19 of this year, officially labelled the Grand Prix of Europe.
In response to those reports circuit chiefs have downplayed the impact of the financial crisis on Azerbaijan's inaugural grand prix.
"The devaluation of the Manat will have no impact with regards to the staging of the first ever Formula One race in Azerbaijan," a spokesman for Baku City Circuit (BCC) is reported as saying by Crash.net. "In fact, when the budget for the Grand Prix of Europe was approved, it was initially calculated in US dollars. As a result, we are not expecting any changes to the current event budget.
"BCC shares the concerns of everyone at the current devaluation of our national currency. BCC also accepts that staging such a major event requires a significant financial outlay. However, we would once again stress that the overall economic impact -- both short and long term, direct and indirect -- created by staging an F1 race will be of huge benefit to the national economy."
The spokesperson went on to outline the importance of the race for generating jobs and boosting the economy of the local area.
"The impact of increased tourism and direct visitor spending that will be injected into Baku area business establishments such as restaurants, bars, hotels and retailers will see millions, if not more, pumped into the economy.
"Similarly, the hosting of the race itself will create thousands of jobs directly and indirectly linked to the event. We are confident that the staging of this race will not only play a major part in aiding the recovery in the short term but in driving the national economy forward for years to come, outweighing any existing concerns being levelled against the cost of staging it."