The economic difficulties in Asia are having an impact on the three major sports events scheduled to take place in the region this year.

Japan will stage the Winter Olympics as planned next month, though the organisers have had to cope with a soaring budget and sagging economy.

But doubts are being expressed over future bids to hold the games, while the Commonwealth Games in Malaysia and the Asian Games in Thailand have suffered from major budget reductions.

The biggest impact has been on the Asian Games in Bangkok later this year.

The organisers have already announced that the total budget for the games had been cut by almost half from the original projection to $38 million.

The committee has denied that a major sponsor is threatening to pull out. But it admitted the organisers and the sponsor were trying to negotiate a compromise.

It is just the latest hitch in preparations for the Asian Games. The construction of some of the venues is behind schedule and plans for a $3 billion mass transport system has been scrapped.

The Commonwealth Games in Kuala Lumpur in September are also under financial pressure.

The initial budget allocation was almost $700 million, but devaluation and the falling value of the Malaysian currrency, the ringgit, has reduced it by 40%.

The budget has been cut for the opening and closing ceremonies, overseas training programmes for athletes has been reduced, and there are reports that plans to buy 20 ambulances have been shelved.

The better news for both events is that much of the revenue from the games will be coming in as dollars.

According to a newspaper survey, interest in bidding to stage the Olympics at Osaka in the year 2008 is waning.

The survey of more than 2,000 readers in Osaka showed support had fallen below 60%.
 

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