KUALA LUMPUR – The recent partnership between Malaysia External Trade Development Corp (Matrade) and English football club Queens Park Rangers has raised questions within the football community about why national agencies and corporations are not investing in Malaysian football stadiums.
Speaking to Scoop, a well-placed source in the corporate industry has revealed that it is impossible for Malaysian corporations to invest in local football stadiums as long as the stadiums are under the control of local state councils.
“It’s really hard for corporations and agencies to invest or sponsor local stadiums because they would face challenges in obtaining a return on their investment due to the bureaucratic processes associated with stadiums owned by local state councils.
“Corporations tend to engage with stadiums that are well-maintained and in good condition.
“Looking at the current bad state of most of the stadiums in Malaysia, it’s very doubtful for any corporation to invest, except for the Sultan Ibrahim Stadium in Johor,” the source said.
The source also said corporations typically base their interest in investing in a stadium on the size of a football club’s fan base in Malaysia.
“Corporations usually analyse the potential exposure they can gain through fan attendance at a stadium.
“One of the challenges in Malaysian football is that fans tend to show up only when their club is performing well, unlike in foreign nations.
“For example, even if Manchester United lose a game, a huge number of fans will still attend matches at Old Trafford. This is quite different from the situation in Malaysia.
“So my question is, how would our local corporations and agencies invest in local stadiums when this kind of issue persists? Of course, they will prefer to invest in foreign stadiums and clubs that have a huge fan base so that their brand can be well known.
“Situations like this have to change if we would like to see corporations and agencies investing in local stadiums,” the source added.
Recently, former PKR lawmaker Sivarasa Rasiah questioned Matrade’s use of public funds in securing a three-year naming rights deal with QPR.
In a post on X (formerly known as Twitter), Sivarasa demanded that Matrade disclose the value of the deal.
Yesterday, Investment, Trade and Industry Minister Datuk Seri Tengku Zafrul Tengku Abdul Aziz said that Matrade has collaborated with QPR to gain the naming rights for the club’s ground, Loftus Road.
He said that there was no cost involved in this initiative as it was a part of the agency’s CSR programmes.
“One of the owners of the club is a Malaysian and he wanted to promote our trade since the United Kingdom is now part of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership and there will not be any cost in this partnership for the next two years.
“We will also be working together with Liverpool FC as well after two years,” he said in Parliament yesterday in response to Titiwangsa MP Datuk Seri Johari Abdul Ghani.
Located in London and with a seating capacity of 18,000, the stadium will now officially be known as the Matrade Loftus Road Stadium for a duration of three years, until the 2025/2026 season. – November 1, 2023