Unveiling Saudi Arabia’s Plan To Become Key Player In Global Sports

Is the Kingdom of Saudi Arabia – the world’s second-largest oil producer – the biggest investor in global football today? Possibly. The country has spent billions of dollars on high-profile deals to reduce its overdependence on planet-polluting fossil fuels.

Until recently, Saudi Arabia was known for oil and the two holy mosques in Makkah and Medina that draw millions of Muslims each year. In recent months, however, the Kingdom has gone on a buying spree, investing generously in the global sports industry.

In an effort to strengthen domestic football, the country continues to welcome some of the most popular and sought-after football stars for its local clubs. Cristiano Ronaldo, Neymar, Karim Benzema and other big names have been lured in with million-dollar salaries.

The 37-year-old Saudi Crown Prince Mohammed bin Salman wants to transform the Kingdom into a modern economy and regional power. He believes investment in sport will diversify the economy and generate employment and investment, while keeping young Saudis fit as well.

Earning Sizeable Revenue Through International Broadcast

Nonetheless, Saudi Arabia isn’t the only Gulf country to have lately been showing considerable interest in football and heftily investing in the sport. The UAE is also known to have purchased major stakes in leading English and European clubs in recent years.

In addition to football, Saudi Arabia has invested lavishly in other sports, too. 2018 marked the country’s first major investment in a foreign sports enterprise through a 10-year contract worth millions of dollars to host World Wrestling Entertainment events.

In subsequent years, the Kingdom also spent on boxing, horse racing, tennis and Formula 1, in addition to its prominent focus on football. Saudi Arabia’s Public Investment Fund – considered one of the world’s largest sovereign wealth funds – has played a crucial role in these deals.

Also Read: Bahrain participates in GCC Dialogue on Children Welfare

This attempt to transform the country into an international sports hub isn’t driven by philanthropy. Saudi Arabia has a chance to earn sizeable revenue through the international broadcast of major sporting events.