Over the past four years, 80 international sporting events have attracted 2.5 million tourists to Saudi Arabia, noted Minister of Sports Prince Abdulaziz bin Turki bin Faisal during the 2025 Budget Forum.
Prince Abdulaziz praised the Saudi leadership’s support for the sports sector, which has driven its growth and enhanced its global recognition. During the forum, the minister highlighted the sector’s significant role in boosting tourism. For instance, Formula 1 in Jeddah welcomed attendees from 160 nationalities, created 20,000 jobs, and generated a SAR900 million economic impact on the city.
Club privatization drives sector growth
The minister also underscored the private sector’s vital role in Saudi Arabia’s sports industry. Fourteen clubs have been up for privatization, attracting interest from 25 companies, with notable attention from international investors. He also highlighted the success of the Nafis platform, which has licensed 2,000 academies and 500 clubs, enabling some to transition into operating as companies.
In recent years, Saudi Arabia’s investment in sports has been significant, marked by high-profile acquisitions by the Kingdom’s Public Investment Fund (PIF) of clubs like Al Hilal, Al Nassr, Al Ittihad, and Al Ahli, along with Saudi Aramco’s acquisition of Al Qadisiyah Club and Diriyah Gate Development Authority’s acquisition of Diriyah Club.
These investments align with Vision 2030’s broader goal of economic diversification, aiming to make sports clubs financially independent and increase the sector’s contribution to the Kingdom’s GDP from SAR2.4 billion ($640 million) in 2016 to an estimated SAR18 billion ($4.8 billion) by 2030.
Read: Saudi economy sees 64 percent surge in nominal GDP from 2016 to 2023, says Finance Minister
Saudi League’s international visibility
Prince Abdulaziz also emphasized the global reach of Saudi Arabia’s sporting events, including the Saudi League, which is broadcast in over 160 countries. This international visibility has resulted in substantial investment and a strengthened global presence for Saudi sports.
The Saudi government’s recent approval for the privatization of 14 additional clubs further demonstrates its commitment to professionalizing the sports sector. These efforts align with plans for state-of-the-art stadiums and major events like the 2027 AFC Asian Cup and the 2034 FIFA World Cup, promising a bright future for Saudi sports. Privatization is also considered a key component of Saudi Arabia’s ambition to elevate its Saudi Pro League to the level of major European leagues.
A Deloitte study highlights the Middle East’s growth trajectory, with Saudi Arabia driving the regional sports boom. With an expected market growth of 8.7 percent by 2026, surpassing the global average of 3.3 percent, Saudi Arabia presents attractive opportunities for investors exploring the sports sector.
Deloitte identifies a young, digitally adept Saudi population, with 63 percent of nationals under the age of 30, as a key demographic for sports engagement. This dynamic fanbase is likely to fuel demand for immersive experiences, digital interactions, and gamified sports content.
For sports investors, this historic transformation offers a dual opportunity: potential economic returns and a role in advancing Saudi Arabia’s broader Vision 2030 objectives.
