a strategic gamble aiming for economic, political and social goals
Boxing purists can argue about the sporting merit of a fight between a reality TV star and a former YouTube prankster. But the commercial value of the massively hyped February 2023 event was both for the participants (Tommy Fury and Jake Paul shared a prize purse worth over US$13million (£10.7million)) and for the country hosting it hosted – Saudi Arabia, sure.
Because while Qatar caught the world’s attention as hosts of the men’s FIFA World Cup in 2022, its bigger, louder neighbor is now interfering with even bigger sporting plans.
Saudi Arabia’s financial power – and level of ambition – is like Qatar on steroids. The kingdom is widely expected to submit a joint bid for the 2030 FIFA Men’s World Cup and is desperate to increase its presence in international sport.
So far it’s been pretty successful. In football, Saudi Arabia was recently chosen to host this year’s FIFA Club World Cup and will host the Asian Cup in 2027. The country’s tourism authority has also reportedly signed a deal to sponsor this year’s FIFA Women’s World Cup in Australia.
Then there is ownership (via the country’s sovereign wealth fund) of Newcastle United FC and evidence that Saudi Arabia was interested in bidding for Manchester United and Liverpool. One of football’s most famous stars, Christiano Ronaldo, currently plays for Saudi Arabian club Al Nassr where he is said to be earning around £500,000 a day.
Away from the football pitch, there have been rumors of a Saudi-backed bid to buy Formula One, as well as interest in wrestling, cycling and golf.
The scale of Saudi Arabia’s investment is clear enough. But it is worth remembering that this enormously expensive outlay is not done out of vanity or generosity. It is a carefully constructed strategy in response to the kingdom’s pressing economic, political and social challenges.
Saudi Arabia’s de facto ruler, Crown Prince Mohammed bin Salman (commonly known as “MBS”), recognizes the value of sport as a political tool in securing the long-term future of the Gulf state.
Because while Saudi Arabia has vast wealth (its wealth fund has over $600 billion in assets), much of it comes from oil and gas. And as the world strives to move away from carbon fuels, the Saudi economy is over-specialized and at risk.
Investing in sports abroad is one way to address this vulnerability and diversify the economy. But it’s the scale of domestic spending on sports that sets Saudi Arabia apart, as demonstrated by the construction of Qiddiya, a sports and entertainment mega-project designed to attract domestic investment and foreign tourists.
The transformation process is also political. At home, the Saudi government continues to follow events in the Arab world that led to popular protests in 2010 and 2011. With nearly 70% of the population under the age of 35, the fear of social unrest is palpable and real.
By focusing on the promotion of sports, entertainment and leisure, MBS and its officials cater to the interests and needs of Saudi Arabia’s young consumers to ward off dissatisfaction among them.
Through owners like Newcastle United and a stake in the McLaren F1 team, Saudi Arabia also seeks international legitimacy and wants to project soft power and establish diplomatic ties.
fitness level
Public health is another problem in Saudi Arabia with rising obesity, diabetes and heart disease. As in many other countries, sport is used as a political tool to promote a healthier lifestyle.
The use of sport in all these areas, combined with the amount of government spending on it, is of course not without criticism. Domestically, more conservative demographics remain concerned about the changes being made, such as women’s participation. Others have noted the extent to which government influence over economic activity stifles creativity, enterprise and overall growth.
Internationally, Saudi Arabia is regularly accused of washing its way out of human rights concerns – an attempt to distract attention from regular executions, the war in Yemen and the 2018 killing of Saudi journalist Jamal Khashoggi. Others claim that despite the country’s perceived transformation, women’s and girls’ rights are still being denied and dissidents are repressed.
But there is considerable excitement within the kingdom over the country’s burgeoning status as a sporting superpower – and it’s unlikely MBS will stray from the path it has been on. The country’s considerable purchasing power makes it certain that Saudi Arabia will soon become one of the biggest players in international sport, delivering a knockout blow to the kingdom’s many critics.
This article was republished by The Conversation under a Creative Commons license. Read the original article.
Simon Chadwick does not work for, consult with, own an interest in, or receive funding from any company or organization that would benefit from this article, and has disclosed no relevant affiliations other than her academic appointment.