https://arab.news/28ynb
RIYADH: Saudi Arabia’s sports sector market value is projected to hit $22.4 billion by 2030, up from $8 billion, driven by a surge in investments and a growing focus on the industry.
According to the report released by SURJ Sports Investments, a company under the Public Investment Fund, the Kingdom has hosted over 100 major international events across 40 different sports since 2019.
This growth supports Vision 2030’s goal of developing the Kingdom into a global sport and entertainment hub, with Middle East and North Africa sports market revenue projected to rise from $4.79 billion in 2024 to $5.57 billion by 2029, as per data from Statista.
Major events hosted by the Kingdom include the FIFA Club World Cup, the Saudi Cup horse race, and various Formula 1 races held in Jeddah.
“These efforts culminated in December with the Kingdom officially winning the right to host the 2034 FIFA World Cup,” said Danny Townsend, the CEO of SURJ Sports Investments.
Saudi Arabia’s commitment to sports development is evident in financial investments. SURJ’s report highlighted that the sector’s contribution to the Kingdom’s gross domestic product grew from $2.4 billion in 2016 to $6.9 billion in 2019.
Annual contributions are projected to reach $16.5 billion by 2030, accounting for 1.5 percent of the national GDP. Additionally, sports investments are expected to generate over 100,000 jobs in the next decade.
Key achievements in the sector include the launch of the Professional Fighters League Middle East and North Africa, supported by SURJ Sports Investments, marking the first regional mixed martial arts league.
“This initiative opens new avenues for athletes from Saudi Arabia and the Middle East to compete in this discipline,” Townsend added.
The sector also saw a rise in infrastructure spending, with plans for $2.7 billion to develop and renovate facilities by 2028, according to the report.
The growing enthusiasm for sports among Saudi citizens has been pivotal. Participation rates in physical activities have increased, with 50 percent of the population now exercising regularly, up from 13 percent in 2015.
This shift has been supported by initiatives like the “Sports for All Federation,” which engaged over 295,000 participants in community programs in 2023 alone.
Female participation has also increased by 400 percent since 2015, and women now make up 45 percent of community sports club members. A total of 97 female coaches were registered in 2023, reflecting a 61 percent year-on-year increase.
Saudi Arabia’s investment in esports and digital gaming is another growth frontier. The country has earmarked $38 billion for the sector, with the goal of contributing $13.3 billion to the national GDP by 2030.
Hosting major events like the Esports World Cup has cemented the Kingdom’s status as a leader in the industry.
“As we approach 2025, the focus will remain on continuing efforts to achieve more accomplishments,” the CEO said.