Jurg Kronenberg from Bain & Co. has noted Saudi Arabia's innovative measures are reshaping the sector, driven by Crown Prince Mohammed bin Salman's vision to make the Kingdom a global sports hub.

The Kingdom has already successfully staged a series of major sports events like boxing, ATP tennis, and Formula 1 since 2021. These events, along with the anticipated World Cup, are expected to boost the nation's economy, akin to how the 2022 Qatar World Cup propelled a 4 percent GDP increase.

Kronenberg suggests that the Saudi sports sector will make up over 1 percent of the national GDP by 2030, expanding 5-7 times by the end of the decade, fueled by investments and untapped market potential.

Saudi Arabia’s Public Investment Fund (PIF) is a key player in this push, aiming to position the Kingdom as a sports and entertainment leader. The PIF has established SRJ Sports Investments Co. to promote growth through acquiring intellectual property and organizing global events, in line with Vision 2030.

Football has seen noteworthy PIF investments, including shares in top clubs like Al Ahli, Al Hilal, Al Ittihad, and Al Nassr, which now features stars like Cristiano Ronaldo. The Saudi Pro League’s popularity has surged, with a notable attendance increase and potential to become a leading global competition.

Beyond football, Saudi's support extends to golf, with the PIF-funded LIV Golf tour and landmark women's golf events. MMA has also gained traction with PIF-backed Professional Fighters League securing a prominent deal with ESPN.

Kronenberg emphasized the broad impact of sports investments, from economic benefits such as market growth and jobs to social improvements like health and inclusivity. Moreover, Saudi Arabia's youthful population presents unique opportunities to cater to their sports-related needs.

Sports Minister Prince Abdulaziz bin Turki Al-Faisal has underscored the nation's commitment to sports development with substantial investments since 2021, as part of Vision 2030. These efforts are putting Saudi Arabia on the sports global stage and setting the foundation for economic gains experienced by other nations.

The challenge for Saudi Arabia is not just in generating economic returns, but also in sustainably commercializing these investments, and enhancing the competitiveness of Saudi athletes and teams internationally.

Saudi Arabia has launched a national sports strategy, new investment initiatives, and professionalization of clubs, aiming to overcome obstacles such as the high turnover rate of foreign coaches.

Eddie Howe, Newcastle United’s manager, has praised the country's robust sports infrastructure. Overall, Saudi Arabia's sports sector is thriving, led by high-profile signings and large-scale event hosting, preparing the Kingdom to be a formidable player on the global sports stage.