Saudi Arabia has unveiled a significant sports privatization initiative. The initiative aims to attract massive investments in various sports, with a specific focus on football. Under this project, major sports clubs may undergo privatization before the end of the year, according to Arabian Business.
As part of the scheme, the Saudi Pro League football organization has set ambitious goals. The Kingdom aspires to generate revenues of SR 8B ($2.1B) by 2030. The goal is to position its domestic league among the top 10 leagues globally.
Prince Mohammed bin Salman bin Abdulaziz Al Saud, the Crown Prince and Prime Minister, announced the launch of this investment and privatization project. The project aligns with the objectives of Saudi sports outlined in Vision 2030.
The initiative aims to enhance the sports sector’s efficiency by encouraging private sector involvement and contribution to its growth.
The project consists of two main components:
• The first component focuses on allowing corporations and public sector organizations to invest in sports clubs. The investment amounts will be based on the value of each club.
• The second component involves the privatization of sports clubs, which is expected to begin in the last quarter of 2023.
The project aims to create investment opportunities, enhance professionalism in sports clubs, and improve competitiveness and infrastructure.
The goal is to provide top-notch services to sports fans, enrich their experience, and promote community involvement.
Growing Participation in Sports
The privatization and ownership transfer of clubs aims to accelerate progress in various sports. This includes fostering participation, advanced facilities, competition, and the development of future champions. The project comes at a time when sports in Saudi Arabia are experiencing significant growth. There is an increasing number of Saudis of all ages engaging in sports for active and healthy lifestyles.
Participation in sports has increased from 13% in 2015 to close to 50% in 2022. Additionally, the number of sports federations has risen from 32 to over 95, highlighting the investment potential in the sports sector. With over 80% of the population involved in playing, attending, or following football, the project places a major focus on the country’s national sport. Football is witnessing unprecedented growth and has become a key priority for development and investment.
The Saudi Pro League will receive support to elevate its status among the top ten leagues worldwide. The project targets an annual increase in commercial revenues from SR 450M to over SR 1.8B, and a significant rise in the market value of the Roshn Saudi League from SR 3B to over SR 8B by 2030.
Saudi football has achieved significant milestones, including participation in the FIFA World Cup 2022, Al Hilal’s presence in the FIFA Club World Cup and AFC Champions League finals, and the launch of a new women’s Premier League.
