Saudi Arabia’s successful bid to host the FIFA World Cup in 2034 marks a significant milestone in the Kingdom’s broader Vision 2030 strategy. Over the past few years, Saudi Arabia has rapidly established itself as one of the world’s premier venues for major sporting events, using sport as a key pillar of economic diversification and social reform. The World Cup is set to be the largest and most symbolic event in this transformation, offering the Kingdom a platform to showcase its cultural depth, administrative capabilities, attractive tax regime, and growing foreign direct investment (FDI) opportunities.

Yet, as the excitement builds, it is crucial to examine the costs and benefits associated with hosting such a massive global event. Early analyses suggest that while the upfront costs will be significant, the potential economic and social benefits could outweigh the investment if managed strategically.

Drawing lessons from Qatar’s 2022 World Cup, Saudi Arabia can anticipate both immediate and long-term economic impacts. Qatar reportedly spent between $200 and $300 billion on infrastructure projects over a decade, while the short-term benefits-primarily visitor spending and broadcasting rights-contributed approximately 1% of its GDP. In pure tourism revenue, Qatar gained between $2.3 billion and $4.1 billion, representing 0.7% to 1.0% of GDP in 2022 alone.

Saudi Arabia, with its larger economy and broader Vision 2030 initiatives already underway, could expect even higher absolute figures. The indirect benefits-such as increased foreign direct investment, higher tourism inflows, and stronger non-oil sector growth-could have a much more profound effect. Qatar’s experience demonstrates that targeted infrastructure investments, beyond the immediate needs of the World Cup, can boost non-hydrocarbon income by as much as 40% over a decade. Saudi Arabia, with its ambitious reform programs, may see even greater multipliers.

Moreover, hosting the tournament will solidify the Kingdom’s growing global influence, demonstrating its........

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