{"id":52546,"date":"2025-02-09T07:02:00","date_gmt":"2025-02-09T07:02:00","guid":{"rendered":"https:\/\/gulftimes.ae\/pakistan-aims-for-stronger-trade-ties-with-saudi-arabia-says-commerce-minister\/"},"modified":"2025-02-09T07:02:00","modified_gmt":"2025-02-09T07:02:00","slug":"pakistan-aims-for-stronger-trade-ties-with-saudi-arabia-says-commerce-minister","status":"publish","type":"post","link":"https:\/\/gulftimes.ae\/?p=52546","title":{"rendered":"Pakistan aims for stronger trade ties with Saudi Arabia, says commerce minister\u00a0"},"content":{"rendered":"
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\n\tRIYADH: From Formula One to boxing, golf to the FIFA World Cup, Saudi Arabia is rapidly establishing itself as a global sports hub.<\/p>\n
\n\tBut beyond hosting world-class events, the Kingdom\u2019s push is a key pillar of Vision 2030, its economic diversification strategy.<\/p>\n
\n\tSaudi Arabia has secured hosting rights for major sporting events \u2014 including motorsports, tennis, and golf\u2019s LIV Tour \u2014 aiming to boost tourism, create business opportunities, and generate revenue from ticket sales, sponsorships, and broadcasting rights.<\/p>\n
\n\tPeter Daire, senior executive advisor of sports at PwC Middle East, highlighted the Kingdom\u2019s long-term vision for sports as a major economic driver.<\/p>\n \n\t
\n\t\tPeter Daire, senior executive advisor of sports at PwC Middle East. Supplied<\/figcaption>
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\n\t\u201cAccording to our Global Sports Survey 2023, the Middle East sports sector, including Saudi Arabia, is expected to generate substantial economic value, with Saudi\u2019s sports economy predicted to contribute up to $5.9 billion by 2030,\u201d he said.<\/p>\n
\n\t\u201cThis growth is driven by ongoing infrastructure projects and the expansion of world-class facilities across the Kingdom. Additionally, events like Formula E, the Saudi International Golf Tournament, Esports investments, and high-profile football matches in the Saudi Pro League have been a leading factor in attracting global attention and investment, further boosting the tourism and hospitality sectors,\u201d Daire added.<\/p>\n
\n\tJurg Kronenberg, management consultant at Bain & Co., noted that Saudi Arabia aims to generate 1.5 percent of its non-oil gross domestic product from sports by 2030, creating over 140,000 jobs.<\/p>\n
\n\t\u201cAchieving this growth will require both infrastructure investments \u2014 such as World Cup stadiums, mass sports facilities \u2014 as well as sector activation, through privatization and professionalization of sports, new leagues and competitions, creation of local IP,\u201d he said.<\/p>\n \n\t \n\t\tJurg Kronenberg, management consultant at Bain & Co. Supplied<\/figcaption>
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\n\t\u201cSports has a unique potential to be the catalyst of societal and economic change in KSA and to support the development of a vibrant economy,\u201d Kronenberg added.<\/p>\n
\n\tDaire emphasized that the government has prioritized the private sector\u2019s involvement to foster a vibrant ecosystem for sports business.<\/p>\n
\n\t\u201cPartnerships with European football clubs and players have helped position Saudi Arabia as a central player in the international sports landscape.<\/p>\n
\n\t\u201cIn addition to this, developing local talent within the Kingdom, and ensuring a long-term legacy of Saudi sport business expertise is of key importance for the sector,\u201d Daire said.<\/p>\n
\n\tHe noted that integrating cutting-edge technologies \u2014 such as AI, data analytics, and digital media \u2014 into sports management and fan engagement is driving growth across multiple industries.<\/p>\n
\n\tMega infrastructure and investments<\/strong><\/p>\n
\n\tKronenberg pointed out that Saudi Arabia\u2019s sports strategy includes landmark projects like the 11 state-of-the-art stadiums planned for FIFA World Cup 2034 and Riyadh\u2019s 135-km Sports Boulevard.<\/p>\n
\n\tBeyond high-profile venues, large-scale infrastructure projects are being developed to encourage mass sports participation, alongside financial incentives to professionalize clubs.<\/p>\n
\n\t\u201cIn football, a bold privatization initiative is underway, transitioning historically state-owned clubs to private ownership,\u201d Kronenberg said.<\/p>\n
\n\t\u201cBeyond football, Saudi Arabia is cultivating a diversified sports ecosystem, investing into the professionalization of several existing sports and supporting emerging disciplines,\u201d he added.<\/p>\n
\n\tKronenberg said this approach is accelerating economic diversification by creating new revenue streams, investment opportunities, and valuable intellectual property.<\/p>\n
\n\tFederico Pienovi, chief business officer and CEO for APAC and MENA at Globant, highlighted Saudi Arabia\u2019s strategic investment of over $2 billion into sports infrastructure, events, and global partnerships.<\/p>\n \n\t \n\t\tFederico Pienovi, chief business officer and CEO for APAC and MENA at Globant. Supplied<\/figcaption>
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\n\t\u201cWith major events like the Asian Games and FIFA World Cup 2034 on the horizon, the Saudi government is shaping a multi-billion-dollar sports ecosystem primed for growth,\u201d Pienovi said.<\/p>\n
\n\tHe explained that Saudi Arabia\u2019s giga-projects, including Qiddiya Entertainment City, are fertile ground to combine advanced tech with the passion for sports, making the Kingdom a world-class destination.<\/p>\n
\n\tShahid Khan, partner and global head of media, entertainment, sports, and culture at Arthur D. Little, emphasized that signing global stars like Cristiano Ronaldo and Karim Benzema has boosted the Saudi Pro League\u2019s international profile, attracting sponsors and increasing viewership.<\/p>\n
\n\t\u201cDeveloping league infrastructure and operations supports the league\u2019s competitive edge and market value. These investments increase tourism, promote national pride, and inspire local talent to pursue professional football careers,\u201d he said.<\/p>\n \n\t \n\t\tShahid Khan, partner and global head of media, entertainment, sports, and culture at Arthur D. Little. Supplied<\/figcaption>
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\n\tKhan added that these efforts integrate Saudi Arabia more deeply into the global football ecosystem, generating revenue from broadcasting and sponsorships.<\/p>\n
\n\tIvan Shapochkin, a principal at Oliver Wyman\u2019s Dubai office, pointed out that with the global sports industry expected to near $1 trillion by 2030, Saudi Arabia is aligning its sports vision with future-ready strategies.<\/p>\n
\n\t\u201cBy quadrupling its sports economy by 2030, with private sector contributions driving at least 25 percent, Saudi Arabia is reaping direct revenues from ticket sales, media rights, sponsorships, and merchandising.<\/p>\n \n\t \n\t\tIvan Shapochkin, a principal at Oliver Wyman\u2019s Dubai office. Supplied<\/figcaption>
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\n\t\u201cBeyond this, sports are invigorating tourism, hospitality, and transport sectors, creating ripple effects across the broader economy,\u201d Shapochkin said.<\/p>\n
\n\tGiven the nascency of the sports ecosystem in Saudi Arabia, the sector provides a particular opportunity for entrepreneurs and investors to help shape the industry and leapfrog others, according to Bain & Co.\u2019s Kronenberg.<\/p>\n
\n\t\u201cThis might include use cases like new ownership models and fan engagement through tokenization, unique voting rights, or new channels and technologies to stream matches,\u201d he said.<\/p>\n
\n\tKronenberg said the Kingdom could be the test ground for a whole set of new technologies with a young and tech-savvy population, as well as an ecosystem that encourages a \u201cclean slate\u201d approach to technology deployment.<\/p>\n
\n\tPwC\u2019s Daire emphasized that Saudi Arabia is embracing digital transformation in sports, incorporating AI, virtual reality, and blockchain to enhance athlete performance and fan experience.<\/p>\n
\n\t\u201cAccording to our latest esports report \u2018Centre of the Game,\u2019 technology is enabling smarter sports management, real-time data analysis for performance improvement, and immersive fan experiences, from virtual stadium tours to personalized content,\u201d he said.<\/p>\n
\n\t\u201cThis transformation is not only improving operational efficiencies within the sports sector but also generating new revenue streams, such as data-driven sponsorships, and virtual fan engagement platforms,\u201d Daire added.<\/p>\n
\n\tSports-tech on the Rise<\/strong><\/p>\n
\n\tShapochkin of Oliver Wyman pointed out that globally, one in three sports fans now consume games on digital platforms, signaling a shift toward personalized, tech-driven engagement.<\/p>\n
\n\t\u201cThe sports-tech market is expected to surpass $40 billion by 2027, driven by innovations like AR\/VR (Augmented Reality\/Virtual Reality), performance tracking, eSports, and AI-powered analytics.<\/p>\n
\n\t\u201cSaudi Arabia, with its youthful, tech-savvy population and strategic investments through entities like SAVVY Gaming Group and PIF (Public Investment Fund), is at the forefront of this shift,\u201d he said.<\/p>\n
\n\tShapochkin also noted that eSports alone is projected to contribute over $13 billion to the Saudi economy by 2030.<\/p>\n
\n\tAs Saudi Arabia continues hosting major events like the 2029 Asian Winter Games and FIFA World Cup 2034, the adoption of smart venues, Internet of Things applications, and advanced crowd management systems is expected to accelerate.<\/p>\n
\n\tWith sports and technology merging, Saudi Arabia is not just redefining its role in the global sports industry \u2014 it is shaping the future of sports business.<\/p>\n<\/p><\/div>\n
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