The Saudi government has announced plans to privatize several football clubs, with Al Okhdood, Al Orouba, and Al Kholoud among the first in line. This move is part of the country’s efforts to transform its sports sector and boost commercial revenue for the Pro League. With the Public Investment Fund already holding stakes in prominent clubs like Al Hilal, Al Nassr, Al Ahli, and Al Ittihad, the league has attracted global superstars such as Cristiano Ronaldo, Karim Benzema, and Neymar.
The impact of Saudi investment was evident in last year’s summer transfer window, with Saudi clubs spending a staggering $957 million, second only to the English Premier League. This has elevated the profile of the Pro League, but it has also led to an imbalanced competitive landscape, as highlighted by Al Hilal’s record-breaking streak of 34 consecutive wins. The selected clubs for privatization, including Al Zulfi, Al Nahda, and Al Ansar, were chosen based on their operational and financial health, as well as their infrastructure and administrative capabilities.
The Ministry stated that the initial privatizations have spurred significant commercial revenue growth for the Pro League, and they have now set an ambitious target of reaching 1.8 billion Saudi riyals ($480 million) in annual revenue. This initiative is a strategic move by Saudi Arabia to diversify its economy and enhance its global image by investing heavily in sports. The kingdom is already a prominent host of F1 races and world heavyweight boxing fights and is the sole bidder for the 2034 FIFA World Cup. With Saudi money reshaping the football transfer market, the country is making a bold statement in the world of sports.
