Crown Prince Mohammed bin Salman is once again under scrutiny for his substantial investments in foreign sports talent, with recent figures revealing a $431 million expenditure to bring 128 players to Saudi Arabia’s Pro League during the summer 2024 transfer window. This spending spree places the Saudi league second globally in net expenditure on player transfers, following only the English Premier League. While Saudi Arabia’s oil wealth fuels these high-profile acquisitions, critics argue that such funds could be better spent addressing Saudi Arabia’s growing poverty and unemployment.
The Cost of Sportswashing
Many view the Crown Prince’s focus on sports as an attempt at “sportswashing,” where investments in sports aim to improve his global image while shifting attention away from domestic issues. Mohammed bin Salman has leveraged the Saudi Public Investment Fund (PIF) to secure high-profile sports sponsorships and events. These include a three-season, 66 million euro sponsorship with La Liga, an 8 million euro deal with the Egyptian and African football federations, and a 25 million-pound sponsorship for Newcastle United, also owned by the PIF. Additionally, Riyadh Air, another PIF-controlled entity, recently paid 300 million euros to rename Atletico Madrid’s stadium to “Riyadh Air Metropolitano.”
Critics argue that these expenditures serve to boost Saudi Arabia’s image abroad rather than addressing issues that directly affect citizens. Reports indicate that the Crown Prince’s reputation-laundering tactics have cost Saudi Arabia approximately $1 billion in budget losses, with $875.4 million in losses last summer alone due to expensive foreign player contracts. Analysts worry that while the Crown Prince spends heavily on sports, Saudi citizens are grappling with rising costs, higher taxes, and limited access to essential services.
Economic Hardship for Saudi Citizens
Despite Saudi Arabia’s substantial oil wealth, many Saudis continue to face poverty and economic instability. According to a recent ESCWA report, nearly 14% of Saudis live in poverty, making Saudi Arabia one of the poorest among the Gulf Cooperation Council (GCC) countries. Unofficial estimates suggest the poverty rate could be as high as 25%, a reflection of rising unemployment, inflation, and increased living costs. Over the past decade, many Saudi citizens, particularly women, have turned to informal work such as selling produce in markets or working in cafés—roles that were previously rare in the kingdom.
Critics highlight the disconnect between Mohammed bin Salman’s spending priorities and the day-to-day challenges facing ordinary Saudis. With resources being funneled into sports and entertainment, infrastructure, healthcare, and education often receive less attention, despite widespread need for investment in these areas. Observers argue that while sports investments may attract global attention, they offer little tangible benefit to the citizens struggling to make ends meet.
Calls for Accountability
The Crown Prince’s role as head of the Public Investment Fund allows him significant freedom over the allocation of public resources. Yet, questions have been raised about the lack of oversight or accountability for these decisions. Experts argue that unchecked spending on high-cost ventures without a clear long-term plan does little to address Saudi Arabia’s economic issues and instead strains the national budget. While some question the transparency of official poverty and unemployment statistics, the rising cost of living, inflation, and limited job opportunities are visible signs of a struggling economy that requires a shift in priorities.
