200billion.That’sthekindofmoneyQatarisestimatedtohavespentintherun−uptotheWorldCup.Theybuiltmassiveexpressways,subseatunnels,state−of−the−arthospitals,swankyhotels,andupgradedtheirairports.Thewholeshebang!Forcontext,Russiaspentjust16 billion in 2018. Brazil — about 20billionin2014.AndSouthAfricasunk7 billion in 2010 to get everything in order (View Highlight)
For instance, TV broadcasting rights were estimated at 2.64billion.Butthatmoneydidn’tgotoQatar.ItwenttoFIFA.Okay,whataboutticketsales?Well,that’srunbyacompanythat’s1001.7 billion. FIFA bears this cost but Qatar gets this money. However, the country has to set aside ~$450 million just for prizes. So this isn’t a money spinner either. (View Highlight)
Well, there’s a larger goal in mind here — Qatar’s grand national vision for 2030 . During the 2008 financial crisis, Qatar woke up to the harsh realities of running an economy built on oil money. Some day they’re going to run out of reserves. Or perhaps countries will transition to cleaner fuels. So they needed to make the country more attractive. Take a leaf out of Saudi Arabia or UAE’s playbook and become a global destination. Spend big money on infrastructure and build out a future that’s more appealing to international visitors and businesses. (View Highlight)
Well, we said ‘bid’. So here’s a little secret . A few economists looked at the numbers and found that if a country simply placed a bid for a tournament, it helped them nonetheless. They didn’t have to even win it. They didn’t have to lobby hard for it. The bid alone would get companies thinking, “Hey, this country is pretty serious about hosting a global tournament. Maybe this is going to become a global destination. Maybe we could set up shop here too.” (View Highlight)
