Qatar being rich out of its oil wealth was in need of recognition and fame. Hosting the world cup Qatar achieved it. Qatar have spend big on hosting the 2022 world cup and the same have caused big flow of economy into the country. I'm not sure how far the same works as the world cup have got completed.
Topic: Effect of the FIFA world cup on Qatar's economy - page 3. (Read 606 times)
Qatar being rich out of its oil wealth was in need of recognition and fame. Hosting the world cup Qatar achieved it. Qatar have spend big on hosting the 2022 world cup and the same have caused big flow of economy into the country. I'm not sure how far the same works as the world cup have got completed.
Qatar hosting the world cup wasn't all about the money all along. Qatar is an abundantly rich nation, even though it may appear to be a financial loss when you ratio the amount spent to the profit gained but it's not. They've only just invest and the yield of their investment will be massive in few years to come.
They've done a great job in bringing exposure from all over the world to their country and the ripple effect of that exposure will bring more people to their country from tourists to investors to all kinds of taxable products and services that are currently not in operation. And as such, they will eventually make profits in the long run.
Qatar being rich out of its oil wealth was in need of recognition and fame. Hosting the world cup Qatar achieved it. Qatar have spend big on hosting the 2022 world cup and the same have caused big flow of economy into the country. I'm not sure how far the same works as the world cup have got completed. They've done a great job in bringing exposure from all over the world to their country and the ripple effect of that exposure will bring more people to their country from tourists to investors to all kinds of taxable products and services that are currently not in operation. And as such, they will eventually make profits in the long run.
Qatar hosting the world cup wasn't all about the money all along. Qatar is an abundantly rich nation, even though it may appear to be a financial loss when you ratio the amount spent to the profit gained but it's not. They've only just invest and the yield of their investment will be massive in few years to come.
They've done a great job in bringing exposure from all over the world to their country and the ripple effect of that exposure will bring more people to their country from tourists to investors to all kinds of taxable products and services that are currently not in operation. And as such, they will eventually make profits in the long run.
They've done a great job in bringing exposure from all over the world to their country and the ripple effect of that exposure will bring more people to their country from tourists to investors to all kinds of taxable products and services that are currently not in operation. And as such, they will eventually make profits in the long run.
We have to separate facts and reality from propaganda. The projections made regards Qatar growment on the upcoming years are theories. What I keep in mind is that every nations which host World Cup event use the same arguments to justify the astonishing and massive investments for the event, while basic areas of the country are precarious. I really don't buy the idea a World Cup benefits the host country on long term, and actually, FIFA doesn't give any importance to it. Their only concern is to profit more than on the last edition, what they achieved nicely in Qatar with a profit of 7,5$ billion dollars, superior to the russian edition in 2018, while the host country (or its citizens, to be more accurate) remains beyond with loans and debt to be paid.
For Qatar I think the only positive effect was to increase its awareness in the world. Many people didn't know about the existence of this country and now they know.
For Qatar I think the only positive effect was to increase its awareness in the world. Many people didn't know about the existence of this country and now they know.
I think that they knew that they would not be able to recoup the money spent on infrastructure investments immediately during the tournament. Do you think otherwise? Infrastructure investments contribute to a country's economic and social development and do not provide immediate returns. These types of investments are long-term investments. I think they knew that... Also, Qatar gained great prestige by organizing this tournament. They gained an invaluable prestige by hosting the World Cup, a tournament that had almost never been played outside of Europe and America, in one of the world's toughest regions. It will be remembered for years to come. The cost of hosting the biggest organization of the world's most watched sport is immeasurable...
Most countries that host these events know they are doing it for a huge loss. The country doesn’t really depend on any revenue generated from this. It’s already fairly well off.
This was pretty much discussed a month ago. And most people were surprised by it. However that is just the way these events are done. They are done at a loss.
This was pretty much discussed a month ago. And most people were surprised by it. However that is just the way these events are done. They are done at a loss.
Qatar is a rich country, I doubt they are waiting on any ROI from the world cup to finance their economy or boost infrastructure, neither were they hoping to win the cup because they as a country are already very aware of the capacity of their players and the position they hold by world ranking.
They wanted to host the world cup to showcase Qatar to the world differently from the media, and I believe that is their greatest achievement. Not everything is all about money.
Most countries that host these events know they are doing it for a huge loss. The country doesn’t really depend on any revenue generated from this. It’s already fairly well off.
If that's the case, why would a country bribe its way into FIFA to host the World Cup? While they would apparently lose after hosting the World Cup, so what would motivate them to do that? Is it for popularity or what? Cos I don't understandI find that hard to believe because the majority of the world cup hosts that I am familiar with, South Africa, Brazil, and Russia recovered their costs and even made money after hosting the event well.
Qatar didn't do any of this for infrastructure or better life or anything else like that, they did it to look cute to west and nothing more. You have to understand, when there is so much purchasing power, there is a political power as well. Europe and Canada and USA are nations that spend a lot of money, or at least have a lot of money and they had it for a long time, considering how far they go, we are talking about at least a thousand years.
So, when we are talking about "the west" you are either supporting it or against it, Russia for example is in a war with it, and nations such as Saudi Arabia or Qatar want to look cute to west so they would not be attacked like they did to Iraq or Afghanistan.
So, when we are talking about "the west" you are either supporting it or against it, Russia for example is in a war with it, and nations such as Saudi Arabia or Qatar want to look cute to west so they would not be attacked like they did to Iraq or Afghanistan.
It doesn't make sense to me that they should block entry to non-matchgoers. Don't they have enough hotels and apartments to go around for them, after the matchgoers are considered?
I don't think they have enough hotels and apartment to contain everybody coming into the country during the world cup. Many guest stayed in Dubai, Kuwait and I think Saudi Arabia too. Some even stayed on big cruisers because the accommodation capacity was not enough to contain everybody. Then there is the fact that FIFA has booked hotels for players, guest and officials.
Qatar spent over $200 billion preparing to host the FIFA 2022 world cup. They spent that money on constructing roads, airports, public spaces, stadiums, gas stations, and more. They constructed seven new stadiums and renovated one to make it eight stadiums for the world cup. The cost of building these stadiums has been estimated to be $6.5 billion. They spent $36 billion to construct the Doha metro, and for the Pearl accommodation complex, they spent $15 billion.
So if Jakarta which is ranked at the top in traffic congestion, has about 33 million poeple in the metro area decided to host some Olympics or World tournament and build another metro line at the same time, it will count as a thing they did just for FIFA, right?
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$6.5 billion to $10 billion: The range of estimates on how much Qatar spent to build seven soccer stadiums for this year’s World Cup.
That's how much they've spent for the stadium, the rest is on infrastructure that most likely would have been built even if there would have been no world cup hosted ever. They've just taken the whole amount spent on infrastructure in the last 10 years and declared this was for the world cup, completely ignoring that other countries that have nearly the same characteristics, like Singapore, are also spending insane amounts on those, Singapore spends 30 billion a year in infrastructure and has just issued another round of 90 billion for the exact same thing that is booed in Qatar, subway, rail, and many others.
For real now, they've included in these 200 billion even the sum spent on a new hospital!!!!
Aside from the fact that Qatar spent an absurd $229 billion in preparation for the world cup, none of these is a big surprise. For a host country, a world cup is not solely about making money and profit but about pride, honor, and publicity, and Qatar has achieved that, especially publicity because they just hosted what is arguably the best world cup ever.
Yes, it is true. They didn't do it for the money because the money is actually insignificant. I want to believe that their principal aim of hosting the world cup was establishing themselves as a popular tourist attraction and, in a sense, purchasing people's adoration rather than being financially successful. They did everything they could to alter how others see them. 
I have watched some World Cup activities and the fact is that our country (we live near Qatar) has spent billions of dollars to introduce the Emirates to the world, however, Qatar has done so quickly by hosting the World Cup.
As for the losses, I do not think that they will constitute a problem. Qatar leads the world in liquefied gas, and it will witness global demand, especially in the next year, and therefore Qatar will compensate for all the losses.
On the one hand, the infrastructure has developed rapidly in recent years, some stadiums will be dismantled and presented as gifts to some countries, airports and hotels have been developed and thus will accommodate any number of tourists.
As for the losses, I do not think that they will constitute a problem. Qatar leads the world in liquefied gas, and it will witness global demand, especially in the next year, and therefore Qatar will compensate for all the losses.
On the one hand, the infrastructure has developed rapidly in recent years, some stadiums will be dismantled and presented as gifts to some countries, airports and hotels have been developed and thus will accommodate any number of tourists.
Qatar spent around $290 billion to host the 2022 World Cup. If they are ready to spent that much, then obviously they are not looking at the ROI. Qatar is not a major tourist destination, and in the future also the situation is going to remain the same. Even some of the infrastructural facilities that they have constructed will sit idle in the future. We need to remember that Qatar is a small country with just around 313,000 citizens (and an additional 3 million expat workers). Unless the population goes up by 10x in the near future, most of this $290 billion will go to waste.
Similarly to you, I think they have spent an enormous amount of money and cannot get a return of their initial capital, let alone make a profit off of it. Obviously, their goal is not profit they want the world to know about them, about their culture, country, and people, I think that is what they are aiming for. A small country with and small population, but they are known as one of the wealthiest players in the world, so it is not surprising that they do not need the money.
The organization of the largest football event on the planet should not be viewed as a business festival, but unfortunately, it is gradually becoming apparent when all countries want to host it for that reason.
AFAIK, Qatar wanted to host this world cup mainly to bring a Pride for their nation among other middle east countries because they were suppressed by other governments in many ways so they throw any amount of cash to this Fifa tournament.
And surely this will be a good long term investment for tourism in their country. I read an article about the planning of their statium was designed in a way to reuse some of the parts for other purposes because they designed with detachable infrastructure so it won't be same like what happened to Brazil stadium.
And surely this will be a good long term investment for tourism in their country. I read an article about the planning of their statium was designed in a way to reuse some of the parts for other purposes because they designed with detachable infrastructure so it won't be same like what happened to Brazil stadium.
Looking at their tourist Visa requirements, it's likely that they can achieve or surpass that goal. Citizens from over 90 countries can visit Qatar and stay there for 30 to 90 days visa-free.
It doesn't make sense to me that they should block entry to non-matchgoers. Don't they have enough hotels and apartments to go around for them, after the matchgoers are considered?
Qatar will not care about spending or positive impact after the world cup. Because they are already the richest country and with the amount of income from the results of the world cup which may not be enough to cover. In my opinion, Qatar from the start just wanted to entertain and show the world that Qatar is capable of providing super luxurious, friendly and memorable services for visitors.
After the world cup was over and the visitors returned to their homes, many places were now abandoned. Among them, lodging and tourist attractions are now seen to be left alone. Behind the splendor of the world cup in Qatar, we will see cities that were originally bustling with people from all over the world become deserted. But once again Qatar already has sufficient financial resources.
After the world cup was over and the visitors returned to their homes, many places were now abandoned. Among them, lodging and tourist attractions are now seen to be left alone. Behind the splendor of the world cup in Qatar, we will see cities that were originally bustling with people from all over the world become deserted. But once again Qatar already has sufficient financial resources.
Qatar spent over $200 billion preparing to host the FIFA 2022 world cup. They spent that money on constructing roads, airports, public spaces, stadiums, gas stations, and more. They constructed seven new stadiums and renovated one to make it eight stadiums for the world cup. The cost of building these stadiums has been estimated to be $6.5 billion. They spent $36 billion to construct the Doha metro, and for the Pearl accommodation complex, they spent $15 billion.
While FIFA takes home most of the profit generated from TV rights, ticket sales, and sponsorship deals, it is estimated that FIFA will make $17 billion from the tournament.
There will most likely be an oversupply of some of the infrastructure, especially in real estate. It won't be the first time though. The Maracanã stadium in Brazil was abandoned after the 2014 world cup.
1.5 million people were in Qatar for the tournament but as stated earlier, 100% of the ticket sales go straight to FIFA’s coffer. About $4.6 billion was made from broadcasting and marketing rights and all of that goes to FIFA. During the tournament, FIFA covers most of the cost of running the world Cup but they pay about $1.7 billion to Qatar, the prize for teams that participated in the tournament is included in this money which is $440 million.
Since there were 1.5 million visitors in the Gulf country for the tournament, there will be a positive cash flow in tourism sales for hotels and restaurants and an increase in the sales of souvenirs and other consumption in general. The increase in investment and consumption should increase the taxes in the Qatar state budget but with the enormous tax breaks agreed with FIFA and its sponsors Qatar will not make much from that either. The exact loss on tax revenue is impossible to ascertain.
From November 1 till the end of the world cup, people without a match ticket were not allowed into Qatar, which means non-world cup tourists did not contribute to the GDP of Qatar through consumption. Other decisions were made that did not contribute to the cash flow. For example, from November 10th to December 23 the bus and metro access was free of charge for people with a Hayya card. This is a fan ID that allows ticket holders entry into Qatar and the stadiums.
Putting these into perspective, we can say that the FIFA 2022 world cup is not profitable to Qatar. In the short term, where most of the cash flow goes to FIFA, it does not make financial sense for Qatar to host the world cup.
While FIFA takes home most of the profit generated from TV rights, ticket sales, and sponsorship deals, it is estimated that FIFA will make $17 billion from the tournament.
There will most likely be an oversupply of some of the infrastructure, especially in real estate. It won't be the first time though. The Maracanã stadium in Brazil was abandoned after the 2014 world cup.
1.5 million people were in Qatar for the tournament but as stated earlier, 100% of the ticket sales go straight to FIFA’s coffer. About $4.6 billion was made from broadcasting and marketing rights and all of that goes to FIFA. During the tournament, FIFA covers most of the cost of running the world Cup but they pay about $1.7 billion to Qatar, the prize for teams that participated in the tournament is included in this money which is $440 million.
Since there were 1.5 million visitors in the Gulf country for the tournament, there will be a positive cash flow in tourism sales for hotels and restaurants and an increase in the sales of souvenirs and other consumption in general. The increase in investment and consumption should increase the taxes in the Qatar state budget but with the enormous tax breaks agreed with FIFA and its sponsors Qatar will not make much from that either. The exact loss on tax revenue is impossible to ascertain.
From November 1 till the end of the world cup, people without a match ticket were not allowed into Qatar, which means non-world cup tourists did not contribute to the GDP of Qatar through consumption. Other decisions were made that did not contribute to the cash flow. For example, from November 10th to December 23 the bus and metro access was free of charge for people with a Hayya card. This is a fan ID that allows ticket holders entry into Qatar and the stadiums.
Putting these into perspective, we can say that the FIFA 2022 world cup is not profitable to Qatar. In the short term, where most of the cash flow goes to FIFA, it does not make financial sense for Qatar to host the world cup.
For some nations they have more money than sense and this was never meant to be an economic boost for Qatar. It was simply intended to showcase their country to the world, which they did but it seems to have backfired in many ways because it showed how intolerant they are as a country and probably put any decent people off from visiting in future. However they have so much oil money it was simply a drop in the bucket, these huge stadiums will now no doubt go to waste or at least be heavily under utilized in future. Instead of putting this huge sum of money into something more productive like a sovereign wealth fund, they decided to fritter it away on a trophy project instead.
So they have not made any profits from this event? I thought they might have made the profit right from the visits of fan clubs, food sales, alcohol, travel/commute and much more. Millions of people were there right? Isn't the event long enough to generate a good amount of money for money For Qatar? Wow, I am surprised with the projections of Qatar and their expenditure. Nonetheless they will recover quickly if they have not. Maybe they just enjoyed hosting the world's most loved event and wanted to entertain themselves? Considering the country's wealth it might have been a side hustle for them.
Qatar's profit from FIFA world cup was never monetary although they still made good amount of profit from it. The main goal was to introduce their country to the world and both attract more tourists and more immigrants. It is interesting to know that nearly 90% of the small population of Qatar is not Qataris! They are foreigners who go there to work and some to live. For example out of the total 3 million people in Qatar, about a million are from India and Bangladesh (that's 1/3 of the population).
After the World Cup and how they introduced their country to more people, they hope to increase it further and diversify their population.
After the World Cup and how they introduced their country to more people, they hope to increase it further and diversify their population.
Most countries that host these events know they are doing it for a huge loss. The country doesn’t really depend on any revenue generated from this. It’s already fairly well off.
This was pretty much discussed a month ago. And most people were surprised by it. However that is just the way these events are done. They are done at a loss.
This was pretty much discussed a month ago. And most people were surprised by it. However that is just the way these events are done. They are done at a loss.
The amount Qatar spent is what's a shocker. Prior to the 2022 world cup no country has ever spent up to $20m to host the world cup. I've seen different report the highest I've seen in any of them is $19 billion by Brazil in 2014. So going all the way to over $200 billion is questionable even for Qatar.
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