Prime Highlights:

• Saudi Arabia has spent more than $6 billion on motorsports since 2021 to fuel non-oil economic growth and tourism.
• The Formula 1 Jeddah Grand Prix is a major contributor, with another new circuit on the horizon for Qiddiya by 2027–2029.

Key Facts:

• The non-oil sector now accounts for 52% of the Saudi Arabian economy, 20 points higher since the start of Vision 2030.
• The Jeddah F1 track attracts six-figure tourist numbers annually, with flights and accommodations booked out.
• Internationally, F1 has over 826 million supporters and 1.6 billion spectators in 2024, making it an economic giant.

Key Background

Saudi Arabia’s entry into the international world of motor sport, led by Formula 1, is a country-long strategy under Vision 2030 of economic diversification. It has spent over $6 billion in motorsport development since staging its inaugural Formula 1 Grand Prix in 2021, including top-class infrastructure and promotion. Jeddah Corniche Circuit has emerged as a flagship of this initiative, attracting international eyeballs and huge tourism figures.

The government perceives Formula 1 as much more than a sporting competition—it’s a transforming symbol. To business executives, F1 is a “high-velocity statement” to the world that Saudi Arabia is committed to economic diversification and international engagement. It’s already benefiting, shifting away from its dependence on oil to tourism, entertainment, and knowledge economies. The non-oil sector now contributes 52% of the country’s GDP, up from approximately 32% when Vision 2030 initially began.

The financial value of such events as the Jeddah Grand Prix is vast. Numbers visiting are hundreds of thousands, with hotels booked out, flights booked out, and a huge injection into local economy from luxury shopping to food stalls. This spending and tourism injection is being directly translated into Vision 2030 objectives.

Looking to the future, Saudi Arabia intends to relocate the future Qiddiya project—a sports and entertainment megacity—to become the host of Formula 1 between 2027 and 2029. The complex will have a world-class “Speed Park” circuit and function as a long-term, sustainable motorsport and other international events hub. The Jeddah is now the proof of concept, with Qiddiya being the master plan for the future.

In addition to creating infrastructure, the Kingdom is also constructing its technological and digital foundation, partnering with international technology companies to develop fan interaction and event organization. The Saudis are anticipated by experts to make their grand Formula 1 and global events debut a key driver that will drive national promotion, enhance productivity, and get the Kingdom ready for a diversified, sustainable economy far ahead of the oil-riding era.