Sovereign wealth funds, sport, and offshore statecraft: a comparative institutional analysis of Gulf investments in European football

This paper examines the internationalisation of sovereign wealth funds (SWFs) through investments in elite sports teams abroad, applying Comparative Institutional Analysis (CIA) to uncover both economic and political motivations. While sports ownership offers stable revenue streams and global commercial opportunities absent in Gulf domestic markets, it also functions as a soft power tool, enabling states to embed themselves in host economies, repair reputations, and project legitimacy. Mapping the cases of Qatar Sports Investments (QSI), Saudi Arabia’s Public Investment Fund (PIF), and Abu Dhabi United Group (ADUG) onto the IMF/Santiago Principles shows distinct institutional logics: QSI as a development fund driving diversification and nation branding, PIF as a stabilisation and reserve investment vehicle hedging oil dependence while embedding Saudi capital into global sport governance, and ADUG as a saving fund building a multiclub empire for long-term wealth preservation. The analysis extends CIA scholarship by demonstrating that SWF ownership of sports teams is not merely financial but strategically political, reflecting governments’ nonbusiness objectives and discreet power. Building on this, the paper develops a nascent theory of ‘sovereign sport-statecraft’, offering a typology of SWF sport investment logics and outlining policy implications for host governments, international sport governing bodies, and civil society.