Saudi Arabia has quietly shelved plans to build one of the most ambitious stadiums planned for the 2034 FIFA World Cup, amid delays and scaling back of major projects at NEOM.
The NEOM Stadium, originally projected to cost around $2.5 billion, has been placed on hold indefinitely, according to two sources familiar with the matter cited by Reuters. Construction industry intelligence platform MEED Projects has also listed the project as “on hold,” with no completion date currently given.
The stadium was planned as one of the most futuristic venues for the tournament, elevated about 350 metres above the ground within The Line, the 160-kilometre-long futuristic development that forms part of the wider NEOM project.
Saudi Arabia unveiled its proposed 2034 World Cup venue plan in 2024, featuring 15 stadiums across five cities. The NEOM Stadium was one of the proposed venues and was expected to accommodate around 46,000 spectators.
FIFA awarded the 2034 World Cup to Saudi Arabia in December 2024. The tournament will feature 48 teams and will be the first edition of the expanded 48-team World Cup to be hosted by a single country.
Questions Over The Line
The shelving of the stadium adds to questions surrounding The Line, one of the centrepieces of Crown Prince Mohammed bin Salman’s Vision 2030 economic transformation programme.
NEOM is owned by Saudi Arabia’s Public Investment Fund (PIF). In April, PIF Governor Yasir Al-Rumayyan said The Line was no longer a priority and was not essential before 2030, although he did not say that any projects had been cancelled.
The Saudi authority overseeing the 2034 World Cup said significant construction milestones for the tournament were already being delivered. It provided photographs of other stadium projects under construction but did not directly address the status or cost of the NEOM Stadium.
Saudi Arabia is still developing or renovating 15 venues across five cities, along with dozens of training facilities. MEED estimates the combined value of the World Cup stadium projects at around $22.7 billion. Several projects are continuing, with the Aramco Stadium in Al Khobar expected to be completed by the end of this year.
Shift Away From Costly Mega-Projects
The NEOM decision comes after Saudi Arabia scaled back or suspended other major developments.
In January, Reuters reported that construction of The Mukaab, a giant cube-shaped skyscraper at the centre of Riyadh’s New Murabba development, had been suspended. Reuters has also reported that the PIF has been shifting some of its focus away from expensive giga-projects toward investments capable of generating returns more quickly.
The changes come as Saudi Arabia faces growing economic and geopolitical pressures.
The conflict involving Iran has disrupted regional energy shipments and damaged critical infrastructure, while Iran-backed Houthi forces in Yemen have carried out attacks affecting Saudi interests. Reuters reported that Saudi Arabia is also preparing a potential military offensive against the Houthis to regain control of the Bab el-Mandeb shipping route.
Saudi Arabia’s fiscal position has also come under pressure. The Finance Ministry expects a wider budget deficit this year and has forecast a 3.6 percent contraction in real GDP, following a decline in oil-related activity.
The pressure is also visible in other areas of the Vision 2030 programme. Reuters reported that Saudi Arabia is preparing to cancel next year’s Joy Awards, a major entertainment event, amid budget cuts and the financial impact of the regional conflict.
World Cup Plans Continue
Despite the shelving of the NEOM Stadium, Saudi Arabia’s 2034 World Cup preparations have not been abandoned.
Other stadium projects are continuing, and the Saudi World Cup authority has stressed that substantial construction work is already underway. The Aramco Stadium in Al Khobar is among the projects making significant progress.
The 2034 World Cup remains a major component of Mohammed bin Salman’s broader strategy to diversify Saudi Arabia’s economy, attract international investment and expand the kingdom’s global profile.
The decision to shelve the NEOM Stadium nevertheless illustrates the financial and logistical challenges facing some of the most ambitious projects launched under Vision 2030.
