Qatar banks on infrastructure for Olympic bid
28 August 2025
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> Olympics bid aims to extend tourism gains
Qatar officially launched its bid to host the 2036 Olympic and Paralympic Games in July 2025. It is the latest step in a decades-long national strategy that uses global events to build international influence, accelerate economic diversification and stimulate the projects market.
If Doha’s bid is successful, it will become the first city in the Middle East and North Africa to host the games, reinforcing its position as a global hub for major sporting events.
Unlike Qatar’s previous bids, this bid is not centred on an ambitious building programme. Instead, it is focused on demonstrating how the legacy of the 2022 Fifa World Cup and other major competitions can be leveraged to host future events.
Sports diplomacy
Qatar’s strategy of positioning itself as an international sporting hub began long before the World Cup. The first global test came in December 2006, when Doha staged the 15th Asian Games, which, at the time, was the largest multi-sport event ever held in the region.
More than 8,000 athletes competed across 39 sports over two weeks, while the opening ceremony attracted an estimated global television audience of 1.5 billion viewers. Qatar invested approximately $2.8bn in staging the competition.
That experience not only put Doha on the map, but also left behind key infrastructure that underpinned its bids for subsequent events.
Using the infrastructure built for the Asian Games, Qatar launched a $48m bid in 2007 to stage the 2016 Summer Olympics. At the time, organisers proposed an Olympic Village costing nearly $2bn, designed to host 18,000 athletes, and emphasised that 70% of the necessary venues already existed thanks to the Asian Games.
Despite gaining more International Olympic Committee (IOC) votes than Rio de Janeiro in the preliminary round, and ranking joint third with Chicago on technical merit, Doha did not make the final shortlist.
In June 2008, the IOC selected Chicago, Madrid, Rio de Janeiro and Tokyo as candidate cities, while Doha, Baku and Prague fell short of the candidature phase.
This may have been a setback for Qatar, but it was also a valuable lesson that would shape its long-term approach to sports diplomacy.
Qatar’s Olympic Committee says that 95% of the necessary infrastructure for 2036 is already in place
World Cup legacy
Since then, Doha has hosted an array of major international sporting events. The largest was the Fifa World Cup 2022, the first ever staged in the Arab world. The tournament required billions of dollars of investment in stadiums, transport networks, hotels and urban infrastructure, which is widely regarded as the largest project spend in the history of global sport.
Eight purpose-built and upgraded stadiums formed the backbone of the football tournament, supported by the new Doha Metro and extensive road and airport expansions along with many other associated facilities, including hotels and retail centres.
The World Cup not only demonstrated Qatar’s ability to deliver a logistically complex global tournament, but also left behind a more world-class infrastructure that now forms the cornerstone of its 2036 Olympic bid.
Qatar intends to build on the legacy of the Fifa World Cup 2022 with its Olympic bid
Other major sporting events have also reinforced Doha’s credentials. The 2019 World Athletics Championships were held at the renovated Khalifa International Stadium, attracting 1,772 athletes from 206 teams across 49 events.
The stadium, scaled to 21,000 available seats, and the Doha Corniche, which hosted marathon and racewalking events, demonstrated the city’s ability to manage large and logistically complex competitions.
The 2024 World Aquatics Championships further underscored this capability, drawing the world’s top swimmers, divers and water polo teams to Doha after the event was postponed from its original 2023 date due to pandemic-related scheduling issues.
Looking ahead, Doha will once again host the Asian Games in 2030, after it was selected by the Olympic Council of Asia in late 2019.
Qatar’s Olympic Committee says that 95% of the necessary infrastructure for 2036 is already in place, a declaration that speaks directly to the IOC’s “New Norm” framework, which emphasises sustainability and financial prudence.
The country’s World Cup stadiums, including Khalifa International, Lusail and Al-Bayt, provide ready-made facilities that are adaptable to Olympic disciplines. Khalifa International already has a running track and a history of hosting athletics competitions, while aquatics, handball and other sports are also well catered for.
Beyond venues, the transport and urban infrastructure developed for the World Cup, including the Doha Metro, expanded highways, airport upgrades and new hospitality capacity, gives Qatar a logistical advantage few prospective hosts can match.
Despite the scale of its existing assets, the games will still require the construction of new facilities such as an Olympic Village, along with an international broadcast centre and main press centre. Repurposing the 2022 World Cup stadiums will also create opportunities for the construction sector.
Opportunities in Qatar are needed. There has been a significant slump in spending on construction and transport projects in the years that followed the country’s World Cup building programme.
After Qatar secured the rights to host the World Cup in 2010, there was a sharp uptick in contract awards and cash spend on projects. According to regional projects tracker MEED Projects, contract awards peaked in 2014, when there was nearly $27bn of contract awards. Cash spent on projects, which lags behind awards, peaked in 2016 and 2017 at nearly $21bn.
In 2025, there have been $1.3bn-worth of construction and transport awards, while cash spent totals nearly $4bn.
Qatar offers the IOC a compelling proposition. The infrastructure is ready, the finances are secure
New challenges
Before attention turns to the possible revival of the construction sector, there are other issues to address, one of which will be climate.
Just as the 2022 World Cup was moved to November and December to avoid summer heat, the Olympics would almost certainly need to be shifted away from the traditional July and August window.
While the IOC has shown flexibility on scheduling, the prospect of moving the games to the winter requires global consensus and complicates broadcasting arrangements.
Reputational risk is another major hurdle. Qatar has faced sustained criticism over labour rights, gender equality and wider social inclusion issues, with human rights organisations highlighting the treatment of migrant workers during the World Cup preparations. Although Doha has introduced reforms, the IOC may be mindful that international scepticism remains.
The competitive field for 2036 is another consideration. India has proposed a multi-city Olympics centred on Ahmedabad, with plans for extensive new construction. The cost could reach more than $7bn, making it one of the most expensive Olympic Games in history.
While India’s bid highlights its vast market and growing global stature, it is in direct contrast with the IOC’s push for sustainability and reliance on existing infrastructure.
Istanbul is also a contender, leveraging Turkiye’s position as a cultural and geographical bridge between Europe and Asia, and highlighting the forthcoming 2027 European Games. Yet Istanbul’s repeated failures in past bids, coupled with security and transport concerns, cast uncertainty over its chances.
Germany’s possible candidacy brings experience and economic stability, but as Paris hosted in 2024, another European games is unlikely so soon.
Saudi Arabia, while not yet officially in the race, has also been mooted as a possible candidate, although Riyadh is likely to focus its efforts of delivering the Fifa World Cup 2034.
Egypt has also signalled its Olympic intent. In January 2022, Sports Minister Ashraf Sobhi announced Cairo’s plans to submit a formal application to host the games, which would make Egypt the first African country to do so.
The IOC has previously expressed interest in awarding the Olympics to Africa, making Cairo’s candidacy significant.
The host city for 2036 is expected to be announced in 2026 or 2027. On paper, Qatar offers the IOC a compelling, low-risk proposition. The infrastructure is ready, the finances are secure and the operational record is proven. The question is not whether Qatar is able to host the games, but whether the IOC is prepared to endorse a model that prioritises sustainability and logistics over reputational concerns.
Since losing out in its bid for the 2016 Olympics, Qatar has repeatedly demonstrated that it has learnt how to successfully bid for global events. If successful again, the Olympics will be the driving force behind Qatar’s economic development over the next decade.
Olympics bid aims to extend tourism gains
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Contractors prepare bids for Safaniya onshore project
28 August 2025
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Contractors are preparing bids for a major Saudi Aramco project to construct onshore surface facilities aimed at boosting productivity at the Safaniya offshore oil field development in Saudi Arabia.
The Safaniya field is the world’s largest offshore oil field, with a production capacity of nearly 1.2 million barrels a day (b/d). Discovered in 1951, the field is located in the Gulf waters, approximately 265 kilometres north of Aramco’s headquarters in Dhahran.
Aramco issued the main tender for engineering, procurement and construction (EPC) works on the Safaniya onshore surface facilities project on 9 July, according to sources.
Contractors have been given deadlines of 24 October and 7 November to submit technical and commercial bids for the project, sources told MEED.
Aramco is understood to have issued the solicitation of interest document for the Safaniya field onshore surface facilities project in May, with contractors submitting responses by 28 May, MEED previously reported.
The EPC scope of work has been divided into two packages:
- Package 1 – Water treatment and injection plant:
- Building new water injection units
- Expansion of gas-oil separation plant 1
- Building storage tanks, transfer pumps and substation
- A central processing facility at the Zuluf field development, including water transfer pumps, chemical injection skids and other components
- Package 2 – Produced water utilities:
- Fire water system
- Potable water units
- Utilities
- Nitrogen generation system
- Site buildings
- Electrical infrastructure
- Security systems
- Telecommunications networks
In addition to launching the onshore facilities project to boost Safaniya’s productivity, MEED also previously reported that Aramco had issued three offshore tenders for the field’s next expansion phase.
Contractors in Aramco’s Long-Term Agreement pool of offshore service providers are preparing bids for the three tenders – Contracts Release and Purchase Order numbers 154, 155 and 156 – due by 28 August.
https://image.digitalinsightresearch.in/uploads/NewsArticle/14557324/main.jpg - Package 1 – Water treatment and injection plant:
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Olympics bid aims to extend tourism gains
28 August 2025
This package also includes:
> Qatar banks on infrastructure for Olympic bid
Qatar’s bid to host the 2036 Olympic Games was launched less than three years after it hosted the Fifa World Cup 2022, an event that reshaped its international profile and delivered a significant short-term boost to the country’s tourism industry.
Qatar has also been selected to host the Asian Games in 2030. This, together with an Olympic Games in 2036, will result in the same short-term spike in tourism numbers that the World Cup achieved, but it is also an opportunity to learn from past experiences and realise more sustainable and long-term gains from hosting a major event.
Tourism trends
Qatar’s tourism sector grew steadily before the Covid-19 pandemic, with 2.94 million arrivals recorded in 2015. Numbers then dropped sharply in 2020, when the pandemic reduced arrivals to just 581,659.
Despite the downturn, Qatar continued to invest heavily in infrastructure, with an estimated $200bn-$300bn allocated to airports, roads, the metro system and other facilities. Stadium construction for the World Cup accounted for about $6.5bn of this total.
The 2022 World Cup attracted about 1 million visitors, with 700,000 staying in Qatar and the rest in neighbouring Gulf states. The event contributed an estimated 0.7%–1% of GDP in 2022.
During the event, Qatar demonstrated its ability to manage large-scale events. It also seized the opportunity to showcase its modern infrastructure.
According to projects tracker MEED Projects, over $5bn of hotel projects were completed in Qatar during the five years leading up to the World Cup. Other major projects, including stadiums and the $23bn Doha Metro network, were also completed ahead of the tournament.
Tourism numbers rose sharply after the World Cup. In 2023, arrivals reached 4 million, a 60% increase compared to 2022. In 2024, arrivals rose further, to 5.1 million, up 25% year on year.
Growth was supported by Qatar’s expanded events calendar – which included the AFC Asian Cup, Formula 1 and athletics meetings – as well as new visa policies and the growth of cruise tourism. GCC nationals accounted for 41% of visitors in 2024, with the largest share coming from Saudi Arabia.
Hotel performance
The performance of Qatar’s hotel sector illustrates the impact of these events. The KPMG Hotel Performance Index, launched in 2019 with a base value of 100, fell significantly in 2020 as occupancy and rates dropped during the pandemic. Recovery began in 2021, and in Q4 2022 the index spiked to 314, reflecting a surge in demand and rates during the World Cup.
In 2023, revenue per available room (revpar) returned closer to pre-event levels, but in the first quarter of 2024 the index climbed again to 139.9 during the AFC Asian Cup. By Q2 2025, the index stood at 118.8, above pre-pandemic performance.
KPMG expects revpar to remain supported by upcoming international events.
With its infrastructure largely in place … Qatar is well positioned from a logistical standpoint
Olympic comparison
The Fifa World Cup and the summer Olympic Games differ significantly in scale and scope. The World Cup is a single-sport tournament lasting about one month. It generates high visitor numbers during the event year, but, according to academic studies, has limited impact on long-term tourism growth.
The Olympics, meanwhile, involves multiple sports and a larger number of participants, officials and visitors. Research suggests that the Olympic Games is associated with increased international arrivals, not only in the event year, but in the years before and after, with effects lasting up to two decades. This difference is attributed to the longer build-up and wider global media exposure associated with the Olympics.
The main challenge associated with hosting the Olympics is the potential “crowding-out” effect. This occurs when regular leisure and business travellers are deterred by concerns about congestion, high costs or security issues during the build-up to and staging of major events. Examples include Athens in 2004, which saw tourism decline in the run-up to the games, and more recently Paris in 2024.
Qatar’s tourism sector has become increasingly reliant on steady regional and family travel, meaning that any crowding-out could affect core source markets. Mitigation would require clear communication strategies and differentiated tourism offerings to ensure that non-Olympics visitors continue to be attracted.
Another issue is the broader reputational risk. Geopolitical considerations and international criticism surrounding labour and rights issues continue to influence perceptions of Qatar. These factors could shape how the country’s Olympic bid is received internationally and may affect the country’s ability to convert the games into long-term tourism gains.
Ultimately, the 2036 Olympics presents a different set of opportunities and risks to the World Cup. With its infrastructure largely in place and a proven record of hosting international events, Qatar is well positioned from a logistical standpoint.
Key questions concern whether the games can deliver long-term tourism benefits, and how effectively risks such as crowding-out and reputational damage can be managed.
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Egypt announces oil discovery
28 August 2025
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Egypt’s Ministry of Petroleum & Mineral Resources has announced a new oil and gas discovery in the country’s Western Desert region.
The discovery was made through an exploratory well drilled by Agiba Petroleum Company, a joint venture of state-owned Egyptian General Petroleum Corporation (EGPC) and Italian energy producer Eni, and is already providing gas to Egypt’s network.
The new reserves were discovered by drilling the exploratory well North Lotus Deep-1.
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Total reserves are estimated at approximately 5 million boe.
The ministry said that the discovery underscores the Western Desert’s status as a promising hub for oil and gas opportunities and a key destination for international investment.
It also said that it was aligned with Egypt’s strategic objective of gradually increasing domestic energy production and reducing reliance on imports.
Another discovery
The ministry also highlighted another breakthrough at Agiba’s Western Desert operations, where teams achieved production from one of the region’s most complex geological formations, known as the Masajid Deep layer.
At depths exceeding 11,000 feet and with low rock permeability, the formation had previously restricted production from conventional vertical wells.
By deploying horizontal drilling techniques for the first time in the Western Desert, Agiba succeeded in unlocking significant resources at the North Rosa field, boosting output by 7 million cf/d of gas and 550 boe a day (boe/d).
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During Agiba’s general assembly meeting, chairperson Tharwat El-Gendy reviewed the company’s operational results, reporting investments of $404m during the year.
He noted that the company sustained production levels averaging more than 26,000 b/d and 77 million cf/d – equivalent to over 40,000 boe/d.
El-Gendy added that these production rates were achieved through the drilling of 28 development wells and two exploratory wells.
He also highlighted the commissioning of a new produced water treatment plant, which enabled the company to reinject all associated water into depleted reservoirs.
Francesco Gaspari, chairman of Eni’s Egyptian subsidiary IEOC Production, said that his company was confident in the Western Desert’s untapped potential.
He stressed Eni’s commitment to expanding its operations in the region, noting that unlocking the productivity of the Masajid Formation would pave the way for further discoveries and long-term growth.
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Saudi Arabia awards 4GWh battery storage projects
28 August 2025
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Saudi Electricity Company (SEC) has awarded a contract to China-based Hithium for the deployment of two battery energy storage system (bess) projects in northern Saudi Arabia.
Located in Tabuk and Hail provinces, the projects will be developed in partnership with Saudi contractor Alfanar Projects.
They will have a combined capacity of 4GWh, representing one of the largest bess deployments in the Middle East.
The Chinese manufacturer will supply its energy storage battery cells through 6.25MWh bess units. The systems are engineered to withstand extreme climate conditions, with insulation that reduces internal temperatures by up to 10°C.
The bess installations will provide grid services including load shifting, black-start capability, frequency regulation and voltage support.
Hithium said it will manage system design, supply, installation supervision and long-term maintenance, while Alfanar will oversee construction.
Commissioning of the projects is scheduled for 2026.
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> CONSTRUCTION: Momentum builds in Kuwait constructionTo see previous issues of MEED Business Review, please click herehttps://image.digitalinsightresearch.in/uploads/NewsArticle/14556787/main.gif