CCTV Transcripts

CCTV Script 21/11/22

— This is the script of CNBC's financial news report for China's CCTV on November 21, 2022.

Although the final official figures have not been released, it is estimated that the Qatar World Cup will cost around 220 billion to 300 billion dollars. This will also make it the most expensive World Cup ever.

If we add up the costs of all the World Cups held since 1990, the total is $48.63 billion. That means that this year's World Cup in Qatar will cost as much as four times that figure.

The huge amount of spending has been spent on two main areas: stadiums and infrastructure, including roads and bridges.

It is important to understand that FIFA has very strict requirements for the overall infrastructure of a World Cup host country. There is a significant difference in spending between the countries that become hosts as a result of the differences in resources available.

The 1994 World Cup in the United States and the 1998 World Cup in France were relatively the least expensive. As both the United States and France already had a number of stadiums at the time, fewer new facilities were required.

At this year's World Cup in Qatar, it's noteworthy that seven of the eight stadiums have been constructed recently. Only one was renovated. Lusail Stadium alone, located north of Doha, cost $45 billion. Additionally, about 20,000 new hotel rooms have been constructed, as well as new driveways.

As a result of hosting the World Cup, Qatar hopes to boost its tourism industry, improve foreign trade, and gain new opportunities for development and more jobs.

In 2021, the World Cup is expected to attract 5 billion television viewers worldwide, bring 1.5 million visitors to Qatar and grow the local economy by about $17 billion, about 10 percent of its GDP in 2021.

However, a number of economists expect non-energy economic activity to slow down after the World Cup, and in addition, newly built venues may become useless after the World Cup is over. The government hopes that the World Cup fever will bring light to the knowledge-based economy and the local service sector, but the link between major sporting events and the next phase of economic growth has not yet been agreed upon in the economics community.

Advertisers have always flocked to major sporting events. In response to the current economic downturn, many companies are curtailing their marketing expenditures. According to World Advertising Research Center, businesses will spend an estimated US$90 billion less on advertising this year and in 2023 than previously expected.

However, in the face of this once-in-four-year opportunity, analysts at London-based Berenberg Bank say advertisers are hoping to make the most of the World Cup.