Saudi Arabia has shelved plans indefinitely for the proposed NEOM Stadium, two sources familiar with the matter said, as the kingdom faces pressure from the Iran war and attacks by Iran-backed Houthis. The project was meant to be a 46,000-seat venue for the 2034 FIFA World Cup, but delays and a scaled-back version of the development around it have put the stadium on hold.
A Stadium on Hold
The proposed arena would have sat elevated within The Line, a 100-mile (160-km) steel-and-glass structure in the wider NEOM development. About a decade ago, Saudi Arabia introduced NEOM as a centerpiece of Crown Prince Mohammed bin Salman's Vision 2030 plan to diversify the economy and reduce reliance on oil.
Yasir Al-Rumayyan, governor of NEOM's owner, the Public Investment Fund, said in April that The Line was no longer a priority and wasn't vital before 2030, the original delivery target for its first phase. He denied that officials had canceled any projects.
NEOM and the Saudi government media office didn't respond to requests for comment. Saudi Arabia's Ministry of Sports sent questions to the World Cup 2034 Hosting Higher Authority. The authority said “substantial delivery” of construction milestones for the event was already underway, but didn't answer questions about the NEOM Stadium or its costs. Instead, it shared images of other stadiums under construction.
MEED Projects, a Dubai-based construction industry market intelligence platform, estimates the NEOM stadium will cost $2.5 billion. The platform lists the planned venue as “on hold” and gives no completion date.
World Cup Construction and Regional Pressure
Saudi Arabia is building or renovating 15 venues across five cities, along with dozens of training facilities. The 2034 tournament will mark the first time one nation hosts the expanded 48-team format. MEED Projects values the projects at $22.7 billion, according to data shared with Reuters.
The remaining stadiums and facilities are at different stages of development, and MEED Projects expects completion between 2026 and 2033. A third source said the spread of stadiums across the country adds to the challenge of delivering the projects. Delays or downsizing at developments such as The Line or Riyadh's New Murabba could make that challenge worse, the source added.
The construction questions come as security and economic strains widen. The Iran war has disrupted energy shipments and damaged critical infrastructure, while Iran-backed Houthis have attacked the kingdom. Last week, the Saudi Finance Ministry said it expected a fiscal deficit this year wider than previously projected and a real GDP contraction of 3.6% after oil activities fell.
Other Projects Continue
Reuters reported in January that Saudi Arabia had suspended construction of The Mukaab, a colossal cube-shaped skyscraper at the center of New Murabba. Last year, Reuters also reported that the Public Investment Fund was shifting from costly giga-projects toward ventures with more immediate financial returns, a strategy Saudi officials later described.
Other World Cup construction continues. The Aramco Stadium in Al Khobar, in the eastern city, is due for completion by the end of this year and will host its first game in January, with tickets on sale. A fourth source said work on other planned stadiums is going ahead. The hosting authority cited construction milestones underway, but left the NEOM stadium's status and costs unanswered.