A few months ago, my city hosted an international tennis tournament. The streets buzzed with visitors. Cafes were packed. Hotels were fully booked. Even my local bakery ran special offers for fans.

This got me thinking—beyond the excitement, how do international sports events actually boost local economies? Is the impact short-lived, or does it bring lasting benefits? Let's explore this together.

The direct economic boost: tourism and spending

When a city hosts an international sports event—be it the Olympics, a football World Cup, or a regional championship—one of the first effects is a surge in tourism.

- Increased visitor spending: Fans, athletes, and media teams flock to the host city. They spend on accommodation, transport, dining, shopping, and entertainment. For example, during the 2022 FIFA World Cup in Qatar, it was estimated that tourism-related spending injected billions of dollars into the local economy.

- Hotel occupancy spikes: Major events can drive hotel occupancy rates close to 100%, benefiting both luxury and budget segments.

- Job creation: The tourism surge also creates temporary jobs in hospitality, transportation, event management, and retail sectors.

A study by PwC on the London 2012 Olympics found that the event generated approximately £2.1 billion in tourism revenue and helped create over 30,000 temporary jobs.

Infrastructure investment with lasting value

Large sports events often drive significant infrastructure development—stadiums, transport systems, public spaces, and digital networks.

- Upgraded transport: To manage the influx of visitors, cities often improve airports, roads, and public transit systems—benefits that locals enjoy long after the event.

- New venues: Well-planned stadiums and arenas can host future events, concerts, and community activities.

- Urban regeneration: Some host cities use sports events as a catalyst to rejuvenate neglected neighborhoods. For example, Barcelona's 1992 Olympics transformed the city's waterfront, creating vibrant public spaces still popular today.

However, experts warn that planning is key. Dr. Andrew Zimbalist, an economist specializing in sports economics, notes: “The long-term benefits of sports events depend heavily on careful planning and post-event use of infrastructure. Without this, investments risk becoming costly white elephants.”

Boosting local businesses and entrepreneurs

Sports events create opportunities not just for big corporations, but also for small local businesses.

- Pop-up markets: Many cities encourage local artisans, food vendors, and startups to participate in fan zones and event-related markets.

- Brand exposure: Local brands gain visibility by sponsoring or partnering with events, helping them reach wider audiences.

- Service demand: Small businesses offering transport, catering, translation, and tour services often see a spike in demand.

For example, during the 2019 Rugby World Cup in Japan, many local businesses reported record sales—not only from fans but also from the global media and corporate visitors attending the event.

The intangible benefits: city branding and future growth

Beyond immediate economic impact, international sports events can elevate a city's global profile.

- Boosted reputation: Hosting a successful event puts the city on the global stage, attracting future tourists and investors.

- Community pride: Sports events often foster a sense of civic pride and unity, encouraging volunteerism and local engagement.

- Future event hosting: A well-executed event can position a city as a preferred destination for future conferences, exhibitions, and sports competitions.

According to the OECD, cities that strategically leverage their sports events often see long-term tourism growth of 10–15% in the years following the event.

Balancing the costs and opportunities

Of course, hosting international sports events isn't without risks. Costs can spiral, and if poorly managed, infrastructure investments may not deliver long-term value.

That's why cities today increasingly adopt sustainable and inclusive planning models, focusing on:

• Temporary and modular venues

• Community consultation in event planning

• Responsible budgeting with clear legacy plans

Professor Holger Preuss, an expert in sports event legacy at Johannes Gutenberg University, emphasizes: “The best outcomes occur when events are aligned with long-term urban development goals—not treated as stand-alone spectacles.”

Have you experienced the local impact of sports?

Lykkers, have you ever lived in or visited a city during a major sports event? Did you notice changes in the local economy, infrastructure, or community spirit?

While the global spotlight may fade after the athletes go home, a well-planned sports event can leave behind a lasting legacy—one that benefits residents and businesses alike for years to come.

So next time your city wins a hosting bid, think beyond the games. The true victory might just be in the streets, markets, and small businesses that thrive long after the final whistle.