Sports as a Catalyst for Development: Insights from Finance in Common Summit 2025

Solomon Quaynor, Vice President at the African Development Bank, emphasized the importance of approaching sports infrastructure from a developmental perspective rather than merely as a business venture.

The role of sports extends far beyond entertainment, serving as a catalyst for sustainable development and urban transformation. This was the key message at the "Opportunities & Legacy of Major Sporting Events" session, held on 27 February during the Finance in Common Summit (FICS) 2025 in Cape Town, South Africa. Experts from the fields of development finance, urban planning, and international cooperation shared insights on leveraging sports infrastructure to drive long-term economic and social benefits.

Sports as a Cornerstone for Infrastructure and Economic Growth

Solomon Quaynor, Vice President at the African Development Bank, emphasized the importance of approaching sports infrastructure from a developmental perspective rather than merely as a business venture. "The key thing is not sports as a business, but sports as a catalyst," he stated. Drawing parallels with commercial real estate, he suggested that sports facilities could serve as "anchor tenants" for broader urban and economic development. "Think about it from a shopping mall perspective. The viability of a shopping mall is anchored around the anchor tenants. Sports can be the anchor tenant of an arena, but there are going to be other ways to monetize that asset," he explained.

Quaynor advocated for multipurpose sports facilities that offer diverse revenue streams. "This arena could be used for major church and religious services, weddings, and other large gatherings," he said. Acknowledging the financial constraints often faced in developing large-scale sports venues, he highlighted the potential of public-private partnerships (PPPs) to fund such projects incrementally. "We don’t necessarily finance the entire arena at once but find ways to make this work through partnerships," he added.

Urban Development and Sports Integration

Herman Pienaar of UN-Habitat provided an urban planning perspective, stressing the need to integrate sports into city development plans. "If one can promote sport and use it as a catalyst to activate areas, then that's a good way to lead urban development processes," he stated. Pienaar emphasized that sports infrastructure should not be an afterthought but an integral part of city planning, alongside essential services like schools, roads, and utilities. Major sporting events, he noted, create a sense of urgency that can accelerate long-overdue infrastructure projects.

Collaboration and Legacy Building

Carey Jooste from the Development Bank of Southern Africa underscored the importance of collaboration in financing and implementing sports infrastructure projects. "Instead of reinventing the wheel, how do we do it together?" she asked. She emphasized that coalitions between stakeholders—governments, private sector players, and development banks—are essential to maximizing the developmental impact of sports investments.

Sho Sato of the Japan Sport Council reflected on lessons from the Tokyo 2020 Olympic Games, where urban development, community engagement, and international cooperation were key outcomes of the event's legacy.

Long-Term Socioeconomic Impact

Beyond infrastructure, Quaynor pointed to the broader benefits of integrating sports into society. "If sports permeates society, then the healthcare bill begins to drop over time. It’s not immediate, but it has a long-term impact," he remarked, highlighting the role of sports in promoting public health and social well-being.

Finance in Common Summit 2025: A Platform for Sustainable Growth

The Finance in Common Summit is an annual gathering of Public Development Banks and their partners from government and private sectors. The 2025 edition took place from 26-28 February under the theme, "Fostering Infrastructure and Finance for Just and Sustainable Growth." The discussions at FICS 2025 reinforced the critical role of sports in driving inclusive development and shaping the future of urban landscapes.