Saudi Arabia withdraws Metropolitan Opera gift and LIV Golf support
Updated
Updated · Council on Foreign Relations · May 1
Saudi Arabia withdraws Metropolitan Opera gift and LIV Golf support
1 articles · Updated · Council on Foreign Relations · May 1
The kingdom pulled a $200m donation to New York City's Metropolitan Opera and said LIV Golf funding will end after this season.
The moves come as the Iran war disrupts oil exports through the Strait of Hormuz, hurts tourism and business, and forces Gulf states to prioritise defence and reconstruction spending.
Analysts warn a broader Gulf capital pullback could squeeze US tech and financial firms that relied on more than $120bn of sovereign wealth investment last year.
With Gulf funds pivoting to domestic megaprojects, is this a retreat from the U.S. or the calculated rise of a new economic power?
Will the retreat of Gulf capital trigger a debt crisis for America's booming but cash-hungry artificial intelligence industry?
As Gulf nations threaten to trade oil in yuan, is the Iran war accelerating the end of the petrodollar's decades-long dominance?
How the Iran Conflict Forced Saudi Arabia to Cut $5 Billion in Global Sports and Cultural Investments in 2026
Overview
In 2026, Saudi Arabia's Public Investment Fund (PIF) announced it would stop funding LIV Golf and canceled a $200 million partnership with the Metropolitan Opera, citing economic pressures from the Iran conflict that began in February. The war led to the closure of the Strait of Hormuz, severely limiting Saudi oil exports and causing regional instability that slowed non-oil sectors. In response, the PIF shifted its strategy to focus on domestic investments like AI infrastructure, scaling back international ventures and large projects. LIV Golf and the Met Opera now face financial crises, urgently seeking new funding, while Saudi Arabia maintains support for the FIFA World Cup 2034 as a key economic priority.