Kieran Maguire: Newcastle United budget to balloon after £1.1trillion Saudi reveal
The Saudi Public Investment Fund’s oil profits are set to soar – and that could mean they funnel even more cash into Newcastle United.
That is the view of finance guru Kieran Maguire, speaking exclusively to Football Insider about the impact of PIF’s external business interests on the Magpies.
Newcastle instantly became the richest club in world football following last October’s takeover by the PIF, whose assets are estimated to be worth close to £500billion.
As relayed by the Arab Times last Sunday (21 August), the International Monetary Fund forecasts that Gulf states are set to rake in an additional £1.1trillion in the next four years as the West moves away from Russian oil.
Much of that cash will be reinvested via PIF, who are in the process of aggressively diversifying Saudi Arabia’s investment portfolio.
Maguire predicts that Newcastle can only benefit if PIF’s wealth continues to climb.
“I think it will help Newcastle,” he told Football Insider’s Adam Williams.
“No matter how big you are, you’re working on a budget. The same principle applies to Saudi.
“Saudi Arabia and all Gulf countries will benefit from the geopolitical switch that we are seeing from Western countries in respect of Russia.
“It can benefit them in two ways. First of all, there is the volume of sales.
“Secondly, there is the price of oil and gas, which have increased significantly on the back of Russia’s unjustified invasion of Ukraine.”
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