For decades, investors have focused on traditional asset classes – listed equities, bonds and exchange traded funds on one side, and unlisted assets such as private equity, real estate, and infrastructure on the other.

These have historically defined the contours of capital allocation, shaping portfolios and national development strategies alike. Yet a new frontier is emerging: sport as an asset class. Once seen purely as entertainment or recreation, sport is now attracting institutional interest, sponsorship and structured investment.

In a survey published by PwC, industry leaders say they expect annual growth of 7.3% in the global sports market in the next three to five years, up from the previous figure of 6.6%. Investors are treating sport with the same seriousness as traditional asset classes globally, recognising its ability to generate predictable revenue streams through broadcasting rights, sponsorships, merchandising and ticketing.

Africa is beginning to feature in this narrative. Football broadcasting rights across the continent are expanding, the NBA-backed Basketball Africa League is creating professional pathways, and Rugby Sevens tournaments in Kenya and South Africa are attracting international audiences. These developments signal that sport is no longer peripheral – it is becoming a structured sector with measurable returns. And every investor loves a measurable return.

A compelling case

The economic case for sport in Africa is compelling, starting with job creation across coaching, broadcasting, merchandising and event management, never mind the associated gains for industries like hospitality and tourism.

Large sports events mean infrastructure investments, and not just stadiums. Morocco is reportedly investing a whopping $23bn into stadiums, but also into roads infrastructure, airport upgrades and rail networks. This too attracts foreign direct investment, creates jobs and boosts communities.

Some gains in gender equality have been made on the continent and this links to the huge growth expected in women’s sports globally. Look at the recently concluded Women’s Rugby World Cup in England – the previous edition in New Zealand in 2022 saw three stadiums with a maximum capacity of 180,000. In England there were eight venues, with a total capacity of 470,000. Almost 82,000 people went to watch the final, the second-highest attendance for any Rugby World Cup final – men’s or women’s.

In Africa, Tunisia has witnessed the “Ons Jabeur effect” after the tennis star’s success. Tunisia hosted its first ever World Tennis Association women’s tournament, the Jasmin Open, and the International Tennis Federation (ITF) and the Tunisian Tennis Federation opened ITF’s new African Regional Training Centre in the city of Sousse. Such initiatives offer talented young players full-time training, schooling and competitive development, with state-of-the-art facilities. In recent news, the Confederation of African Tennis awarded a scholarship to Botswana’s Malak Macheng to train at the centre.

A leaf from the Kenyan book

African governments and investors need to treat their sports industries as an asset class. Doing so can unlock value comparable to real estate or entertainment.

The true power of sport lies not only in its economic potential but in its social impact. As well as teaching youngsters courtesy, discipline, resilience, and the value of teamwork and belonging, sport can deliver education pathways.

In Kenya’s Eldoret, “Home of Champions” like world marathon champion Eliud Kipchoge, talented young athletes have the chance to access education, linking sport to learning opportunities. In January 2024, the Kenya Commercial Bank Foundation student-athlete scholarship programme launched with 50 children, talented both athletically and academically. Top schools, known for nurturing athletic talent, offered them places.

At the University of Eldoret, in October 2025, 600 hopefuls vied for wins in trials arranged by The Townhall Premier Talents Initiative, matching academic opportunity with athletic excellence. The programme’s aim is to identify and support young athletes who have the potential to gain admittance to US colleges based on athletic ability.

These benefits ripple outward. A child who gains confidence through sport may pursue higher education; a community that rallies around a local team or individual, strengthens social bonds. Sport is not just play, it is a social infrastructure that underpins resilience and cohesion.

Overcoming underfunding

So why do African governments continue to underfund sport? Reasons include that facilities are scarce, rural areas lack access and gender disparities persist.

The PwC survey notes that, globally, only 25% of respondents “felt their government’s sports vision and strategy were well thought out”. This gap is particularly stark in Africa, where sport could be leveraged as both an economic driver and a social equaliser.

To realise sport’s full potential, governments and civil society must act decisively and invest in grassroots infrastructure. This means building pitches, courts and tracks in schools and communities. Sport should be integrated into education. Physical education should be a core subject, linked to scholarships and career pathways. Everyone needs to have equal access to sports and attendant opportunities, understanding that not everyone wants to get sweaty!

There is strength in partnerships and these should be encouraged. Public and private, NGOs and international federations, all players need to get involved to build and sustain programmes. They need to recognise that sport is both an economic sector goal and a social good.

Sport in Africa is no longer just about medals or matches. It is an asset class with measurable economic returns and immeasurable social impact. The industry is on a growth trajectory, and Africa must seize this moment. By investing in sport, governments can stimulate economies, empower youth and strengthen communities.