Recent cricket tournaments, such as the Twenty20 (T20) World Cup and the Indian Premier League, have significantly benefitted the economies of developing nations through the beloved sport.

Poverty in India

India, home to approximately 1.4 billion people, faces significant wealth inequality, with 63 million individuals living in poverty. According to Oxfam, chronic under-investment is leading to difficulties accessing substantial education and health care. Despite this, India has one of the fastest-growing economies, with 77% of the world’s total national wealth being present in the top 10% of the Indian population.

Despite these reports of massive wealth inequality, poverty rates in India have been slashed. The University of Oxford conducted a report that found that the multidimensional poverty index (MPI) in India decreased hugely from 55% to 16% in the span of 15 years.

Indian Premier League

The Indian Premier League (IPL) is the world’s largest T20 cricket tournament. The tournament is still in its early years, starting as a franchise in 2008 and has built a strong global fan base. In 2024, the IPL consisted of 10 teams playing a total of 74 matches. A report by the Mastercard Economics Institute found that not only has the sport and tournament unified people in India and globally, it has had a ripple effect on local economies.

The report found that Mastercard transactions increased by 25% on match days. This was attributed to an increase in spending in bars and restaurants during the game. In addition to this, Mastercard saw a higher spend in cities where matches were taking place. The IPL is driving huge amounts of tourism into and around the nation, including increased investments in hotels and hospitality. In 2019, the Indian Premier League generated $68 million in the hospitality industry.

The Economist reported that the tournament drove $6.2 billion in 2022. The game has led to India being branded as the “dominant economic power in cricket” by the Economist. Additionally, it has opened up tourist experiences and jobs for residents. Similarly, other tournaments have been observed to alleviate poverty through various sports. The 2010 FIFA World Cup in South Africa had a significant impact on the country’s economy. According to a study by the South African government, the tournament created 415,000 jobs. Additionally, it contributed approximately $3 billion to South Africa’s economy.

ICC Men’s T20 World Cup

The International Cricket Council Men’s T20 World Cup wrapped in June 2024. The World Cup was hosted by the West Indies and the United States of America teams. Due to this, games were held in six venues in the West Indies, in nations such as Guyana and Saint Lucia.

Guyana currently has one of the highest poverty rates in the Caribbean, with poverty rates of 48.4% in 2019, according to the World Bank. This includes issues regarding limited access to basic services in the nation for those living in poverty. However, due to the T20 World Cup, we may see an alleviation of this, following in the footsteps of the IPL.

– Ella Turner

Ella is based in St Helens, UK and focuses on Good News for The Borgen Project.

Photo: Flickr