PANAPRESS
Panafrican News Agency
Switzerland: FIFA posts US$ 369 million loss in 2016, expects US$489 million loss in 2017
Zurich, Switzerland (PANA) - FIFA says it lost US$ 369 million in 2016 and expects to incur further losses in 2017.
In its latest financial report issued recently here, FIFA said it is projecting a deficit of US$489 million in 2017, but says it expects a bumper year in 2018, with the television deals for the World Cup in Russia likely to help it meet its target for the 2015-18 period of a US$100 million profit.
It said that legal costs rose because of the scandal that engulfed the organisation in May 2015, when US and Swiss authorities arrested top football officials at a luxury Zurich hotel as part of an investigation into allegations of criminal misconduct, bribery and corruption. The officials were gathered for a FIFA annual congress when they were arrested.
A raft of governance reforms have followed and FIFA has worked to co-operate with the authorities, although spending on legal costs was up to US$ 50.5 million, as against the US$20.2 million spent the year before.
In the report, FIFA said: "It goes without saying that stagnant global trade and subdued investment, combined with investigations surrounding previous FIFA officials, put pressure on the organisation’s overall revenue generation.
"Nonetheless, FIFA expects to hit its revenue budget target as approved by the 66th FIFA Congress by the end of the 2015-2018 cycle."
The financial year under review covered the first 10 months of Gianni Infantino's presidency, after the former UEFA chief replaced the disgraced Sepp Blatter.
In the report, Blatter's investments in a football hotel and museum in Zurich were described as "ill-considered".
-0- PANA VAO 8April2017
In its latest financial report issued recently here, FIFA said it is projecting a deficit of US$489 million in 2017, but says it expects a bumper year in 2018, with the television deals for the World Cup in Russia likely to help it meet its target for the 2015-18 period of a US$100 million profit.
It said that legal costs rose because of the scandal that engulfed the organisation in May 2015, when US and Swiss authorities arrested top football officials at a luxury Zurich hotel as part of an investigation into allegations of criminal misconduct, bribery and corruption. The officials were gathered for a FIFA annual congress when they were arrested.
A raft of governance reforms have followed and FIFA has worked to co-operate with the authorities, although spending on legal costs was up to US$ 50.5 million, as against the US$20.2 million spent the year before.
In the report, FIFA said: "It goes without saying that stagnant global trade and subdued investment, combined with investigations surrounding previous FIFA officials, put pressure on the organisation’s overall revenue generation.
"Nonetheless, FIFA expects to hit its revenue budget target as approved by the 66th FIFA Congress by the end of the 2015-2018 cycle."
The financial year under review covered the first 10 months of Gianni Infantino's presidency, after the former UEFA chief replaced the disgraced Sepp Blatter.
In the report, Blatter's investments in a football hotel and museum in Zurich were described as "ill-considered".
-0- PANA VAO 8April2017
