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FIFA Scraps Private Investment Plan after Backlash
🇸🇦 Saudi Arabia /Economy & Trade

FIFA Scraps Private Investment Plan after Backlash

From Asharq Al-Awsat · () English

Summarized and contextualized by DistantNews.

At a glance

News Named sources Outcome reported
  • FIFA President Gianni Infantino has scrapped a plan to allow private investment in the World Cup after facing significant backlash from football officials worldwide.
  • The proposal, which aimed to raise up to $4.2 billion by selling shares in a commercial subsidiary valued at $20 billion, was criticized by UEFA, AFC, and CONCACAF.
  • Infantino stated the project created divisions that were no longer in the best interest of uniting and improving football, and thus would not proceed.

FIFA President Gianni Infantino announced Saturday he has abandoned a controversial plan to bring private investment into the World Cup, citing widespread opposition from football officials.

Our purpose has always been -- and will always be -- to unite and improve. As a result, this proposal will not proceed.

— Gianni InfantinoFIFA President Gianni Infantino's statement announcing the withdrawal of the private investment plan.

"Our purpose has always been -- and will always be -- to unite and improve," Infantino said in a statement. "As a result, this proposal will not proceed." FIFA had proposed creating a commercial subsidiary, the FIFA Forward Enterprise (FFE), valued at $20 billion, to manage events like the World Cup and Club World Cup. The plan, floated Tuesday, aimed to raise $4.2 billion and provide each of FIFA's 211 member associations with a $20 million payment and increased funding.

The World Cup cannot be treated as an investment product. No part of it should ever be surrendered to private investors. The World Cup is not for sale.

— UEFAUEFA's statement condemning the FIFA plan.

The withdrawal followed strong criticism from major football confederations. UEFA declared none of its national teams would participate in FIFA competitions while the proposals were active, stating, "The World Cup cannot be treated as an investment product. No part of it should ever be surrendered to private investors. The World Cup is not for sale."

unity among all the Confederations and Federations has been prioritized for the good of football.

— Mexican Football FederationThe Mexican Football Federation's reaction to the withdrawal of the FIFA plan.

The Asian Football Confederation (AFC) and CONCACAF also condemned the move. The Mexican Football Federation welcomed the withdrawal, emphasizing unity. Senior advisor Carlos Cordeiro resigned, calling the plan "a bad deal." The South American confederation CONMEBOL demanded more information. Infantino acknowledged the project created divisions, stating it would only have proceeded with majority support and that the divisions were no longer in the project's original interest.

a bad deal for FIFA's member associations, a bad deal for football, and a bad deal for the long-term future of the game.

— Carlos CordeiroSenior advisor Carlos Cordeiro's reason for resigning over the FIFA plan.
DistantNews Editorial

Originally published by Asharq Al-Awsat. Summarized and contextualized by our editorial team with added local perspective. Read our editorial standards.

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