New financial cycle to kick off in 2023
FIFA’s 2023 budget confirms its strategic vision for 2020-2023 to make football truly global. FIFA continues to increase football development funds so that its international tournaments can flourish and more people – men, women, girls and boys from all backgrounds – can participate in the sport.
The 2023 budget has been approved by the FIFA Finance Committee and the FIFA Council, with final approval due to be provided by the FIFA Congress in March 2022.
FIFA continues to shape football in every corner of the world, with many potential changes ahead as it endeavours to make football truly global and give every talent a chance. In line with this strategy, the 71ˢᵗ FIFA Congress approved a number of proposals to explore new opportunities for the FIFA World Cup and FIFA Women’s World Cup, along with other women’s competitions and youth tournaments. It goes without saying that the potential and significant decisions to be made regarding both new and existing tournaments as well as new development and other football programmes could have a major impact on the upcoming cycle budget. For this reason, the budget for the 2023-2026 cycle will be presented in late 2022 at an additional FIFA Congress for approval.
2023 revenue in detail
The total revenue budget for 2023 amounts to USD 807 million, of which USD 276 million (34%) had been contracted at the balance sheet date of 31 December 2021.
Of the five core revenue categories, television broadcasting rights remains the largest contributor with an overall share of 31%, followed by marketing rights at 28% and licensing rights at 20%. Hospitality rights and ticket sales plus other revenue make up the remaining 21% of the total 2023 revenue budget.
Television broadcasting rights
The revenue target for television broadcasting rights amounts to USD 254 million, of which 57% is already contracted. The remaining broadcasting rights relating to the FIFA Women’s World Cup 2023 and other FIFA events are expected to be contracted within the projected time frames.
FIFA has implemented a new commercial partnership structure for the marketing rights sales. For the first time, brands will be able to take up dedicated partnerships in connection with women’s football or esports/gaming. The new range of partnership packages will provide more options and flexibility for companies to connect with global football and the biggest cultural events on the planet. FIFA’s first Women’s Football Partner, Visa, was signed in 2021, highlighting the continued growth and new commercial opportunities in the women’s game. In relation to the men’s football packages, it is expected that new partners, sponsors and tournament supporters will be signed from 2022 onwards in anticipation of the expanded FIFA World Cup 2026. The total budget for marketing rights sales is USD 227 million, of which 58 % had already been contracted at balance sheet date.
The licensing rights budget is USD 160 million for the year, and FIFA expects to run its largest-ever merchandise and retail programmes for a FIFA Women’s World Cup at the tournament in 2023.
Hospitality rights and ticket sales
The budgeted revenue from hospitality rights and ticket sales totals USD 47 million. In 2023, revenue in this category will come solely from FIFA Women’s World Cup 2023 ticketing operations. Gross stadium capacities are expected to exceed 2.5 million for our flagship women’s tournament.
Other revenue and income
Other revenue and income is recognised in the period in which the services are rendered. For 2023, revenue will be generated from the FIFA Quality Programme, the sale of video rights, the FIFA Museum, penalties and appeals, rental income, and tournament host contributions for the FIFA Women’s World Cup 2023. The other revenue and income budget is USD 119 million for the year.
Detailed budget for investments in football activities
As a non-profit organisation, FIFA’s key activities are to organise international tournaments and develop the game of football. FIFA ploughs back the vast majority of its revenue directly into football, in line with its statutory objectives. The 2023 budget for football activities accounts for 83% of the total expenses budget and comprises three main categories.
Competitions & Events
The 2023 budget takes into account the delivery of competitions and events that will take place in 2023:
At the FIFA Women’s World Cup 2023, the world’s top players will compete from 20 July to 20 August for the greatest prize in women’s football. The expanded format will feature 32 teams for the first time, and the tournament will also be the first to feature hosts from two confederations. The event budget amounts to USD 395 million. The FIFA Women’s World Cup 2023 will be the first tournament hosted under the new operational model, with a local, FIFA-owned subsidiary on the ground. Despite the challenging regional and global conditions imposed by the pandemic, the new model has had the benefit of ensuring that FIFA preparations could continue unabated.
Prior to the FIFA Women’s World Cup 2023, inter-confederation play-offs will take place from 17 to 23 February 2023. The play-off tournament will be used as a test event for the tournament proper, and will decide the final three qualification slots.
Following the 2021 cancellations due to the global pandemic, the 2023 edition of the FIFA U-20 World Cup will be hosted by Indonesia, while the FIFA U-17 World Cup will be held in Peru. Both tournaments will feature 16 teams in the final competition with a combined total investment of USD 46 million.
There will be an investment of USD 20 million in 2023 for the FIFA Club World Cup.
Investment in e-tournaments for 2023 will amount to USD 11 million.
Development & Education
Due for launch in 2023, FIFA Forward 3.0 will increase the funds currently available under Forward 2.0 by a significant 25%. The total investment will amount to USD 2,183 million for the full cycle, while the annual budget for Forward 3.0 in 2023 is USD 504 million.
Sevenfold increase in investment in development
Under the leadership of Gianni Infantino, FIFA has significantly increased its investment in football development through its member associations, the confederations and zonal/regional associations. From USD 328 million in the 2011-2014 cycle under the Financial Assistance Programme, the figure rose to USD 1,161 million in 2015-2018 via FIFA Forward 1.0 and then to USD 1,746 million in 2019-2022 through FIFA Forward 2.0. In line with Making Football Truly Global: The Vision 2020-2023, and to help its member associations recover quickly from the COVID-19 crisis, FIFA’s budget for the 2023-2026 cycle once again demonstrates the organisation’s dedication to football development by raising the amount to an unprecedented level: investment under Forward 3.0 will total USD 2,183 million in the 2023-2026 cycle, an almost sevenfold increase on the 2011-2014 figure.
In order to achieve Goal 6 of FIFA’s 2020-2023 vision – to increase global competitiveness – FIFA will invest USD 24 million in Technical Development programmes across the world. The programmes take a holistic approach that covers football activity at levels: from grassroots to professional, both on and off the pitch, with the long-term aim of having at least 50 clubs and national teams from all continents capable of becoming world champions.
FIFA continues to develop and train referees at the highest level throughout the member associations and confederations via the Refereeing Assistance Programme (RAP). As part of the continued development of global refereeing, FIFA has launched a new initiative called the STAR Project, which is designed to help develop top-class referees who perform at a consistently high level, promote the professionalisation of refereeing and improve officiating standards across the board. The total Refereeing investment budget of USD 13 million has been allocated to the year 2023.
The FIFA Foundation is an independent entity that aims to mobilise the positive power of football to improve lives. Its activities focus on tackling social issues affecting young people, empowering women and girls to play football and realise their full potential, repairing damaged or destroyed sports infrastructure, and supporting education through football. The 2023 budget allocated to the FIFA Foundation to achieve these objectives is USD 9 million.
FIFA’s development offices around the world work hand in hand with the member associations to develop football activities and projects. Included under Other projects is the FIFA Connect platform, which links FIFA with its members and helps keep track of the development projects. The cost of FIFA’s standing committees that are directly related to development activities are included in this budget line. In addition, FIFA will launch new digital tools that will enable member associations and the confederations to create new online solutions and increase their distribution of digital content to football fans both locally and globally.
Although women’s football has grown exponentially at all levels in recent times, the sport’s potential and the passion it creates are such that vast untapped opportunities still exist. One of the goals of FIFA’s vision for 2020-2023 is to accelerate the growth of the female game. To achieve this aim, FIFA will invest a total of USD 17 million to roll out new dedicated women’s football programmes.
Investment budget for Development & Education in the year 2023 (USD million)
This category includes the judicial bodies, the FIFA Clearing House and the Transfer Matching System. FIFA’s investment in 2023 will total USD 21 million.
Detailed budget for administrative and commercial activities
FIFA Governance & Administration
FIFA Governance & Administration costs are continuously monitored in a constant endeavour to improve efficiency and digitise FIFA’s processes. The total budget for FIFA Governance & Administration amounts to USD 213 million, which represents an actual reduction of USD 5 million compared to the same year of the previous cycle.
FIFA’s communications activities include the generation of content posted on FIFA.com, FIFA’s corporate communications, and its free streamed TV show, Living Football. Total investment in 2023 will be USD 12 million.
Information technology activities for FIFA’s administration are estimated to cost USD 20 million. The IT costs of running FIFA’s tournaments are contained in the Competition & Events budget. Continuous improvement through centralised reviews has made it possible to achieve efficiencies.
FIFA’s buildings and maintenance budget in 2023 will remain in line with that of past years at USD 9 million.
Personnel expenses will continue at the same level as in past years.
Marketing & TV Broadcasting
FIFA’s expenses for Marketing & TV Broadcasting activities are aligned with FIFA’s commercial global sales strategy, which includes a new commercial partnership sales model and the licensing programme. There will be additional investment in FIFA’s digital footprint in 2023, with the focus on delivering content to football fans globally.
Total investment budget for the year 2023 (USD million)
|FIFA Women’s World Cup 2023||395|
|FIFA youth tournaments||46|
|Other tournaments and events||63|
|Value in kind and other||51|
|FIFA Club Protection Programme||30|
|Depreciation of property and equipment||4|
|Competitions & Events||649|
|FIFA Forward Programme||504|
|Development offices, Executive Football Summits and other projects||78|
|Other Development & Education programmes||49|
|Depreciation of property and equipment||27|
|Development & Education||742|
|Football governance bodies and third-party services||21|
|Depreciation of property and equipment||1|
|Total investments in football activities||1,436|
|Legal and governance costs related to investigations||11|
|Annual FIFA Congress and committees||24|
|Buildings and maintenance||9|
|Other (including finance, Executive Office, ERP costs, insurance and auditors’ fees, VIK)||28|
|Depreciation of property and equipment||5|
|FIFA Governance & Administration||213|
|Broadcasting and media rights||11|
|Sales commission and other||12|
|Depreciation of property and equipment||2|
|Marketing & TV Broadcasting||77|
|Total investments in administrative and commercial activities||290|