Over the last four years, FIFA has come a very long way in restoring transparency and trust. The organisation’s governance, as well as its financial and business performance, have undergone substantial transformation. After a change of leadership, a series of statutory reforms and the adoption of financial, commercial and good governance best practices, FIFA has successfully turned from a toxic organisation in perilous financial condition into a solid and modern brand.
Revenue targets secured and exceeded
Despite the biggest crisis in FIFA’s history and the resulting virtual standstill in sales activities during 2016, record figures in all areas were achieved in the 2015-2018 cycle.
USD 6.421bn was received in revenue during the 2015-2018 cycle, which was 28% over the initial budget of 5bn, a figure that was approved at the 2014 FIFA Congress.
All-time high in reserves
At the end of the 2015-2018 cycle, FIFA’s reserves reached a new high of USD 2.74bn, 80% up on the 2011-2014 cycle. The amount of USD 1.25bn from the reserves will be reinvested in football development, with a substantial part being allocated to women’s football.
Enhanced control of money flows
Financial governance was strengthened in all areas to ensure the highest level of transparency for all money inflows and outflows. The IFRS 15 accounting standard was adopted in 2016, with a restatement of 2015 to ensure the full cycle was accounted under the same standards and to allow comparability. The budget approach, in line with the IFRS accounting principles, was also adopted to allow full and direct budget analysis with actual figures. Improved processes and controls were finally established in relation to procurement, accounts payable, payroll, receipts and accounts receivable.
Fourfold increase in FIFA’s football development entitlements
FIFA has invested a total of USD 1.67bn in development and education, of which USD 1.079bn in the newly created Forward Programme, resulting in a fourfold increase in development entitlements. This all started in 2016. FIFA has not only brought its investment in football development to new heights, but has also implemented a comprehensive oversight mechanism, including a full audit of Forward funds, to ensure that resources are used transparently, judiciously and effectively.