FIFA is accelerating its most controversial project in recent years. After confirming the creation of a new commercial company intended to attract private investors, the governing body headed by Gianni Infantino has set a deadline for all 211 of its member associations to vote on the project. Those who approve the plan will be rewarded with up to $40 million.
A decision is expected before September 19th.
The 211 national associations affiliated with FIFA now have until September 19 to announce their final decision. Each must indicate whether or not it accepts the proposed creation of FIFA Forward Enterprise, a new commercial company tasked with developing and managing the economic activities related to FIFA competitions and events. This entity would open a portion of its capital to private investors in order to accelerate the commercial development of the global governing body.
A windfall promised to the federations that approve the project
To convince as many federations as possible, FIFA is offering a significant financial incentive. Associations that vote in favor of the project could receive up to $40 million, or approximately €35 million, as part of the next development cycle. In the letter sent to the federations, Gianni Infantino explains that this new $10 billion fund would be available from January 1, 2027, if the project is approved. However, if the federations reject this reform, they would remain in the current system based on the FIFA Forward program, whose development budget is limited to $2,7 billion.
A project valued at $20 billion
The future FIFA Forward Enterprise would be valued at $20 billion, or approximately €17,5 billion. The entry of a minority investor would allow FIFA to immediately receive $4,2 billion, while retaining control of the structure. According to projections presented to the federations, this new organization would significantly increase revenue generated by FIFA competitions and commercial activities in the coming years.
A strong protest in world football
Since the project's official announcement, criticism has mounted. Several leaders and federations are concerned about seeing part of FIFA's commercial activities entrusted to a company open to private capital. Opponents fear a shift towards governance more focused on financial interests, as well as a risk of a rift between the larger federations, likely to benefit more from the system, and the smaller ones.
An American fund at the forefront
FIFA has confirmed that the investment fund Thrive Eternal will lead the group of investors set to acquire a stake in the new company. This fund is headed by Joshua Kushner, an American entrepreneur whose brother, Jared Kushner, is married to Ivanka Trump, the daughter of the US president. Donald TrumpThe coming weeks will be decisive. By September 19, the 211 federations will have to choose between maintaining the current model or adopting this profound economic transformation, which could permanently reshape the financial functioning of world football.
