CAF in poor financial state, despite $4.2m surplus
Despite expecting $4.2 million in profit, the president of the Royal Morocco Football Federation Fouzi Lekjaa has confirmed that CAF is currently spending $50 million more than it is taking in annually.
At the 45th Ordinary General Assembly of the Confederation, which was held in Abidjan, Ivory Coast on July 13, Fouzi Lekjaa, President of the CAF Finance Committee, presented the main financial statistics of African soccer’s regulatory organization.
READ ALSO:House Committee On Sports To Build Sports Facilities Across 774 Local Govts
The details shared show that the confederation is in a poor financial state, yet Lekjaa appeared confident this trend would be reversed from this year onwards.
“Our financial situation will enable us to mark a turning point from this year onwards, moving from a deficit of $50 million to a surplus in net income from the 2023-24 financial year, with a profit of around $4.2 million,” he said.
Over the next three years, CAF’s net profit is expected to rise and may top $50 million. According to Lekjaa, this surplus will allow the confederation to fully fulfil its obligations and make significant investments to foster the growth of young people’s participation in sports and soccer, according to bsnsports
Lekjaa provided further specific information, stating that the total revenue for CAF for the fiscal years 2021–22, 2022–23, and 2023–24 was around $125 million, $131 million, and $188.6 million, respectively.
Approximately $119 million has already been spent by the various confederation entities for the fiscal year 2021–2022. The expenditure will increase to $125 million for 2022–2023 and $156 million for 2023–2024, Lekjaa noted.
“CAF-its administration, our finance committee-has decided to properly provision all instances of litigation for potential problems that could happen, in the range of 30 million dollars,” he told Morocco World news.
Therefore, provisions for the resolution of disputes total $34 million for the 2021–2022 fiscal year, and they should rise to $30 million for 2022–2023 and $27.6 million for 2023–2024.