KUALA LUMPUR, July 31 (Bernama) -- FIFA’s proposal to allow private investors to acquire stakes in its new commercial entity, FIFA Forward Enterprise (FFE), should be thoroughly discussed with all member associations before any decision is made, according to two sports analysts.
Former national footballer Stanley Bernard said FIFA president Gianni Infantino's move to circulate a letter on the proposal ahead of any formal discussion gave the impression that a decision had already been made, prompting objections from several confederations, including the Union of European Football Associations (UEFA).
"I think the first issue is how the letter was sent to the member associations. When correspondence comes from the FIFA president, it is already seen as a decision, not merely a proposal.
"The first step for a major proposal like this should be to bring all 211 members into one room for discussions first,” he told Bernama today.
He said FIFA’s proposal had raised many questions and drawn strong objections from several parties.
Stanley said he understood FIFA's rationale for maximising the commercial potential of the World Cup, but stressed that the main concern was the scope of rights that would be granted to private investors under any agreement.
He said the matter must be clearly explained as it could have implications for the identity and direction of the world's most prestigious football tournament.
"What worries everyone around the world is that when you sell this core commercial asset, what exactly are you selling in the contract? Can the private investor do whatever they want? For how long?
"Do they have the right to change the format and character of FIFA tournaments? That is why face-to-face discussions with all 211 members are important. Everything must be clearly spelled out," he said.
Stanley described commercial rights as the "heart" of the FIFA World Cup, adding that any changes should be decided collectively without compromising the tournament's legacy.
Asked about UEFA’s threat to boycott the World Cup should the proposal be implemented, Stanley hoped it would not come to that, as the impact of UEFA’s action would be felt across the entire football ecosystem, including fans, players and the sport's governing bodies.
Another sports analyst, Datuk Pekan Ramli, said UEFA's concerns were not limited to commercial issues, but also extended to FIFA's decision-making process.
He said FIFA under Infantino's leadership appeared increasingly aggressive in commercialising the World Cup, including through proposals to expand the tournament and generate greater financial returns.
"Once this is privatised, many things could happen that may give rise to personal interests or conflicts of interest, including issues relating to integrity. In the end, it could damage FIFA's image," he said.
On the prospect of UEFA boycotting the World Cup, Pekan said such a move would have a significant impact on the tournament's credibility and commercial value.
"If UEFA disagrees, then FIFA and Infantino himself must take this matter seriously. If the World Cup does not involve Europe, who would want to watch it? Sponsors would also walk away," he said, describing Europe as the driving force of world football.
He also urged FIFA to resolve its differences with UEFA through negotiations before making any decision on the proposal, adding that world football's governing body should respect UEFA.
UEFA's 55 member associations have threatened to boycott the World Cup if FIFA proceeded with its proposal to allow private investors to acquire stakes in its new commercial entity.
In a statement, UEFA stressed that none of its member national teams would participate in any FIFA competition unless the proposal was completely withdrawn, and that FIFA must guarantee that a similar model would not be introduced in the future.
The development followed FIFA's announcement last Tuesday of its proposal to establish FFE to manage major tournaments such as the FIFA World Cup and FIFA Club World Cup.
Under the plan, private investors would be allowed to hold minority stakes in the company, with FIFA targeting proceeds of up to USD4.2 billion (about RM19.4 billion) based on a company valuation of USD20 billion (RM92.4 billion).
If approved, each of FIFA's 211 member associations would receive a one-off payment of USD20 million (RM92.4 million) in early 2027, while development funding for the 2027-2030 cycle would increase from USD8 million to USD20 million.
-- BERNAMA