????Pakistan in Huge Debt After Hosting Champions League, Cuts Down on Player Luxuries!

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Was hosting Champions Trophy a mistake for Pakistan?

The Pakistan Cricket Board (PCB) is grappling with a major financial setback following the ICC Champions Trophy 2025. The high cost of hosting the tournament, coupled with lower-than-expected revenues, has raised concerns about the board’s financial sustainability in the long run.

Where the money was spent: The PCB reportedly spent approximately PKR 12.8 billion ($46 million, INR 380 crore) on stadium renovations, logistics, security, and event management.

• However, the financial returns failed to match expectations. A major blow came when India refused to play its matches in Pakistan, opting for a hybrid model where their games were played in the UAE.
• This decision led to a revenue loss of around PKR 4.5 billion ($16 million, INR 156 crore), primarily from ticket sales, broadcasting rights, and sponsorship deals.

Adding to the financial strain, Pakistan’s early exit from the tournament further impacted revenues. The team's poor performance resulted in reduced stadium attendance, affecting ticket sales and merchandise revenue.

• Moreover, since Pakistan did not progress to the later stages, PCB lost out on additional earnings from gate receipts and corporate sponsorships tied to knockout games.

India’s role in it: India’s matches were among the most anticipated of the tournament, drawing huge crowds and generating massive ticket sales. Since India refused to play in Pakistan due to security concerns and instead played their games in the UAE under a hybrid model, PCB lost a major chunk of expected revenue.

• Estimates suggest this alone led to a financial shortfall of around PKR 4.5 billion ($16 million, INR 156 crore) from ticket sales, hospitality packages, and in-stadium advertising.
• Broadcasters and sponsors prioritize high-viewership games, and India vs Pakistan is the biggest fixture in world cricket. With India playing in the UAE, advertisers and sponsors focused their efforts on Dubai rather than Pakistan, affecting PCB’s ability to monetize the tournament. Sponsorship rates for matches held in Pakistan were likely lower than expected due to the absence of Indian matches.
• Despite these setbacks, the PCB is still set to receive a share of ICC’s overall revenue, including hosting fees and broadcasting rights. However, experts believe this will not be enough to fully offset the losses incurred from event expenditures and missed revenue opportunities.

How PCB is dealing with it: The financial challenges have forced the PCB to implement cost-cutting measures, with domestic cricket taking the first hit.

• Match fees for National T20 Cup players have been slashed by 75%, with players now earning only PKR 10,000 ($36, INR 3,000) per match instead of PKR 40,000 ($143, INR 12,000).
• Reserve players will now receive just PKR 5,000 ($18, INR 1,500) per game. Additionally, accommodations and travel arrangements for domestic players have been downgraded to more budget-friendly options.
• Reports also suggest that outstanding payments from the previous domestic season remain unsettled, creating further uncertainty among players and staff.

Of note: PCB officials continue to draw high salaries, with some key figures reportedly earning around PKR 5 million ($18,000, INR 15 lakh) per month, leading to criticism over financial mismanagement.

• Beyond immediate financial concerns, Pakistan cricket’s brand value has taken a hit. Corporate sponsors are generally more inclined to associate with successful teams, and Pakistan’s underwhelming performance in the tournament has made it less attractive for potential investors.
• The upcoming Pakistan Super League (PSL) will be a crucial test for PCB’s ability to regain financial stability, as declining sponsorships and audience engagement could pose further risks.

Compounding the controversy, the PCB also lodged an official complaint with the ICC after no Pakistani representative was present at the Champions Trophy final’s presentation ceremony. The board viewed this as a disregard for Pakistan’s role as host, further straining relations between PCB and the ICC.

• While PCB’s financial situation is not catastrophic due to its share in ICC revenues, the losses from the Champions Trophy have raised significant concerns about the future of Pakistan cricket.
• The focus now shifts to the PSL and upcoming bilateral series, which will play a vital role in determining whether PCB can recover from this financial slump or if further austerity measures will be required.

In other news, Pakistani Crowd looted Chinese Call Centre: When the Federal Investigation Agency (FIA) of Pakistan burst into a fake call center in Islamabad's Sector F-11, they certainly did not see what was around the corner. In the process, locals felt it was an opportunity to help themselves, which they did, and made away with expensive technical equipment.

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Hi, I’m Aniket Mishra, the editor of this newsletter. I’d love to hear some feedback on the newsletter. WhatsApp me directly and tell me what you think.