Cricket Business : BCCI treasurer admits, ‘financial hardships if no cricket in 2020′

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This was not expected. The richest board of the cricket world, the Board of Cricket Control of India (BCCI) was always thought to be Covid19 proof. But the BCCI treasurer Arun Dhumal for the first time has admitted that the Indian board will be in financial trouble if cricket does not resume soon especially the Indian Premier League (IPL 2020).
According to a interview to Sportstar on Friday, Dhumal said, “The BCCI will also be in a difficult position in case cricket does not resume soon, especially the IPL.In that case, the BCCI will also have to face a lot of financial hardships. IPL is one of the major revenue-generating tournaments’.
 
BCCI has got one of the most solid balance sheets in the cricket world with cash reserves which is almost close to billion dollars. No other cricket board in the world can boast of such solid financials. 
 
BCCI BALANCE SHEET

According to BCCI’s 2017-18 balance sheet, its cash and bank balance, as on March 31, 2018, was ₹5,526.18 crore. This is the last financials which BCCI has made public.

– ₹2,011.83 crore was in fixed deposits.

– ₹900 crore was kept aside in escrow accounts to deal with various arbitration proceedings.

This balance sheet would have got further boosted by the IPL media rights deal with Star India who on an average pays 3065 Crores.

How much BCCI can lose in the Lockdown Scenario

The below graphics by InsideSport can explain, how much BCCI stand to lose both from IPL and other sources of revenues they have at their disposal.

 

 

 

 

 

 

 

 

 

 

BCCI Revenues from Bilateral Home Series in 2020

BCCI earns 60.1 Crore per game from Media Rights partner for every international game played at home. India as per the 2020 FTP was only scheduled to play 15 games this season. Out of that South Africa tour to India is already wiped out because of Coronavirus scare and India has already completed 3 match series each against Australia and Sri-Lanka. India is scheduled to play only 3T20 / 3ODI’S against England at home in October in only home series left this year.

Assuming England series is organized without any hiccup BCCI is set to earn 1080 Crore for year 2020 from the home series. If the ICC T20 World Cup go ahead in Australia this year, BCCI will also be paid from ICC Coffers their share of revenues.

BCCI will be in financial trouble if there is no IPL, says treasurer

With such a strong balance sheet, sources of revenues to back itself it is strange that Dhumal has come on record to say BCCI will be in financial trouble in case IPL 2020 does not happen.

INSIDESPORT VIEW

Without any doubt with no no clarity on the future of big-ticket tournaments like the T20 World Cup, Asia Cup, IPL and scheduled bilateral meets, the cancellation or prolonged postponement of matches will certainly have an impact on the finances of BCCI but not to the extent that it should spiral downwards. That is reason for now players, state bodies, BCCI staff can breathe easy and the board can tide off these unprecedented times.

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