The Pakistan Cricket Board (PCB) could face massive financial losses if the ICC’s all-powerful governing board decides to penalise it for refusing to play the T20 World Cup match against India on February 15 in Colombo
The Pakistan Cricket Board (PCB) could face massive financial losses if the ICC’s all-powerful governing board decides to penalise it for refusing to play the T20 World Cup match against India on February 15 in Colombo. According to details accessed by PTI, Pakistan’s share in the ICC’s 2024-27 financial cycle amounts to approximately USD 144 million, with an annual payout of around USD 38 million. “Basically, if the ICC decides to penalise Pakistan for not playing India, the PCB could take a big financial hit, as its ICC share in the current financial cycle comes to approximately PKR 40 billion,” an insider said.
He added that these PKR 40 billion have helped the PCB remain financially stable, and losing a significant portion would create major financial challenges for Pakistan cricket.
He confirmed that Pakistan had already received substantial amounts from the ICC for the 2024 T20 World Cup and last year’s Champions Trophy, which it hosted, earning an additional USD 6 million from the tournament’s USD 70 million budget.
The insider said the PCB spent heavily on organising the event, and revenue from gate receipts and hospitality box sales was limited.
Pakistan, however, were able to play only one match at home, as their clash against India was held at a neutral venue in Dubai under an agreement signed between the BCCI, PCB, and ICC.
The PCB spent around PKR 18 billion on upgrading three stadiums-in Lahore, Karachi, and Rawalpindi-and the ongoing work has further affected the board’s earnings from the Champions Trophy.
“The PCB is yet to receive its share from this year’s T20 World Cup and next year’s 50-over World Cup, and that is where the ICC could impose financial penalties,” he said.
Heavy financial penalties
He explained that since the PCB is a signatory to the Participating Nations Agreement for ICC events, if there is no valid force majeure claim, the ICC and its broadcasters could seek heavy financial penalties and compensation from the PCB.
According to a rough estimate, broadcasters-who paid USD 3 billion for rights in the current cycle-depend heavily on Pakistan-India matches to break even or earn profits, as each match between the two countries is estimated to generate around USD 250 million or more.
Across four ICC events in this cycle, broadcasters are guaranteed USD 1 billion from four Pakistan-India matches. If these matches do not take place, it will lead to a substantial reduction in the revenue distributed to member boards.
Main sources of revenue
The PCB’s other major revenue stream includes USD 42 million from franchise fees beginning with PSL’s 11th edition this year, following the addition of two new teams.
The two new teams were sold for PKR 175 crore (approximately USD 6.2 million) and PKR 185 crore (approximately USD 6.65 million). After the revaluation of five of the six existing franchises, the PCB will now earn around USD 20 million annually from franchise fees.
