PSL franchises demand Pak Rupee as operative currency instead of US Dollar


LAHORE: The six Pakistan Super League (PSL) teams in a letter to its governing body, Pakistan Cricket Board (PCB) have vouched for the use of Pak Rupee as operational currency instead of US Dollar, presently the transactional currency.

In a letter addressed to PCB chief Ehsan Mani, the PSL franchises highlighted that one of the reasons “behind the loss of $15-18 million” they (the franchises) annually face is depreciation of the Pakistani currency.

“It is highlighted that franchises as a group are losing between $15-18mn every year in the PSL,” the letter read.

The letter further read that “while the next asset sales cycle is expected to improve this somewhat, the impending economic slowdown, the dramatic depreciation of the PKR, the currency mismatch in the franchise revenue and cost sources, along with the excessive taxation by PRA/FBR, have raised serious concerns about the financial sustainability of all teams”.

The letter which was aimed at highlighting the losses due to currency depreciation said that each franchise has roughly lost 25-30 per cent due to the said reason.

Franchises also demanded to change the functional currency to local currency from US Dollar, similarly to Indian Premier League (IPL).

The franchises have also recommended that already effective deals in greenbacks should be kept down at Rs.-105 a dollar.

The franchises also suggested revising the existing revenue sharing formula and proposed “a 75/25 divide, where 75% of the Broadcast Production cost is borne by PCB and 25% by the franchises,” to minimise their financial burden.

PSL franchises also seek a tax waiver from the government.

The letter further suggested that the PCB needs to make all efforts to bring back the league entirely to Pakistan “as soon as possible.”

“A plan for the revitalization of suitable venues/stadiums in all Franchise cities needs to be developed and shared with an aggressive timeline agreed upon,” it read.