PSG chief says $1bn Qatar ad deal 'justified'

  • Share via facebook
  • Tweet this
  • Bookmark and Share
Big-spending Paris St Germain aim to dominate Ligue 1 this season. (Getty Images).

Big-spending Paris St Germain aim to dominate Ligue 1 this season. (Getty Images).

A controversial advertising deal designed to help Qatari-backed Paris St Germain meet UEFA's financial fair-play criteria is justified by the club's growing influence in the Arabic world, the French club's president Nasser al-Khelaifi has said.

The deal, under which the Qatar Tourism Authority (QTA) will pour up to 200 million euros ($262m) a year into the club until 2016, will be made official in the next few weeks, Khelaifi told the sports daily L'Equipe.

The deal is worth twice the club's revenues for the 2010-11 season and has been questioned with some pundits suggesting it was out of proportion.

PSG will have to comply with the new fair play regulations which require clubs not to spend more than they earn. They are expected to submit the contract to the European governing body UEFA in the coming months.

"The contract with QTA is justified because PSG's influence in the whole region, not only in Qatar, has been important," Al Khelaifi said in his first public comments on the issue.

"We have been building an international brand. This deal is a strong symbol. Qatar have benefited a lot from their investments in PSG."

PSG have spent more than 250 million euros in transfers since the Qatari fund QSI bought the club in June 2011, far more that they can afford to if they only spend what they earn.

The advertising contract will help them continue their expansion and will be retroactive, meaning it will finance their off-season high-profile signings, such as Zlatan Ibrahimovic, Thiago Silva or new recruit Lucas Moura.

"We will keep on investing," Khelaifi said.

"It's necessary to become one of the great European clubs. Other clubs have invested for 20 years. We have been there for a year and a half and now we must stop pouring money? It would be unfair."

Related:
Join the Discussion

Disclaimer:The view expressed here by our readers are not necessarily shared by Arabian Business, its employees, sponsors or its advertisers.

Please post responsibly. Commenter Rules

  • No comments yet, be the first!

Enter the words above: Enter the numbers you hear:

All comments are subject to approval before appearing

Further reading

Features & Analysis
Dubai mulls rule change to lure more domiciled funds

Dubai mulls rule change to lure more domiciled funds

Proposed rules would create a new class of funds in the Dubai...

Gulf's rift over Qatar may slow investment, reforms

Gulf's rift over Qatar may slow investment, reforms

Analysts suggest dispute may not hurt immediately but could impact...

Dodgy data obscure reality of Gulf's economic boom

Dodgy data obscure reality of Gulf's economic boom

Economists say that as Gulf opens wider to foreign investment...

Most Discussed
  • 54
    Three UAE women attacked with hammer at London hotel

    I really feel that Arabian Business.Com should now close this comments page. This should be all about sympathy for the families not what it is/has turned... more

    Wednesday, 16 April 2014 1:06 PM - Adrienne
  • 51
    Why Dubai isn't a plastic city

    What is definitely not a plastic city. The Arabs have a culture dating back to several centuries. 50 years back Dubai was just a fishing village. Today... more

    Tuesday, 8 April 2014 3:49 PM - P. MADHUSUDAN
  • 48
    DMCC boss Ahmed Bin Sulayem entertains Robert Mugabe in Dubai

    @fga ''However today, simply because he decided to dispossess a few white farmers of their land and redistribute to the poorer indigenous blacks'' more

    Sunday, 13 April 2014 3:02 PM - Matt Williams