Egypt FA orders clubs to run football finances through separate bank accounts from next season

The Egyptian Football Association has ordered all clubs to operate their football activities through dedicated bank accounts from next season as part of a tightening of its licensing system.

In a statement, the EFA said every club will be required to open “an independent bank account specific to football activity, separate from the accounts for the club’s other activities”. All income and expenditure linked to football must pass through this account, which will be supported by a standalone set of accounts audited by an independent external accountant.

The move comes alongside a detailed defence of how the Club Licensing Committee operates, after scrutiny over decisions affecting teams aiming to compete in domestic and CAF competitions.

Licensing committee ‘fully independent’

The EFA stressed that the Club Licensing Committee functions as an independent body, working under the Egyptian Football Association regulations and the club licensing rules approved by FIFA and the Confederation of African Football (CAF).

According to the statement, the committee examined all licence applications submitted by local clubs, including those nominated to participate in CAF tournaments, applying “all criteria set out in the licensing regulations without exception, foremost among them the financial criterion”.

As part of this process, the committee has reviewed financial accounts linked to football operations, whether they sit within the parent club or within a separately established football company. This review is carried out in line with the “football budgeting unit” concept set by FIFA’s financial regulations and the licensing rules.

The committee’s checks cover all revenue and expenditure relating to football, whether funded from core club income or subsidiary sources, with the aim of presenting “the true financial position of the football activity” and ensuring full compliance with approved financial standards.

The EFA underlined that the committee only deals with “final and enforceable rulings and decisions” under the relevant regulations and criteria. It does not consider disputes or procedures that have not yet reached a final, binding outcome.

CAF-linked digital platform and debt scrutiny

All clubs are required to upload documents and evidence supporting their licence applications via CAF’s electronic club licensing platform. Those submissions are then subject to detailed examination and review by the EFA’s Club Licensing Committee, under CAF’s oversight.

Any comments or observations arising from this review are communicated “with complete neutrality and transparency”, the statement said, applying “principles of equality and equal opportunities among all clubs, without any discrimination”.

On overdue payables, the EFA highlighted that the assessment is not limited to checking whether debts exist, but extends to measuring how far an applicant has met the regulatory obligations.

In this regard, the committee relies on the CAF Club Licensing Regulations, which give the licensing authority the power to verify that a club has taken all appropriate steps to identify, record, settle and pay amounts owed to clubs, players and other creditors.

The committee must also be satisfied that the club has shown sufficient seriousness in meeting this criterion, based on the documents and legal declarations provided and the conclusions drawn from the papers and facts submitted.

New financial rules for clubs and football companies

Reiterating the new measures, the committee confirmed that from next season all clubs “will be obliged” to maintain a separate bank account for football which captures every item of income and spending linked to the game, supported by a distinct football budget ratified by an independent external auditor.

Clubs that have set up football companies – or plan to do so – must ensure that all football-related revenues, costs and budgets are handled through that company. They will also be required to submit approved financial statements for football activity for the calendar year from January to December.

These timelines are designed to allow annual licensing procedures to begin by the end of March each year, in line with the schedule agreed by FIFA and CAF.

The EFA concluded by emphasising that the Club Licensing Committee “has no authority other than to apply the regulations and criteria approved by FIFA and CAF”. It said all committee decisions are issued in accordance with those rules and “uphold the principles of governance, transparency, justice and equal opportunity between all clubs”, with the aim of developing Egyptian football and strengthening its adherence to international standards.