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FIFA moves to regulate transfer fees


A FIFA task force has suggested massive changes to transfers after a report found “multiple failings” in the current system.


The proposed system will use an algorithm to calculate transfer fees, as well as a luxury tax and a limit on the number of players that can be loaned.


According to a FIFA report, the current system has resulted in “various abuses at the expense of young players and the integrity of competitions”.


The report said an excessive transfer market was driving “unsavory practices that could lead to the exploitation of gamblers”.


“The transfer system seems to have turned into a speculative market, which is not fair for the football clubs or grassroots that are the foundation of professional sports,” says the report.


After his election in 2016, Gianni Infantino, FIFA president, said a reform of the transfer system was one of his priorities and has since voiced his concern about the increase in transfer fees.


The report states that “mechanisms to achieve transparency and objectivity” in the calculation of transfer fees should be considered.


It came up with several ideas to lower fees, including the use of an algorithm or set of mathematical rules to calculate the value of players.


The task force, set up by Infantino in November, said Swiss-based CIES Football Observatory has already developed an algorithm to “scientifically estimate transfer values and probabilities”.


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