PSL 2020: Salary cap to be reduced for the upcoming season

Pakistan Cricket Board had introduced a T20 league in 2016 with the name Pakistan Super League (PSL). It takes place in UAE due to the refusal of players on playing in the green flag nation, but there are chances that the upcoming season can take place in its own nation. After two seasons, the franchises have suffered huge losses from it, and PCB has some new proposals for the upcoming season of the league.

Earlier this year it was reported that the initial five franchises have suffered a loss of ranging from PKR 200 million to 700 million in just two seasons. After suffering huge losses, the national board met with representatives from all of the six teams (including Multan Sultans). Eventually, PCB has reduced the salary cap from USD 1.38 million to USD 1.1 million.

They also have given confirmation to the franchises that they will be exempted from paying bank guarantee which will value around USD 14.51 million before the start of the next season.

PCB official feels PSL 2020 will take place with the full support of franchises

The CEO of PCB, Wasim Khan looked very positive about the PSL 2020 season, “We had fruitful discussions with our valued partners and we have found a way forward. In the days ahead, our preparations for the PSL 2020 season will continue in full swing, we are committed to staging the entire edition in Pakistan and the franchises are on-board with us,” Wasim Khan said as quoted by ESPN Cricinfo.

When anyone compares PSL with other T20 leagues, like IPL who pay around USD 11.8 million on players, CPL – USD 0.764 million, Global T20 Canada – USD 0.65 million, and according to the reports players featuring Pakistan Super League play on lower wages in different leagues. To cut the salary cap of the players, it is expected that the size of the squad can also be reduced from 21 to 18 so that it will not impact the wages of players individually.

The other reason behind the clash among the franchises and the board is because of the falling value of Pakistan rupee against the US dollar and board has come to a conclusion of setting the conversion rate to PKR 138.50. When the franchises signed their agreement during the inaugural season of PSL in 2016, the value the currency of Pakistan was 104 PKR in against the dollar and now that value has slumped to 154.

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