Friday, 16 November 2007

Madrid SEVEN: is it Half Full, Half Empty?

Not talking about the Urine Specimen Receptacle...

WADA ended its first-day session with a stark assessment of its growth and the substance of that fact, as an impact for the world of Sport: the Athletes, the Sponsors, the Federations, the Governments, the Press.

An important financial impact comes from the fact that a budget approaching USD 26.0 million/year, which is denominated in Dollars and Swiss Francs, is operated through the Canadian dollar, and influenced by project requests that are forwarded in Euros.

Hopefully, this quick table is helpful, showing USD, CAD, EUR figures as presented yesterday.

- - - USD - - - CAD - - - - EUR







Where the upper row shows 2005 figures, and the lower row is 2006.

Similarly, the first column represents the amount of USD budgeted, the second column shows how the falling US dollar has drastically changed WADA's operational budget, in the last 12 months in terms of Canadian dollars.

Thus, in Montreal, an $800,000 budget increase has led to a 17 per cent operational budget shortfall: WADA had CAD 4.5 million less money to support its growth.

Therefore, clearly a need has emerged, for WADA to contemplate either severe belt-tightening, a vast infusion of new levels of support, or a re-direction in its budgeting that would eliminate the US dollar as the budgetary currency.

To be followed in the coming months, and years...



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