UEFA cites fall in US dollar last year for $55 million loss in accounts

The fall in the U.S. dollar value last year has cost UEFA approximately $55 million, according to the European football governing body’s annual financial report released Thursday.

The dollar dropped about 9% against a range of foreign currencies in the first months of 2025, a decline that economists have linked to investors’ waning confidence in the U.S. under President Donald Trump, who returned to office in January.

In its 52-page financial report, UEFA cited “economic, market and geopolitical dynamics” and a “sudden weakening of the U.S. dollar” as the primary factors driving the foreign exchange losses that pushed the organization into deficit for the 2024-25 soccer season.

“In the past few years, UEFA benefited from a strong U.S. dollar leading to substantial gains on foreign exchange,” UEFA stated in the report, which notably did not mention Trump by name. “In March 2025, however, the tides turned, and the U.S. dollar rapidly weakened by almost 9%, resulting in currency exchange losses of 47 million euros” (equivalent to $54.5 million at current exchange rates).

This currency loss almost entirely accounts for UEFA’s overall “net result” of minus 46.2 million euros ($53.6 million) in its latest annual accounts, a deficit that the organization has financed from its reserves.

The financial hit has reduced UEFA’s reserves to 521.8 million euros ($605 million) as of the end of June, precariously close to the 500 million euro threshold the organization aims to maintain. These reserves are crucial for guaranteeing funding for UEFA’s 55 member federations and organizing various national team competitions from senior to youth levels across Europe.

UEFA’s financial model relies heavily on specific revenue streams. While UEFA-organized club events like the Champions League generate billions each season, the majority of this money is distributed as prize money to participating clubs and does not contribute significantly to UEFA’s operational profits.

Instead, it is the quadrennial men’s European Championship that serves as the financial backbone for the organization. The 2024 edition held in Germany earned approximately 2.5 billion euros, fueling UEFA’s reserves and its primary funding program known as “HatTrick,” which provides member associations with twice the financial support they receive annually from FIFA.

In explaining its exposure to currency fluctuations, UEFA noted in the financial report that it “needs to hold a big U.S. dollar position to back outstanding hedge transactions,” making substantial losses “inevitable” when the dollar’s value began to decline last year.

“The foreign exchange result had been consistently positive for several years, but this unfortunately changed in spring 2025 when the U.S. dollar suddenly weakened for various reasons, including economic, market and geopolitical dynamics,” the UEFA document explained.

The organization acknowledged that its asset management performance last year was “disappointing” compared to the “very exceptional 2023-24” period, which coincided with the previous U.S. administration.

The currency-related financial challenges come at a time when European football is grappling with broader economic pressures, including increased competition for broadcast rights and the financial aftermath of the COVID-19 pandemic, which significantly impacted match attendance and commercial revenues across the sport.

Market analysts suggest that UEFA’s experience mirrors the broader challenges faced by international organizations and businesses with significant exposure to dollar-denominated assets or transactions. Currency volatility has become an increasingly important factor in financial planning for sports governing bodies that operate globally but maintain their headquarters in Europe, like UEFA’s base in Nyon, Switzerland.

Despite these setbacks, UEFA remains financially stable with its reserves still above the critical threshold, positioning the organization to continue its development programs and competition planning for the coming seasons.