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MUSEUM

Fifa museum struggles with 30 million franc loss

Fifa’s multi-million franc new museum, which opened earlier this year in Zurich, has recorded a loss of 30 million francs this year, according to reports.

Fifa museum struggles with 30 million franc loss
The museum cost 140 million francs. Photo: Fabrice Coffrini/AFP

The museum’s spokesperson Delia Fischer confirmed the figure to the Tages Anzeiger newspaper and said a working group had been set up to devise a way forward.

The group, which includes Fifa special advisor Zvonimir Boban and the president of the Egyptian Museum in Turin, Evelina Christillin, will aim to develop a sustainable business model by using “new, innovative approaches” according to the paper.

At the end of October the museum parted company with its inaugural managing director Stefan Jost over “contrasting views” on its future development.

At the time, Swiss media reported that the museum was performing well below expectations, attracting only 11,000 visitors a month – around 132,000 over the year – while it had foreseen around 250,000 a year.

Over 140 million francs was invested in the development of the museum, the brainchild of disgraced former Fifa president Sepp Blatter.

It was created during a turbulent period for football’s world governing body, which was engulfed by the corruption scandal that brought down Blatter and his right-hand man Michel Platini last year.

In the centre of Zurich, and covering 3,000 square metres on three levels, the museum exhibits objects retracing the history of football, with a library including 5,000 works.

The working group will present its findings in January.

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COVID-19

Court turns down AfD-led challenge to Germany’s spending in pandemic

The German Constitutional Court rejected challenges Tuesday to Berlin's participation in the European Union's coronavirus recovery fund, but expressed some reservations about the massive package.

Court turns down AfD-led challenge to Germany's spending in pandemic

Germany last year ratified the €750-billion ($790-billion) fund, which offers loans and grants to EU countries hit hardest by the pandemic.

The court in Karlsruhe ruled on two challenges, one submitted by a former founder of the far-right AfD party, and the other by a businessman.

They argued the fund could ultimately lead to Germany, Europe’s biggest economy, having to take on the debts of other EU member states on a permanent basis.

But the Constitutional Court judges ruled the EU measure does not violate Germany’s Basic Law, which forbids the government from sharing other countries’ debts.

READ ALSO: Germany plans return to debt-limit rules in 2023

The judgement noted the government had stressed that the plan was “intended to be a one-time instrument in reaction to an unprecedented crisis”.

It also noted that the German parliament retains “sufficient influence in the decision-making process as to how the funds provided will be used”.

The judges, who ruled six to one against the challenges, did however express some reservations.

They questioned whether paying out such a large amount over the planned period – until 2026 – could really be considered “an exceptional measure” to fight the pandemic.

At least 37 percent of the funds are aimed at achieving climate targets, the judges said, noting it was hard to see a link between combating global warming and the pandemic.

READ ALSO: Germany to fast-track disputed €200 billion energy fund

They also warned against any permanent mechanism that could lead to EU members taking on joint liability over the long term.

Berenberg Bank economist Holger Schmieding said the ruling had “raised serious doubts whether the joint issuance to finance the fund is in line with” EU treaties.

“The German court — once again — emphasised German limits for EU fiscal integration,” he said.

The court had already thrown out a legal challenge, in April 2021, that had initially stopped Berlin from ratifying the financial package.

Along with French President Emmanuel Macron, then chancellor Angela Merkel sketched out the fund in 2020, which eventually was agreed by the EU’s 27 members in December.

The first funds were disbursed in summer 2021, with the most given to Italy and Spain, both hit hard by the pandemic.

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