The Indian Premier League (IPL) Governing Council has introduced new rules ahead of IPL 2025, which will remain effective until 2027. One of the most significant updates is the salary cap on foreign players, ensuring they cannot earn more than Indian players. These changes aim to bring balance between foreign and Indian players in terms of earnings and team dynamics. Here’s a closer look at the key updates.
Foreign Players Salary Cap Set at ₹18 Crore
The IPL Governing Council has implemented a salary cap of ₹18 crore for foreign players, which applies to both the mega auction and the mini-auction. This rule will be in place from IPL 2025 to IPL 2027. The objective behind this is to maintain parity in salary structures between Indian and foreign players, ensuring that Indian players can also enjoy top earnings.
In simple terms, no foreign player can receive more than ₹18 crore, regardless of the bid amount in the auction. For instance, if a foreign player attracts a bid of ₹25 crore, the franchise will only pay the player ₹18 crore, with the remaining ₹7 crore going to the BCCI for player welfare.
Indian Players’ Bids Influence Foreign Players’ Salary
According to the new rules, the salary of foreign players is linked to the bid amounts received by Indian players in the mega auction. For example, if an Indian player bids for ₹20 crore in the auction, foreign players cannot be paid more than ₹18 crore. If a foreign player attracts a lower bid than the highest-bid Indian player, they will be paid accordingly.
This decision ensures that Indian players maintain higher earnings and foreign players are capped to keep the auction competitive but balanced.
Impact on Team Purses and Retention
Franchises looking to retain top foreign talent will also be impacted by this salary cap. If a team retains a foreign player, they will have to pay a maximum of ₹18 crore, even if they had bid higher for the player in the auction. This rule is designed to prevent any one player from consuming too much of the team’s auction budget, leaving space for balanced squad formation.
Additionally, franchises placing a bid of more than ₹18 crore for a foreign player will still have their auction purse reduced by the bid amount, but the player will only receive ₹18 crore.
Mandatory Registration for Foreign Players in Mega Auction
The Governing Council has also made it mandatory for foreign players to register for the mega auction if they wish to participate in future IPL tournaments. If a foreign player does not register, they will not be eligible for the mini auction in IPL 2026. Furthermore, if a player withdraws after being sold in the auction (except for injury with board clearance), they will face a three-year IPL ban.
These changes are part of an effort to make IPL more structured, fair, and focused on the welfare of players, both Indian and foreign.
With these new rules, the IPL continues to evolve, ensuring fair play and balanced earnings across its dynamic mix of players from around the world. The updates also aim to encourage teams to make strategic decisions while keeping the welfare of players in mind.