IPL governing council makes changes in salary cap and player retention policies

Mumbai Indians

Changes were expected and the 7th season of the IPL will see some big changes. From player retention to a reduction of salary cap, the Governing Council of the Indian Premier League has started to ring in the changes for the 7th edition to be played in April 2014.

According to reports, the 7th edition of the IPL will see a reduction of the salary cap and the players will be played in Indian rupees as opposed to US dollars. The new proposed salary cap for this season is Rs. 60 crores, which is significantly lower than what was there in the last edition. In 2013, the teams could spend up to an amount of $12.5 million on salaries which roughly came to Rs. 78 crores as per the current exchange rates. However, there would be an increase of five per cent in the salary cap every year.

Changes were made in the rules of the auction and player retention as well. For the first time in the history of IPL, the transactions of the auctions will be made in Indian rupee. For the last six seasons, all monetary transactions were dealt in US dollars.

For the player retention rule, the teams now can retain up to five players from their current squad before the players go under the hammer for fresh auctions in 2014. However, the council has yet not decided on the number of domestic and foreign players that can constitute the five retained players.