The World Cup: Is it worth the cost?
South Africa is in the midst of hosting one of the biggest sporting events in the world, and it is set to cost the country money that could have been spent on other projects. Will the long-term cost of hosting the Football World Cup be worth it, or should the country have rather spent the money on tackling the many social and economic ills facing the country?
Much has been said about the cost of the Football World Cup to South Africa and how the money could have been spent on more pressing problems facing the country. This is all true. It must be questioned whether Cape Town and Durban needed to spend billions of rands on building new stadiums, when they had stadiums such as Newlands and Absa Stadium which would have been perfectly suited to hosting World Cup football. The construction of new stadiums in smaller cities such as Polokwane and Nelspruit also raised the country's eyebrow. These two stadiums are likely to become white elephants after the World Cup in what are two of the country's poorest provinces.
The number of tourists expected to come to South Africa and the boost to GDP that they would have provided has also been overstated. The global economic downturn has helped reduce the number of football fans who have come to this country. For example, Grant Thornton, a tax advisory and audit firm, originally estimated that 483 000 people would come to South Africa for the World Cup. It subsequently revised this down to 373 000. Many other foreigners who would have come to South Africa in this period are likely to have stayed away, turned off by overinflated prices and the hordes of soccer fans descending on the country.
Hosting the World Cup will cost South Africa money, not provide a windfall. Looking at the hosting of the tournament purely from a financial point of view, it does not make sense for South Africa to host what is probably the biggest sporting event in the world. Upgrading of infrastructure and construction and upgrading of stadiums for the World Cup cost taxpayers approximately R30 billion.
However, hosting the World Cup is about more than just money. It is an opportunity to rebrand a country. Germany, still tainted by the legacy of the Nazis and World War II, used the hosting of the World Cup in 2006 to reinvent themselves as a country. No longer were they seen only as a nation of dour but efficient workers but as one willing to welcome the world to their cities. South Africa has the same opportunity to rebrand itself.
Without the catalyst of the World Cup it is a valid question whether the Gautrain, a high-speed railway link, would have been ready when it was, and whether upgrades of major highways around the country would have been completed by the time they were. The Gautrain's first link between Sandton in Johannesburg and OR Tambo International Airport was completed on schedule, as were most of the country's highway upgrades. By meeting these deadlines South Africa has proved Afro-pessimists wrong.
Prior to the beginning of the tournament there was much doubt over South Africa's ability to host it, especially in the European press, some the reports having racist undertones. One can not help but remember the British Daily Sport's claim that vicious gangs of ‘machete-wielding blacks' were stalking the streets of South Africa. Rumours also abounded that the event would be moved to Australia or the United States, as South Africa would not have completed construction and upgrades of stadiums and infrastructure in time. However, the country has shown that an African country is capable of hosting a world-class event, which would rival anything held in Europe or North America.
The World Cup will go a long way to changing perceptions of this country and the continent. South Africa has always been world famous for certain things, formerly apartheid and Nelson Mandela. Since the turn of the century the country has gained the (not entirely undeserved) reputation of being one of the most dangerous places on Earth. The election of an admitted polygamist as president last year also made the country a laughing stock in some quarters.
South Africa will, after the end of the tournament, be known for having hosted a successful World Cup, an event which probably figures more prominently in the global consciousness than even the Olympics. The country will have proved that an African country is capable of excellence and efficiency. South Africa and its taxpayers will be paying for this World Cup for decades, but the value of the change in perceptions of this country and the continent will have been priceless.
This article first appeared in SAIRR Today, the weekly online newsletter of the South African Institute of Race Relations.
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Comments
"South Africa and its taxpayers will be paying for this World Cup for decades"
Did SA taxpayers have any say in the matter ?
Perhaps they should get votes commensurate with the Tax that they pay ?
by Bibliophile on June 18 2010, 19:39
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The SWC is a mega-event, and a once -off event. We need not show the world that "yes we can" just to change their perception about us. The peaceful transition from apartheid to what we have today was already noted by the world when both Nelson Mandela and . .more
by Howard on June 18 2010, 19:42
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i don't agree at all that " the value of the change in perceptions of this country and the continent will have been priceless".....because lets face it, the logistics are not so sound, the transport not great, strikes, etc.....it's only been 1 week, so . .more
by onlooker on June 18 2010, 20:01
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All the positives there might be, the bloody vuvuzela is destroying all of that, and is the only thing the SA WC is going to be remembered for.
by arnaud on June 19 2010, 11:22
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I belive the middle ground should have been taken. No to FIFA in building umpteen new stadiums - we'll re-vamp existing. No to FIFA about them running the ticketing. No to FIFA about tax free status, licensing laws etc. We should have some pride against . .more
by Horace on June 20 2010, 08:47
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I agree with you Horace, but don't think that we would have "won" the bid if we were playing hardball with FIFA. You only win if you are willing to bend over for them.
My feeling is that we could have done what you suggested above, show them the . .more
by Howard on June 20 2010, 10:35
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See who is happy in Townships and how THEY will display their joy with no money left in the kitty.
by CYNIC on June 21 2010, 06:33
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In a word, Mr. Roodt, "No!" Perhaps you need to read Voltaire's "Candide" - you may find the parallels instructive.
by Dr. Angelo Lambiris on June 21 2010, 06:42
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The World Cup is the best thing that has hit South Africa since the 1994 elections! It is worth every sent spent on it. And on Pareira!! Now that the French team strikes to train, things can get even better. LOL
by Voelvry on June 21 2010, 07:39
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Is the SWC slowing coruption?
Slowing crime?
Stopping farm murders?
Is the Gautrain for the workers?
Stopping SAPs abuses and rapes?
Helping make the masses wealthy?
Building schools?
Paying teachers?
Training . .more
by Klilling on June 21 2010, 08:36
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Agreed, the only who has won is FIFA. Very few South African businesses will be able to say that they really benefitted from the WC. Even the 'bloody vuvuzella's' have benefitted the Chinese manufacturers and their economy. Sadly this is the one and . .more
by Is there an upside? on June 21 2010, 08:47
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As far as I remember the Gautrain was so supposed to be totally completed and not only one link. Works on the major highways while the rest of the roads went to pot?
by Koos on June 21 2010, 08:51
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this govt. and it's tenderpreuners will claim responsibility for bringing the worldcup to SA .GREECE hosted the OLYMPICS and is now bankrupt. when the W.C euphoria is over ,and service delivery rears it's head AGAIN, will FIFA and tthe ANC/ SAFU taliban . .more
by past-patriot on June 21 2010, 09:24
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Ke nako - Ya siyabangena ke nyalo- bakahle let them strike , by the time they wake up they will be in France and we will be in the second round
by @Voelvry on June 21 2010, 09:30
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Hey bro, what's with SWC ?
WC-2010 in SA is a FIFA event = FOOTBALL Association, nie Soccer nie !
Soccer is what schoolboys, girls, en Bafana Bafana play. The grown-ups in the rest of the world play FOOTBALL (unless they are . .more
by John Austin on June 21 2010, 11:18
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Koos is right. Six years ago when the SWC was 'awarded' the gautrain was motivated as being necessary to transport all the fans from all over gauteng to the soccer venues. Only a small portion was completed and without the deadline of 9 June 2010 will . .more
by Jacko on June 21 2010, 12:08
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Entertainment is NOT free.A movie ticket is not refundable.In this case South Africans will gain from spin offs.The costs vs benefits are debateble.Not all is negative.Marketing,tourism is never free.Hopefully we will attract foreign direct investments . .more
by Hussein on June 25 2010, 12:23
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