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Sat May 26 21:39:42 SAST 2012

World Cup leaves no quick wins for the poor

Marius Bosch, Reuters | 12 July, 2010 13:140 Comments

South Africa’s image may have changed after it successfully hosted the World Cup but the billions spent on the event had little impact on improving the life of poor South Africans.

Analysts said the real benefits of the World Cup — hosted in Africa for the first time — will only be seen in years to come.

The government hopes that the nearly 40 billion rand ($5,29 billion) spent on infrastructure and new stadia would be offset by the arrival of thousands more tourists as South Africa is rebranded by the event.

But many poor South Africans saw no benefit from the event, which is expected to add 0,4 percentage points to GDP growth this year and bring in around 370 000 or less foreign visitors.

Mary Masipa, a resident of Johannesburg’s Alexandra township which borders the wealthy Sandton financial district, said South Africa’s hosting of the World Cup had not improved her life and that of millions of other poor South Africans.

“Nothing has changed. Instead we over spent, we bought our teams’ shirts but we didn’t get anything from the World Cup. We are still living in shacks and we couldn’t sell anything at the stadiums because they are too far from us,” she said.

Alexandra is one of the oldest black townships in Johannesburg and home to almost 500 000 people, many of them living in tin shacks.

Masipa said the over $5 billion spent on the World Cup could have been used for better purposes in a country with one of the world’s highest income disparities.

“The government has spent too much money on the stadiums, they should have used that for houses or for our roads.”

The government has been criticised for spending billions on infrastructure projects ahead of the World Cup. The housing ministry said earlier this year that the housing backlog has grown to around 2,1 million and some 12 million South Africans are in need of better housing.

CATALYST FOR DEVELOPMENT

President Jacob Zuma’s government hopes that the event will draw millions more tourists in coming years, which will create more jobs.

The successful World Cup which went off without any major incidents of crime, had essentially re-branded South Africa which could attract more tourists and dispel many negative perceptions.

“By far the biggest winner of the World Cup will be South Africa’s image ... Defying fears of rampant crime, disruptive power cuts and logistical hiccups, the country has proven its capacity to stage world-class events,” said Anne Fruhauf, Africa analyst at Eurasia Group..

Zuma said last month that the World Cup would be a catalyst for development in Africa’s biggest economy.

Analysts said improved infrastructure, upgraded roads, airports and public roads would be the biggest legacy of the tournament.

“The clearest short-term benefits will accrue to specific sectors, tourism, retail and construction. But taking the longer view, the World Cup’s greatest legacy will be bigger and better infrastructure,” Fruhauf said.

Another legacy of the World Cup is a new national spirit as South Africans of all races rallied around the national squad and the hosting of the event — creating a nationalism not seen since the end of apartheid 16 years ago.

“There is no question that the degree of unanimity about the World Cup and apparent mutual acceptance of each other by South Africans across ethnicity and creed has surprised much of the international media contingent in the country for the soccer — and delighted many of the foreign fans,” said independent political analyst Nic Borain.

“This is an asset that is banked for the future, whether as a driver of tourism or as a basis for expanded productivity,” he added.

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