Effect of 2010 World Cup on South African Economy

[tilmann99]

Hello,

I am a year 9 high school student from Australia and am researching about the impact the 2010 World Cup had on the South African economy. I just wanted to know your thoughts on the issue and if you felt you were affected during this time.

[andrecv]

I could write a best seller on the so called pro's and con's of SWC 2010...but i am VERY scared i'll go to jail for....freedom of speech......i would say try the dept of trade and industry...sorry mate !

[Basment Dweller]

We now have stadiums that nobody uses....

[HR Solutions]

We now have stadiums that nobody uses....

No this is not totally correct. A lot of people feel that the stadiums are under unitised but they are being used. It is not that they are not being used.
Personally I feel the world cup was a great success, for our economy and for the country in many instances, the stadiums are magnificent and are being used more for concerts than anything else at the mo.

[pmbguy]

We now have stadiums that nobody uses....

Not entirely true... we do use them for political rallies where they sing "kill the boer" (kill the white man). So it was not a total waste

[tilmann99]

Thank-You very much for all of your replies, I am interested to hear more of your thoughts! Feel free to reply.

[HR Solutions]

Ok then - the building of the stadium helped to force the local government to upgrade the transport system around Cape Town. They now have an amazing Citi bus system combined with the local train system that has been around for a long time. The taxi service industry has also had a boost, but these are also because of normal tourism in Cape Town. CT is one of the top 10 places in the world to now visit. The residents of CT are not really happy with the new stadium because it is not utilised enough - there was hope at one point that the local rugby side (Stomers) would move to the stadium, but they are happy where they are at Newlands. Some people are also unhappy that the stadium was not built with an athletics track so that it would also have more uses. The upkeep of the stadium is enormous which obviously puts a lot of pressure on the taxpayers of Cape Town. The whole organisation around the stadium when there is a game on is very well run - the traffic is well controlled and crowd control seems to be pretty good - in fact I have driven past on a number of occasions when there is something on and there is no traffic at all - the public transport is fantastic.

[Dave A]

When it comes to Durban's stadium, I share much the same sentiments as HR Solutions - when it comes to the stadium itself and the infrastructure around it.

Jeremy Clarkson (of Top Gear fame) rates it as one of the most beautiful stadiums in the world - and he may be right. It certainly is a regular feature in Neville Bailey's Pic of the Day.

It's also worth bearing in mind the 2010 World Cup was the tipping point that saw the development of the King Shaka International Airport - a project that had been put off for decades already and was sorely overdue. There were also substantial upgrades at other major airports around the country, and there's little doubt the benefits of that is still being felt today.

In terms of economic impact, I think the construction on the various projects associated with the 2010 World Cup kept our economy going quite well just as the rest of the world was feeling the effects of the USA sub-prime crisis. And of course there was forex earnings during the World Cup itself.

There was also something pretty special about the general public sentiment at the time. The day of the opening match in particular had something of that 1994 Rainbow Nation feeling... something that had been sorely lacking for quite a few years.

Probably the only real hangover that has left a bitter taste on everyone's tongue was the Gauteng Urban Freeway Upgrade project. Nothing wrong with the project itself - the freeway improvements have been great, and sorely needed. But it's the connection to the introduction of Urban eTolling that remains a source of current controversy.

[Basment Dweller]

I must say the location of that new stadium in NASREC has brought the whites to the black neighbourhoods and we learnt it was no big deal. I remember walking through the streets of SOWETO, drinking in shabeens with the blacks like we're all brothers, I really enjoyed that about the WC.

[tilmann99]

Thank-you so much for the great replies! Did you find that tourism had a large effect on these changes, if so, how?

[AndriesH]

Not sure about tourism, but in Gauteng two great, long-overdue projects were launched; the Gauteng Freeway Improvement Project ( GFIP ) and the Gautrain.

The GFIP is quite contentious because of the urban tolling, as Dave said, but the new freeways are fantastic and well lit ( when the lights work )

The Gautrain is amazing. SA's first taste of modern high speed peri-urban transport. If I travelled anywhere near its route I would love to use it.

I've noticed a side effect on security. SAPS have re-learnt the old truth that visible patrolling just works. We now have 6 patrol vehicles attached to our police station, on the road 24/7. We have the numbers of the cell phones allocated to the vehicles, so we can call for help in an emergency. Great improvement.

I notice that the Gauteng cops patrol the freeways and have vehicles stationed at intervals along its length now. Good idea.

[tilmann99]

So overall would you say that the biggest improvement was the transport system.

[Dave A]

So overall would you say that the biggest improvement was the transport system.

That thought certainly has merit!

It certainly doesn't seem to have helped our soccer team much

[HR Solutions]

So overall would you say that the biggest improvement was the transport system.

Yes I certainly think that the World Cup did give it a boost. I do also think that smaller businesses e.g. B&B's, Tour guide operators etc got established and improved. To me the World Cup was an amazing experience. We also had the 95 Rugby World Cup which feels like it was just around the corner. The vibe was awesome (especially when we beat the Aussies) - it seemed to really unite the country and I think that it helped us with our way forward. The unity and vibe in the stadiums at the Soccer world Cup was a special thing. I went to 4 world cup games and enjoyed every single minute.

[Phil Cooper]

I think, long term, that tourism benefitted hugely, and this is still being felt.

The number of tourists has continued to rise, year on year, and a few that I have spoken to have mentioned that they either saw the place on TV during the world cup, or spoke to visitors who raved about the place, so effect there was positive.

Coming back to the Stadia - Johannesburg, Durban and Cape Town's are still being a drain in ratepayers, totally under-utilised. Nelspruit's is a disaster - I read it is not being properly maintained and is deteriorating, and is hardly ever used. Maybe someone who went to the recent test match there may comment on that?

The developers of the Stadia were fined around R1-bn for "artificially" pushing up the prices of building there, and judging by the comments creeping out of the woodwork recently it looks like the Gauteng road development followed that example. Questions have been asked how the cost escalated from R6-bn to R20-bn in 6 years. If that REALLY gets scrutinised closely will be interesting to see what wriggles out of the woodwork.

I get the feeling that the Soweto stadium made White South Africans realise Soweto is not a bad place to visit. Rugby matches have been played there, and local shebeens and food venues have experienced white South African visitors, whereas previously (probably) around 99% of visitors were overseas visitors on tours. I have spent a couple of very pleasant afternoons there with friends enjoying the ambience of some of the restaurants...