In the 2009, South Africa would be hosting the FIFA Confederations Cup and the following year it would be hosting the FIFA Soccer World Cup. Since being granted the privilege of becoming a host nation, South Africa set to work on improving infrastructure and improving security in the country.
The current economic crisis puts the country’s ability to host and attract visitors in jeopardy. The cost of infrastructure and other improvement projects would unavoidably increase. Furthermore, with so many households feeling the pinch, the desire to buy tickets would be reduced as families would be forced into forgoing luxuries.
Safety & Security
It has been extensively reported that the crime rate in South Africa is high. However, in preparation for these events, the State has increased its number of police forces with plans for further increase in the near future. They have also put in place a number of regional and national anti-crime initiatives; all costing millions of rands. Furthermore, the South African military has been roped in to ensure security for the games. In recent weeks, a number of anti-crime initiatives have roped in major busts. Hopefully, this type of success can be sustained over a long period of time.
Would the Market Turmoil Have an Effect?
Michael Appel of BuaNews (24 November 2008, ‘Global market turmoil no threat to 2010’) reported the the CEO of the Local Organising Committee (LOC), Danny Jordaan, does not believe that economic crisis would affect the preparations because much of the preparation work has been already been completed. However, Mr. Jordaan does expect around a 10 percent escalation in capital costs.
On the 26 November Michael Appel, ‘South Africa: 2010 Hospitality Package Sales 'Far Beyond Germany'’, pointed out that the FIFA Secretary General Jerome Valcke stated that the amount of 2010 World Cup hospitality packages has already outsold the amount sold by Germany in 2006. Most of these packages have been bought by big business. The positive sales figure may be considered a signal of confidence in South Africa’s ability to successfully host the tournament. It may also be seen as a further endorsement of the country’s already strong tourism section.
On the other hand, South Africa has the overwhelming task of selling 800 thousand tickets for the Confederations Cup in this perilous economic climate. Mninawa Ntloko, of the Business Day in the 2 December 2008 article, ‘South Africa: We Have Confederations Cup, Now Let Us Fill the Seats’, noted that Rich Mkhondo (the new LOC communications head) “said tickets were selling very well and the marketing department was working very hard with the organising committee's sponsors to ensure that the event was a success.”
Time would tell whether or not this statement is merely LOC spin. One thing is for sure, the two FIFA events would ensure that the spotlight is firmly on the country- for better or for worse.
