Moleketi, on the 2010 FIFA World Cup
15 May 2007
The government has today reaffirmed its state of readiness and commitment to
host the 2010 FIFA World Cup. "All the 24 2010 FIFA World Cup projects are
running like a well oiled machine and the first ever African World Cup will be
a success," said the Deputy Minister of Finance during a media briefing held in
Pretoria today.
The Deputy Minister further said that, "Pessimists will have to eat their
words at the end of day come 2009 when we host a successful Confederations
Cup."
The government preparations for the 2010 FIFA World Cup are on schedule
including stadiums, transport and other infrastructure projects. Government
will deliver a world-class tournament but as importantly will ensure that the
World Cup assists in the achievement of our developmental goals and leaves a
lasting legacy.
The government's has set aside R17,4 billion direct investment in the World
Cup which is integrated into a much larger spending programme between 2006 and
2010. During this period, the government will be investing more than R400
billion in the country's infrastructure.
South Africa will take advantage of the World Cup opportunity to attract
inward investment (construction and manufacturing and other sectors) and to
stimulate new investment in stadiums, transport, airports, communications,
accommodation, broadcast and information technology, financial services etc.
The projects will also stimulate skills development and create jobs, develop
football and its commercial base and upgrade facilities to ensure South Africa
is a competitive destination for major events.
Government will deliver according the following deadlines:
* December 2006: stadium and supporting infrastructure planning phase
(complete)
* January 2007: new stadium and supporting infrastructure construction
commences (work in progress)
* September 2008: FIFA inspection team for readiness
* December 2008 to March 2009: construction work on selected stadiums complete
(confederations cup stadiums)
* April to June 2009: preparation for Confederations Cup
* December 2009: stadium and supporting infrastructure complete
* June 2010: World Cup competition
The match planning has been completed, in accordance with FIFA regulations.
This is a very important milestone as with this schedule the South African
security services will be able to further detail their security plan. It also
enables detailed planning of transport routes and accommodation.
The International Broadcast Centre is a most important facility which will
ensure television (TV) coverage across the globe and will cater for more than 2
000 journalists. Cape Town, Johannesburg and Durban are bidding for the centre;
only two cities remain as contenders and the announcement will be made in the
coming weeks.
Preparations for the preliminary draw on 7 November are far advanced and
will be hosted by eThekwini, which is being given all the necessary support to
make sure South Africa stages a spectacular event which showcases our readiness
and country to the world.
Construction of all stadiums is within timelines. An amount of R600 million
has already been spent in 2006/07 financial year. An indication of the momentum
in construction is that Treasury will have to bring forward R1,9 billion in
October 2007, this is a demonstration of capacity to deliver on time or ahead
of schedule. All stadium facilitates will be ready by October 2009 to allow for
the identification and allocation of seats and issuing of tickets.
In regard to concern about constraints in the local supply of raw materials,
the fact that sectors such as cement production are operating at almost full
capacity is a normal and positive indicator of growth it always takes some time
for sectors to catch up to the pace of growth. In the short term there will be
an impact on the balance of payments, as sectors have to import supplies. But
the short-term import of capital goods to expand the economy is a positive
phenomenon.
The R9,038 billion investment in transport projects will accelerate the
delivery of an efficient, sustainable and affordable transport system and will
be a key area in which the world cup leaves a legacy.
In addition to funding on stadiums and transport, there are funding
allocations for delivery of government guarantees and programmes in the
following areas:
1. R666 million for safety and security
2. emergency medical services
3. R2,5 billion for information and communication technology (ICT)
4. ports of entry
a) air (ICT): R71 million
b) land (physical and ICT infrastructure): R1,5 billion
c) sea: R1,5 million
The world cup is also about providing a stage to show the very best of the
African continent and to build pride and unity. Government has programmes and
funding for:
1. R25 million for training of volunteers, which will build skills in the long
term
2. R17 million for community mobilisation
3. R337 million for legacy projects
4. R150 million for arts and culture related projects.
Africa's time has come, South Africa is ready!
Issued by: Government Communication and Information System on behalf of
National Treasury
15 May 2007
