How Much the After Effects of the 2010 Soccer World Cup Cost the South African Economy
A huge success for who?
There was so much hype and apparent excitement surrounding the 2010 Soccer World Cup in South Africa.
People went on about how it would boost tourism to the country, how it would create jobs for a few thousand of the unemployed millions in the country, and how the country would benefit from it all.
Sure, a lot of people benefited from selling World Cup memorabilia, guest houses and accommodation establishments benefited from extra guests, shops benefited from increased sales, and a lot of workers benefited from building the World Cup stadiums (and now there is talk of demolishing them because of the fact that they are too expensive to maintain). Eskom definitely benefited from the increased electricity usage (not that they passed the additional revenue down to the consumer in the form of savings...useless specimens they are). Transport providers benefited over that time as well, with many providers having provided additional transport for eager fans and supporters.
Not many folk though, considered the after effects of the World Cup. You may be asking, "What after effects could there possible be from hosting one of the biggest sporting events of the year?"
First and foremost, the construction workers who built the stadiums are once again unemployed, as there is no more need for them once the stadiums were built. Many other companies have also laid off workers, because there is now no work for them, and unemployment has once again risen to record highs (although that is by no means unusual here in South Africa, where unemployment levels normally hover around 35% to 45%).
Thee stadiums that were built to host one or two games, have now ended up standing like white elephants, because we simply do not have the capacity to fill them with any of the other events that are hosted here. Each of these stadiums are costing the humble taxpayer in the region of around R35 000 000/$4 667 000 a year to maintain/upkeep. Multiply that by the number of stadiums that have been built...I think you understand where I am coming from.
With the influx of foreign visitors to the country, they have also unfortunately brought along with them a host of sicknesses and germs that were previously not known to us. Strange viruses will once again abound, very much like what happened in 1995 after the last major sporting event here (hint - think rugby).
Crime rates continue to soar as a result of the rising levels of unemployment because of the fact that the poor people who had temporary jobs have been kicked to the kerb once again.
Another scenario that most people will not want to think about, but which has taken place, is the rise of child prostitution. Parents had to be far more vigilant with their children, knowing their whereabouts even more so than ever before - and this scenario has unfortunately worsened since 2010.
Unfortunately, with having a lot of foreign visitors, many local businesses saw fit to inflate the prices of goods and commodities drastically. With the exchange rate of our Rand versus that of the pound, dollar or euro, one can safely say that the locals bore the brunt of these increases, as their salaries were definitely not increased accordingly over the past few years. Once the visitors have returned home, the locals were still be left with these highly inflated prices, which have drive inflation higher than it ever was.
I know this all sounds rather negative, and it would seem like I put a damper on our country hosting sporting events of this magnitude, but at the end of the day, what has the real cost been to the locals? Inflation, as well as even more unemployment than before. Our politicians and leaders need to think a little harder before applying to host an event such as this again, because we certainly cannot afford it any more than we could back in 2010.
A Little Retail Therapy
More by this Author
Ever wondered what salt can be used for? It is far more versatile than people think, ranging from a natural tooth cleanser to a snail repellent.
Hamsters are among the most popular pets chosen by children (and some adults). Here, you will learn how to take care of your hamster in the best possible ways to ensure that they stay healthy and happy.
Need a feature-rich email account, but aren't keen to pay an arm and a leg for it? Look no further than Gmail. The folks at Google have kindly offered this amazing service to us.