South Africa Riding to Success on the Back of FIFA

The football is rolling in the FIFA matches. So is South Africa in general and its economy in particular. The world’s leading financial agencies like Deloitte and JP Morgan are forecasting a boom in the South African economy due to FIFA. As per JP Morgan, South Africa would see an addition of 0.4% to its GDP. This would steer a 3% growth for 2010, which is double the figure expected by South Africa’s Treasury Department.

JP Morgan also pointed out the fact that in previous FIFA matches, the stock markets of the host countries tended to jump up. Similarly, during the six months leading to FIFA match, the currency of the host countries also showed an upward spiral. South Africa’s equity market is further expected to grow because its recovery had been slower than other equity markets last year.

Deloitte also pointed out that South Africa has already achieved many of the benefits that were expected from FIFA and this event could mark the region’s turning point. In fact, Deloitte released a paper, titled ‘2010 FIFA Word Cup. A turning point for South Africa’. Furthermore, South Africa is an emerging market, which provides it with more scope for growth. South Africa has robust economic and technological base but is lacking in terms of infrastructure. Owing to FIFA, there have been massive national infrastructure jack ups and booming employment opportunities.

For instance, the country’s transportation network was revamped on a priority basis as there was the need of providing swift means of transportation to the thousands of visitors. This urgency led to the successful fruition of major projects like the green field airport in Durban, upgrading of highways, addition of bus lines, and completion of the first part of the Gautrain passenger railway. These projects not only brought employment opportunities and other direct benefits, but also created a better trained manpower resource.

Millions splurged on booking flights to South Africa to witness the grandeur and magic of the event. Apart from the sport event at the moment, South Africa boasts some of the world’s most fascinating trappings of a perfect holiday and no one would want to miss this unique opportunity to combine the two reasons to visit South Africa. There are estimates that the second part of the year would witness and injection of R9 billion into the economy from visitor and local spending.

FIFA also showcases South Africa’s abilities as an eco friendly nation. The new stadiums are equipped with features like rain water harvesting and natural ventilation. The host cities have also embarked upon green drives like extensive planting of trees. This has reflected well on South Africa’s efforts, because the country faces challenges as a coal driven economy.


FIFA has simply brought in a world of opportunities to many different players. One of the key gainers is the airline industry. Many carriers are operating numerous cheap flights to South Africa during the FIFA to cash in upon the tourist interest and these flights sold like hot cakes.

In addition, this FIFA South Africa is keen to shed its image as an unsafe travel destination. The minister of police was in consultations with over 30 nations from where guests would be visiting South Africa. This has led to overwhelming global cooperation. Security has been given such paramount importance that almost 25% of the country’s entire police force has been engaged to FIFA. The country has enriched and developed in every way to silent many of its critics with each passing day since its selection as the host, through to the preparations for the mega event and even today as the event carries on with much fervour and gaiety.