The World Cup is right around the corner, and you'd assume that it'll be an economic bonanza for the host country, South Africa. But the South African government looks at the event differently: They've essentially used the event to mortgage their future.
As this infographic by Menainfra shows, South Africa is spending a whopping $52 billion on the Cup--even though it's only expected to add about $2.7 billion to the country's GDP.
What gives? Those excess investments have gone toward massive new infrastructure projects, which the country hopes will sustain its growth for decades to come. Included, for example, is $9.1 billion on roads, $2.3 billion on airports, $2 billion on rail systems (including a high-speed link between Johannesburg and Pretoria), and, of course, $2.2 billion on sports stadiums. (The irony is that the stadiums are perhaps the most necessary investments--and the ones least likely to yield dividends in the future. And that's why past Olympics have been often been an economic curse, for the host cities.)
To read the full, original article click on this link: Infographic of the Day: Using the World Cup, South Africa Bets Big on Its Future | Fast Company
Author: Cliff Kuang
