Wesley Botton
Chief sports writer
1 minute read
5 Sep 2015
11:30 am

Commonwealth Games: Cheque not signed yet

Wesley Botton

Durban may have been awarded the 2022 Commonwealth Games, but Treasury has still to sign off the money.

Picture: sportingindustry.co.za

But the National Treasury confirmed yesterday that government departments will make space in their budgets to fund the 2022 Commonwealth Games.

Durban became the first African city to be awarded hosting rights for the quadrennial spectacle on Wednesday when it won a lone bid for the 22nd edition of the multi-sport event.

“Government’s decision to support the Games was made with the understanding that South Africa is in a constrained fiscal environment,” Treasury said yesterday. In the medium-term budget policy statement released in October last year, Treasury committed to limiting the growth of medium-term expenditure.

Though it could not make additional money available for the Games or sign off on any commitments, due to resource constraints, various departments had agreed to “re-prioritising and finding resources” from within their available budgets.

“Departments that will participate have committed to funding their obligations from their baseline allocations as per their signed letters to the committee of the Commonwealth Games.”

Ethekwini, the host municipality for the Games, said in a statement in July it would split the costs of the event with national and provincial government, as well as the SA Sports Confederation and Olympic Committee (Sascoc).

While the final budget was over R6 billion, stakeholders believed the Games could have a positive financial impact. An economic impact report by firm Ernst and Young projected up to R12 billion in direct expenditure by international visitors to Durban, with up to R20 billion in output to the economy.