The 20th
FIFA World, like its predecessors, has left a lasting impression on nations and
individuals. The humiliation of the host nation Brazil, Luis Suarez tucking
into Italian Chiellini and Germany’s well deserved victory.
The energy and
emotions nations mobilize when they bid to host the tournament is phenomenal.
To host the 19th edition of the FIFA World Cup in 2010, South Africa
harnessed the magic and star power of Nelson Mandela. This implies there is
tremendous value and prestige in hosting soccer’s biggest carnival.
But more
importantly, hosting football’s biggest competition pays huge economic
dividends. Frequently used estimates have shown that the previous three FIFA
World Cup tournaments generated positive economic impact to the tune of $9
billion (Japan and South Korea in 2002), $ 12 billion (Germany in 2006) and $ 5
billion (South Africa in 2010).
Forecasters
indicated that this year’s tournament would add about $30 billion to Brazil’s
GDP between 2010 and 2014, generating nearly 4 million new jobs and raising an
additional $ 8 billion in new tax revenues. The soccer bonanza was expected to
bring an additional 3.7 million tourists to Brazil, each expected to spend
circa $2,500.
Moreover, the
tournament was expected to cause a massive surge in consumer confidence, which
leads inevitably to stronger consumer spending. This is especially critical
given that in 2011, for the first time in history, Latin America’s middle class
outnumbered the regions poor. Perhaps the economic emergence of Latin America
in the last decade and the power its middle class is demonstrated by the fact
that the average attendance at the 2014 FIFA World Cup matches was the second
highest of all time.
A couple of
weeks I observed that there was a palpable sense of national frustration and
worrying sagging of confidence among Kenyans. We have lost our swagger. We are
petrified. Moments of national pride and bravado are hard to come by. A
majority of our fellow citizens are just going through the motions in a rather
burdensome and dreary existence. We are living in tough and trying times.
But I dared to
say that our best days are ahead. Our best days are ahead because this is the
land of the unbowed Nobel laureate. Our best days are ahead because a young woman
dared to believe that no matter where she was born her dreams are valid. And
more recently, a man who started as shelf stocker and shop assistant in Nakuru
believes we can host the FIFA World Cup in 2030.
Atul Shah’s dream
to bring the World Cup tournament to East Africa in 2030 is both audacious and
patriotic. Audacious because most so-called realists think it is outlandish. It
is patriotic because Nakumatt Holdings’ boss has refused to give up on this
country. He believes that by 2030, we will be a globally competitive prosperous
and industrialized middle-income country. Similar national aspirations are
shared across the East African Community.
Here is why Mr.
Shah’s dream is realizable and merits serious consideration. East Africa’s
sustained growth has been made by increased flows of direct foreign investment,
improved macroeconomic stability and increased investment in infrastructure and
education. The $600 million SEACOM private investment in high-capacity
fiber-optic cable now connects southern and eastern Africa to the global
Internet backbone, expanding the continent’s connectivity.
Furthermore,
East Africa can turn its extractive resource boom into a veritable engine for
inclusive economic growth, expanding public investment on social programs while
leveraging smart private capital to drive infrastructure growth, agricultural
development and the expansion of manufacturing.
According to
the African Development Bank, a strong army of middle income Africans is on the
march. They will be on hand to spend money and fill the tournament venues. A
study by McKinsey Global Institute in 2012 estimated that 48 percent of
Africa’s population will have secondary or tertiary education by 2020. This
could drive economic transformation causing more than 50 percent faster growth
in jobs in agriculture, manufacturing, retail and hospitality. Moreover,
expansion in sectors such as communication, finance, transportation and
construction are expected to remain strong.
We must dare to
dream. Hosting the FIFA World Cup in East Africa in 2030 is an attainable
vision, which has the potential to galvanize the EAC region in unity of
purpose; investing collectively in expanding vital regional infrastructure,
urban renewal, conservation of biodiversity, tourism, security and education.
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