Firms positive on 2010 World Cup

The next World Cup will be the first on African soil

About three-quarters of medium and large businesses in South Africa expect to benefit financially from the 2010 football World Cup, a survey suggests.

The Grant Thornton study said that just under half the firms anticipated gaining in the run up to the event.

However only 14% expected to benefit during the World Cup itself, which provided a financial boost to the German economy in summer 2006.

And crime in South Africa was a big worry for firms, the study also said.

A total of 84% reported that they or their staff had been a victim of crime in the past year.

Investments

During last year's World Cup in Germany hoteliers, brewers, travel firms, and retailers all reported a more-optimistic business environment.

Asked about preparation for the country hosting football's showpiece event - the first on African soil - 60% said they had looked at diversifying their product or service while 53% were employing more staff.

In 46% of cases, firms were making additional investments into their businesses, the report found.

National chairman of Grant Thornton South Africa, Leonard Brehm, said that businesses needed to work in a safe, secure environment.

"This can only be achieved through strong and sustained action by government security agencies at all levels, supported by a culture of community participation in assisting with the detection and control of crime," he said.